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

To: w molloy who wrote (6835)	2/24/2000 7:52:00 PM
From: engineer	Respond to of 13582

No, QCOM did not make moeny for a number of reasons. One big one is that they did not have a switch which was accepted and developed. LU and MOT and NT did have this and made very good money in the infra business. Also, QCOM did not have the world wide presence of marketing to win big contracts in the infra stuf. This is a big money, good ol boy type network and breaking in was alot harder than Irwin thought. Carriers will buy handsets from most anyone if they pass quals, but buying infra is a different story. They like to deal with what they had last year and the year before. QCOM's loosing money in the infra business has nothing to do with the pricing that LU, MOT, and NT has. I think your inferences are ALOT biased.

To: w molloy who wrote (6835)	2/24/2000 8:14:00 PM
From: phatbstrd	Read Replies (1) \| Respond to of 13582

WM Actually I think your viewpoint is some what narrow. Qualcomm's business model is just now appearing before your eyes. The infrastructure and handset portions of Q were to prove the technology works! The mass penetration and adoption of CDMA is what Dr J has wanted all along. Hmmmm, let's call Q a 'fabless semi-conductor design house with IPR', at least that's what management has described themselves to me on several occasions. If I have to lose money on waffle irons, break even on waffle cones just to sell my PATENTED 'cream added' ice cream, I'll do it!! Oh no, the world's has fallen in love with ice cream and I am due some royalties. Maybe I'll expand my 31 flavors to 131, all the while continually designing my patented creamy richness into the next generation of flavors! That's right, eventually more and more people will switch from that ice milk (read GSM) to something delicious. Maybe not all at once, but I GOT TIME. Regarding your business predictions made in 1999, they were obvious. I was told by a couple of analysts back in 1995 that if Q ever got rid of infra and handset the stock would go up; And if Ericy capitulated, the stock would fly. They did, the stock did and we had a heck of a year. But that's all short term stuff. I don't for one minute believe they have come this far and don't have any follow through. Earlier this week the KYO deal was officially done. That was the day Q's real business officially got started, imo. This is a process, not an event! At the analyst meeting last week I once again witnessed the short sightedness of Wallstreet. The sell-side guys were looking for any reason to sell; the buy-side guys were looking for 1 fantastic, humongous, catapulting reason to buy...Most of them again are near sighted and probably have their retail brokers making cold calls. Phatbstrd