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Technology Stocks : JDS Uniphase (JDSU) -- Ignore unavailable to you. Want to Upgrade?

To: nihil who wrote (6460)	2/18/2000 7:43:00 AM
From: Kent Rattey	Read Replies (1) \| Respond to of 24042

OT <QCOM is another seriously over-priced stock, but has rapidly evolved into a IP company licensing CDMA and reinvesting into improving its technology for which it charges very high even extortionate licensing fees. > Q's license fees range from 2 to 5% depending on the vendor. Mot pays the lowest because they were the first major player to adopt CDMA. However, if you look at the alternative; GSM, the royalty fees can reach 15%. In light of this, Q's fee is dirt cheap. The difference with CDMA is that the royalties all go to one vendor. Q's margins are now around 47% with virtually no debt. There are estimates of a royalty stream upwards of 20 billion, and that's why Wall Street awards it a high multiple. Kent