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

To: waverider who wrote (41043)	9/14/1999 7:26:00 PM
From: mauser96	Read Replies (1) \| Respond to of 152472

It's a matter of opinion whether the spin off was good or bad for AT&T, but it was good for AT&T stockholders. They got a choice of 2 different companies. Those that chose the LU part were rewarded with a 600 % gain in less than 4 years. Those who chose to keep the T part got something similar to a utility. If a stockholder kept both he/she got a blend. Nobody can be sure what the performance of an AT&T retaining LU would have been, but I doubt if it would have been much better than the +60% of T by itself. IMHO, QCOM has little chance of being number 1 or 2 in worldwide sales of handsets, thus will never be in a dominant position.And as long as they make handsets they are in a position of direct competition with their customers. The real goal of QCOM should be rapid growth of mobile telephony for both voice and data, because the more this happens the more CDMA will be needed. Their profit from making a handset is less than the profit from someone else making the handset but using QCOM licenses and chips.