Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: Dealer who wrote (6844)	10/10/2000 8:34:56 AM
From: Dealer	Read Replies (1) \| Respond to of 65232

QCOM--Korea to require two 3G mobile technologies (UPDATE: Recasts throughout, adds quotes, analyst comments) By Yang Sung-jin SEOUL, Oct 10 (Reuters) - South Korea will require two technologies to be adopted for third-generation mobile phone users to appease competing interests among service providers and equipment makers, the Information Ministry said on Tuesday. Three carriers vying for lucrative licences to offer wireless multimedia capabilities have expressed a preference for a platform called W-CDMA, citing its 70 percent share of the world's mobile market. W-CDMA (wideband code division multiple access), being developed by Nokia and Ericsson , competes with Qualcomm's (NasdaqNM:QCOM - news) cdma2000. Manufacturers of telecom equipment, including Samsung Electronics , which are part of consortia bidding for the third generation (3G) licences, have lobbied heavily for the Qualcomm version. Minister Ahn Byung-yub told reporters the ministry wanted both technologies adopted and would not allow all three bidding consortia to opt for just one. Two would be allowed to opt for W-CDMA if they chose, but the government would then hold a follow-up auction to find a cdma2000 carrier, likely by next March. SK TELECOM REGRETS DECISION Samsung Electronics Vice-chairman Yun Jong-yong earlier said the issue was a ``heavy concern'' and it would be best for manufacturers if South Korea avoided going W-CDMA exclusively. The 3G wireless telecom services, called IMT-2000 in Korea, would allow global roaming, faster Internet access, multimedia and real-time video conferencing. Analysts said the government's policy on 3G technology, which earlier favoured letting the consortia each work out the matter, could hurt foreign investor confidence in South Korea's already struggling telecoms sector. Top-ranked mobile service provider SK Telecom was quick to respond, expressing ``deep regret'' over the government's decision. SK shares ended unchanged at 256,000 won on Tuesday but are down 37 percent so far this year. ``Our policy on (favouring) W-CDMA has not changed,'' SK said in a statement. SK leads one consortium seeking a 3G licence and is competing with two others led by Korea Telecom and LG Telecom . Korea Telecom and LG Telecom also told Reuters they would stick to W-CDMA bids. APOLOGY OVER POLICY Minister Ahn apologised for confusion caused by the ministry's handling of the licencing process. ``I am sorry that we failed to reach agreement over the technology issue,'' Ahn said. ``Proper preparations were not made.'' Still, he said the decision to insist on two standards was taken to safeguard South Korea's exports of second-generation CDMA technology. Ahn said in the long run it would also give service providers an edge in negotiating royalty agreements for the respective technologies. ``The government is likely to lose credibility for mishandling the 3G licence issue,'' said Stan Jung, a telecom analyst at LG Investment & Securities. ``By forcing carriers to adopt cdma2000, the message to investors is that they cannot trust its words.'' South Korea has one of the highest mobile phone user rates in the world and more wireless phones than land lines. A ceiling of 1.3 trillion won ($1.17 billion) has been set for bids for 3G licences and a floor of one trillion won. The government has said licences would be awarded based on bidders' technology, experience and financial strength.

To: Dealer who wrote (6844)	10/10/2000 11:04:41 AM
From: Dealer	Read Replies (1) \| Respond to of 65232

<font color=blue>MARKET SNAPSHOT--10:17 AM--Stocks mixed in early trade By Martin Cej, CBS.MarketWatch.com Last Update: 10:17 AM ET Oct 10, 2000 NEW YORK (CBS.MW) -- U.S. stocks were mixed in early trading Tuesday as persistent concern that share prices may still overestimate the outlook for earnings countered a pair of billion-dollar takeovers in the Internet sector. The Nasdaq Composite Index dropped 1 percent in the first minutes of trading before bouncing back to trade little changed. Semiconductor stocks and chip-component makers hobbled the tech bellwether's advance. The Dow Jones Industrial Average and the S&P 500 faired better in morning trading as financial services stocks gained in the wake of Deutsche Bank's $1 billion takeover offer for National Discount Brokers. Oil and gas stocks rose with the price of crude. Shares of Yahoo gained while Motorola slipped before the release of their earnings later today. "We're waiting for confirmation of what we've been seeing in recent weeks with all the earnings warnings," said Bryan Piskorowski, market strategist at Prudential Securities. "Earnings are the real caveat now. We need to hear what these companies expect for the first half of the year." The Nasdaq Composite ($COMPQ) rose 20 points, or 0.6 percent, to 3375.55. The Dow Industrials ($DJ) gained 28 to 10,596 and the S&P 500 ($SPX) rose 5 to 1408. NDB (NDB) soared $22.13, or 88 percent, to $47.38 after the company said Deutsche Bank had offered to pay $49 for each share of NDB that it didn't already own. That represents a 94 percent premium to Monday's closing price of NDB stock. Deutsche Bank currently controls 16 percent of the online broker and market maker. NDB added that it had received other offers for mergers. Yahoo (YHOO) rose 1.5 percent before its earnings report after the close. The company is expected to reveal a profit of 12 cents a share on about $280 million in revenue, a 4-percent increase over the second quarter according to analysts polled by First Call expect. Among other stocks seeing early gains telecommunications giant AT&T (T), which rose after British Telecom Chief Executive, Peter Bonfield, told The Times of London that BT had no intention to merge with AT&T. The stock rose 1.4 percent. The bond market was closed Monday in observance of the Columbus Day Holiday. On Friday, the 10-year Treasury note ended up 14/32 to yield ($TNX) 5.80 percent while the 30-year bond put on 24/32 to close at a yield of 5.845 percent. See Bond Report. On the economic front, the week's highlights include the release of the September producer price index and retail sales report; both slated to hit the market on Friday. View Economic Preview, economic calendar and forecasts and historical economic data. Crude prices continued to rise in London Tuesday amid fears that rising tension in the Middle East could disrupt oil supplies. November Brent traded up 66 cents at $31.46 a barrel on the International Petroleum Exchange in London. On the New York Mercantile Exchange Monday, November crude rose by $1 to settle at $31.86 a barrel. International Markets European markets firmed by mid session on Tuesday with energy stocks such as BP (BP) and Repsol (REP) overtaking an early tech recovery after the price of crude climbed. Bank stocks were among the weakest issues. Tokyo stocks closed down Tuesday as investors returned from the holidays with selling in mind after one of Japan's leading insurers announced it was filing for bankruptcy. In Japan, the Nikkei Average dropped 1.04 percent, or 166.52 points, to close at 15,827.72. The broader TOPIX closed down 1.36 percent at 1,482.57. Japan's financial markets were closed on Monday for a national holiday. Martin Cej is a reporter for CBS.MarketWatch.com.