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

To: tradeyourstocks who wrote (4920)	5/17/2000 2:47:00 PM
From: tero kuittinen	Read Replies (2) \| Respond to of 34857

I wouldn't trust the company PR department on parsing the results. The Financial Times take is a lot closer to what many have been suspecting: "Poor sales of its mobile phone services were blamed for the negative performance. DDI admitted that fierce competition in that sector had forced it to raise incentives to distributors in order to sign on new subscribers." As you may know, Hikari Tsushin saw its shares collapse by more than 90% earlier, largely due to its disappointing phone sales. HT is the phone distributor that is dependent on DDI and does not sell DoCoMo service. They badly overestimated the CDMA phone sales growth. The question here is whether DDI is in effect buying subscribers - offering generous incentives to get people to sign up and in the process piling up losses. My point on Chinese GSM manufacturing was not an opinion. It was a fact. The domestic Chinese telecom industry is concentrated on producing GSM equipment. I don't know... maybe they think that 700 million GSM subscribers in a couple of years is big enough a market. Perhaps that number does not impress you, but it does impress a lot of people. Tero