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Technology Stocks : Nokia (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: Skeeter Bug who wrote (4422)	4/26/2000 3:58:00 PM
From: tero kuittinen	Read Replies (3) \| Respond to of 34857

Bug - Nokia has spent a lot of money on developing W-CDMA. I presume that Qualcomm has spent a lot of money on developing cdm2000. American analysts - and Paine Webber especially - expected that cdma2000 can get as much as 30% of the global 3G market. But during the last couple of months, cdma2000 has apparently started to collapse in Asia. DoCoMo bought a big chunk of Hutchison, and after that, Hutch started talking very enthusistically about W-CDMA. Japan Telecom chose W-CDMA. J-Phone chose W-CDMA. DDI started hinting it is also leaning towards W-CDMA. The Korean operators seem to be slowly gravitating towards W-CDMA. This is what Wall Street has been processing during the last three months - the possibility that W-CDMA will end up crushing cdma2000 completely. If this happens, Nokia's and Ericsson's investment in W-CDMA will suddenly look like money well spent. And the substantial cdma2000 investment Motorola, Lucent and Qualcomm have made will suddenly look like money flushed down the toilet. We are talking about big money here - huge R&D outlays. If you compare the charts of Nok, Ericy, Mot, Lu and Qcom for the last three months, you will see something very interesting. You will see sudden lurches produced by other news and developments - but also an inexorable trend that reflects the 3G positions of these companies. US investment firms like Paine Webber have refused to discuss the Asian 3G situation. But that does not stop investors from drawing their own conclusions. Tero