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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: RoseCampion who wrote (41027)	9/14/1999 3:35:00 PM
From: SpudFarmer	Read Replies (1) \| Respond to of 152472

Thanks. eom

To: RoseCampion who wrote (41027)	9/14/1999 3:37:00 PM
From: Ruffian	Read Replies (2) \| Respond to of 152472

Its Official> We have a Marc Cabi Clone, (in mot's camp?) September 14, 1999 Qualcomm Sell Of Handset Business Seen As Positive By JOHNATHAN BURNS NEW YORK -- Qualcomm Inc.'s (QCOM) decision to shed its phone-making business is being applauded by analysts, but opinions are split on what the company's future in chip making will be. On the same day Qualcomm reported it would meet or exceed analysts' earnings estimates of 87 cents a share in the fourth quarter, the company also announced Tuesday it would sell its handset operations, which account for about 45% of revenue. "They're finding the handset business is getting tougher and tougher," said Raj Srikanth, an analyst with First Albany Corp. "I think it is basically a change in strategies. This company will become a dominant player in producing communications chips, and they'll own a lot of patents." But Ed Snyder, analyst with Hambrecht & Quist Inc., said that while the impact of Qualcomm's decision will be positive in the short term, the company still has many problems to sort through. "I think it's a good thing because it will pump the stock short term because this was not profitable," he said. "But the big problems are still there." Snyder said if wireless phone equipment makers like Motorola (MOT) and Nokia (NOK) achieve expected sales gains, it will hurt Qualcomm, which doesn't supply chips to the two companies. "Their share of the chip market is going to decline because Nokia will sell a lot of phones," he said. Investors responded to the news by boosting Qualcomm's stock by more than 10% in heavy trading. By mid afternoon, nearly 11 million shares had traded hands and the stock was up