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Technology Stocks : The New Qualcomm - a S&P500 company -- Ignore unavailable to you. Want to Upgrade?

To: Jeff Vayda who wrote (80)	7/23/1999 10:40:00 AM
From: Ruffian	Respond to of 13582

Excerp From Morgan Stanley On Ericy CC> Furthermore, it blames reinstalled CEO Lars Ramqvist for a string of faulty investments. Morgan Stanley said Ramqvist had been responsible for two strategic missteps such as the group's failure to back up the CDMA technology and failure to see the point in launching cheaper mobile phones for low-end users. Confidence in the new management is low, the investment bank said, and underscored that Ramqvist had been out of operative corporate leadership for 15 months. Morgan Stanley added that newly-appointed Ericsson president Kurt Hellstrom lacks experience in the crisis-hit mobile telephone business. "The change in leadership is not completely encouraging," Morgan Stanley concluded in its analysis.

To: Jeff Vayda who wrote (80)	7/23/1999 10:45:00 AM
From: engineer	Read Replies (1) \| Respond to of 13582

Jeff, On chipsets...if you look at the post I sent the other day on the other thread, I said to look at what ERICY bought and what they did not buy. They bought an infrastructure division which already hooks up to their swtich and provides IS-95 and CDMA2000 capability. they DID NOT buy a basestation which does GSM or WCDMA. they would NOT buy the division if they thought they wanted to gut it and start over, they would just buy into the license stuff. So where would you suspect that they would need those chipsets? On the funds, there are a few factors. This was a very good time and alot of factors allowed QCOM to get this cash with very little effort. The fact that they did it at a very high demand point in their stock and at a very high sentiment value time is to our benefit and they worked veyr hard to fulfill both our needs, thiers for cahs and our for maintaining the stock price. It means that they can issue and get the 6.9M shares without killing off the stock price. Sure, we did not get $170 a share this week, but we got a stable 154 a share. And we got $1B in cash which allows alot of expansion on the business. If you think about it, what is the past leverage factor on cash in this company? I would suspect that wihtin 6 months this cash would leverage more than $1B in revenue and perhaps more EPS. There are many oportunites out there wiht which to use this cash. Brazil is pretty well funded at this time and I would suspect that Sony paid to get out of QPE, not the other way around. Japan has been pulling back alot of companies lately and downsizing due to their finaicial troubles. Not surprised that Sony did this at this time.