Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: gdichaz who wrote (3956)	12/6/1999 9:19:00 AM
From: slacker711	Read Replies (2) \| Respond to of 13582

Hopefully they can keep them in stock (Samsung3500).... From the December 6, 1999, issue of Wireless Week Samsung's Web Phone Makes A Jolly Sprint By Bruce Felps DALLAS--Quick question: What's happening at the four-way intersection of wireless, the Web, a handset and its price? The answer: Hot sales for Samsung Telecommunications America Inc. and Sprint PCS, which have struck a fine balance between these crucial elements. In the first two months since Samsung's Web handset model SCH-3500 hit the shelves, the phone has sold like "gangbusters," according to one Sprint PCS official. The carrier's Wireless Web promotion certainly has played a key role in the popularity of the SCH-3500. But the phone, with its mid-level price and range of features, may be packing the biggest sales punch. Sprint PCS sells the SCH-3500 for $149 and offers a rebate of $30 until mid-January. Even without the rebate, the phone has eked out a position between other makes and models priced below it at $99 and $129, and $179, $199 and $229 on the high end. Customers who consider moving up to a wireless handset with Web-browsing capabilities might be reluctant to spend almost $250, after applicable taxes for such a new technology. At the same time, they probably don't want to buy the cheapest model available and scrimp on the Web-browsing experience. That price point, coupled with the features built into the SCH-3500, gives retail sales people firm footing during the selection process, says Michael Coad, Sprint PCS vice president of subscriber product realization. "People tend to lean toward it because it's mid-priced," he says. "But a salesperson can close the deal by pointing out that voice-activated dialing, a headset jack, vibrating call alert and graphics display are available for just $20 more than the next lower-priced model." But given the popularity and demand generated by the SCH-3500, can Samsung keep pace with stocking inventory shelves in light of recent internal components shortages? Pete Skarzynski, Samsung's vice president of wireless sales and marketing, isn't losing any sleep. He credits the close working relationship between Samsung and Sprint PCS-evidenced by successive contracts valued at $600 million and $500 million-with preparing the manufacturer for larger-than-normal production runs of the SCH-3500. "Typically, there's a slow start when a new product and a new service are launched," he says. "But this just skyrocketed to the top of the sales chart. It has us scrambling."