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Technology Stocks : Ericsson overlook? -- Ignore unavailable to you. Want to Upgrade?

To: Mika Kukkanen who wrote (4184)	7/19/2000 9:27:18 AM
From: elmatador	Respond to of 5390

Strength in the Standardization bodies must not be downplayed. Quite big biceps from the Germans there.

To: Mika Kukkanen who wrote (4184)	7/20/2000 11:48:19 PM
From: elmatador	Read Replies (1) \| Respond to of 5390

Ericsson Gains Wireless Market Share, Lucent Says. Seen news below. Mika I thing the fact that Ericsson will pull out the BTS Lucent ainstalled in Saudi Arabia and will replace them by ERICY's has hit home. Ericsson Gains Wireless Market Share, Lucent Says Murray Hill, New Jersey, July 20 (Bloomberg) -- Ericsson AB, Europe's biggest phone-equipment maker, is strengthening its lead in the market for gear to run cellular-phone networks, Lucent Technologies Inc. Chief Executive Rich McGinn said. ``Ericsson is far and away growing, as the largest, at the highest rate,'' McGinn said on a conference call after Lucent, the world's top phone-equipment maker, posted a third-quarter loss and warned profit in the next six months will lag forecasts. Ericsson is benefiting as wireless companies expand their networks to handle more users and modify them to transmit data faster. The Swedish company gets almost half its sales from mobile networks, while Lucent generates most of its revenue from gear for traditional-phone and data networks. Stockholm-based Ericsson is taking market share because it's selling more equipment based on the Global System for Mobile Communication standard, McGinn said. GSM is the most widely used wireless standard and is popular in Europe and parts of Asia. The market for phone equipment is set to more than double to $729 billion in 2004 from $346 billion last year, according to Motorola Inc. By then, Ericsson expects more than 600 million people to connect to the Web through cell phones, getting stock prices, reading news and booking concert tickets on the go. Horse Race McGinn said he expects Lucent's sales of wireless gear to rise 21 percent to 25 percent next year, or about as fast as the market is growing in terms of total revenue. He said Lucent is No. 2 in the market after Ericsson amid competition from Nokia Oyj, the biggest maker of cell phones, and Nortel Networks Corp. ``It's a multihorse race for the No. 2 slot, with Ericsson growing much faster than anyone else out there,'' McGinn said. Ericsson's U.S. shares rose 1 5/16, or 6 percent, to 22 9/16. In Stockholm, the stock closed up 9.5 kronor, or 4.9 percent, at 205. Murray Hill, New Jersey-based Lucent fell 10 5/16, or 16 percent, to 54 3/8 on the New York Stock Exchange. The Swedish company will report second-quarter earnings tomorrow at 8 a.m. local time. It's likely to say profit from operations more than doubled to 5.045 billion kronor ($557 million), according to the average estimate of nine analysts surveyed by Bloomberg News. Jul/20/2000 16:22 ET For more stories from Bloomberg News, click here. (C) Copyright 2000 Bloomberg L.P. Any redistribution of Bloomberg content, including by framing or similar means, is expressly prohibited without the prior written consent of Bloomberg L.P. Any reference to the material must be properly attributed to Bloomberg News. The information herein was obtained from sources which Bloomberg L.P. and its suppliers believe reliable, but they do not guarantee its accuracy. Neither the information, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any securities or commodities.(C) Copyright 2000 Bloomberg L.P. BLOOMBERG, Bloomberg News, Bloomberg Financial Markets, Bloomberg Television, Bloomberg News Radio are trademarks, tradenames and service marks of Bloomberg L.P.

To: Mika Kukkanen who wrote (4184)	7/21/2000 8:51:42 AM
From: gdichaz	Read Replies (1) \| Respond to of 5390

Mika: (from Q thread, but curious what Ericsson thread folks think about CDMA down the road - especially you, yourself - in relation to people - especially top management.) Re: CDMA and Ericsson (and Nokia). There is considerable irony in that Ericsson's top management seems to know nothing and care less about CDMA, while Nokia knows and cares but does not have the tools - no infrastructure CDMA license at all, and no license for 1X, HDR or CDMA2000 or WCDMA. The Ericsson CDMA operation in San Diego seems to be disconnected from mainstream Ericsson - tolerated and permitted to do its own thing - but not at the forefront of the future - even though at some point that is exactly what will be essential. One other irony is that there was a story some time age that the Chinese Ministry of Information and Industry seemed to be "surrounded" by Ericsson people. Other stories have referred to Ericsson's people in China advising against CDMA adoption. And the head of Ericsson's operation in China is sometimes quoted as making GSM uber alles type of pitches. There seems to be a major glitch between the reality that the future is CDMA as either CDMA2000 or WCDMA, and that the interim is much more robust using HDR than GPRS. Not sure what can be done about this, but a "retirement" of the old Ericsson China hands might help CDMA in China - if Ericsson would put in some people who know and appreciate CDMA as the future of wireless - regardless of flavor. But different Ericsson people will probably only happen when the Chinese within the Ministry move toward CDMA themselves. This all might be looked at as a "legacy" people problem which reflects the "legacy" technology problem - GSMcentric people reflect GSMcentric technology focus. But this makes little sense for Ericsson now, and will make less and less sense as the movement toward CDMA takes place over the next 2 to 3 years. Note: Doesn't pushing WCDMA (UMTS or DS) require CDMA knowledge and appreciation? Or is the short term and GSM all that matters for Ericsson's future? Comments? Best.

To: Mika Kukkanen who wrote (4184)	7/21/2000 9:20:37 AM
From: gdichaz	Read Replies (1) \| Respond to of 5390

Mike: Was this a language problem or a substance problem? In other words, was the interviewer just using teminology which was both based on English words and unfamiliar? To: Lipko who wrote (77438) From: DownSouth Friday, Jul 21, 2000 9:16 AM ET Reply # of 77440 I was absolute shocked when Hellstrom was so obviously lost by the interviewer's question which had "GSM", "TDMA", and "CDMA". Hellstrom obviously did NOT understand what they were! He even said so. WOW! That's pathetic. It's his business!! Defend him, somebody. Please.