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Technology Stocks : Interdigital Communication(IDCC) -- Ignore unavailable to you. Want to Upgrade?

To: Jim Lurgio who wrote (4579)	11/8/2000 11:23:48 AM
From: biostruggle	Read Replies (1) \| Respond to of 5195

For Bill Daglish and other IDCC diehards biz.yahoo.com Qualcomm announces availability of "chips" for W-CDMA handsets and infrastructure. IDCC is still talking about getting R&D together for the "future,future". Just IDCC mumbo-jumbo for vaporware.

To: Jim Lurgio who wrote (4579)	11/8/2000 11:31:59 AM
From: Bux	Read Replies (1) \| Respond to of 5195

Jim, time to stop distorting IDC's financials. It doesn't take a financial whiz to see how your quarterly figures are selectively chosen to hype IDC while you ignore the larger and more troubling trend. Do you think anyone here is stupid enough to think it is enough to compare one quarters recurring revenue to that of a quarter a year ago? Why do you fail to point out that royalty revenues are lumpy and single quarter comparisons are meaningless? Let's look at the bigger picture which will smooth out one quarter "lumps". I was pointing out that IDC needs to grow revenues to justify higher share prices. In fact, revenues are declining. For the most recent nine (9) months total revenues were $37 million compared to $58 million from the year ago 9 month period. Perhaps we should just look at licensing and strategic partner revenue for the most recent 9 months? That is $31 million compared with $56 million from the year ago 9 month period. In other words, this licensing revenue is almost half of what it was in the year ago period. See how the picture changes when you don't selectively isolate just one quarter? That's a big drop considering that cellular sales continued to increase over that period. I do not expect this trend to reverse unless and until IDC is able to build significant 3G revenues. That is looking less and less likely, especially with Qualcomm's recent announcement of the early availability of their MSM5200 WCDMA chipset solution in the 2nd qtr. of 2001. Don't underestimate the difficulty that IDC will have competing with this early and well-funded offering from Qualcomm. As far as burn rate, let's look at the trend of operating expenses for the most recent 9 months compared to the year ago period. Operating expense has increased almost 50% to 12 million from 7 million in the year ago period. I expect this trend to accelerate since the hiring spree was not even underway for the entire first part of this 9 month period. If so, it won't take long to burn through that $93 million of reserve. This is an expensive and highly competitive business where only the strongest will survive. I wasn't going to respond to the "basher" portions of your response but just to humor you, I'll give it a go: I have never claimed that Once is a different person from myself. Are you saying that I don't have the right to post on different boards with a different handle? Did it ever occur to you that the handle "Bux" on raging bull is already taken by someone other than myself? I couldn't post on Raging Bull under "Bux" even if I wanted to. Just what is your beef anyway? As far as selling my QCOM in '98 to ride IDC to $82, I'm glad I didn't do that. Instead I rode Q from $5 to $100-$180 where I sold most of my shares and repurchased most of those at $52-$62. And who is to say I would have been able to sell IDC at the absolute peak of $82? If I was that good, I would have sold every Q share at $200 and repurchased four times as many at $50 but I prefer to invest long-term in quality companies with good risk/reward ratios and increase my returns with a rational amount of speculation. If you don't like my analysis of IDC, put me on ignore but don't tell me to take it somewhere else, that's what this board is for. Bux