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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: jazzcat2000 who wrote (93251)	2/3/2001 3:36:04 PM
From: carranza2	Read Replies (3) \| Respond to of 152472

Your point is what is being debated. When Telson first inked a deal with Nokia last Summer, the announcement indicated that it was intended to provide CDMA handsets for Nokia to sell in the Korean market. At the time both Telson and Nokia were Q's CDMAOne licensees. If you read post 6892 on the Moderated thread, you'll see that it appears that Nokia is in fact buying Telson-made CDMAOne phones with Q chips inside. So far, so good. Telson got a 3G license from the Q recently. Then, Nokia announces yesterday that it is going to shift some production to Korea. Although the announcement is cryptic, it is obviously somehow related to CDMA. The debate centers around the significance of Nokia's move to Korea and the relationship it may have to Telson having obtained a 3G license. Does it mean that Nokia is getting ready to sell Telson-made 1x phones? Since Nokia does not have a 3G license, it can't sell any Telson-made 1x phones unless it wants a lawsuit. The thinking is that the Q/Nokia deal must be closer if (1) Telson is getting ready to make 1x phones for Nokia and (2) Nokia's move to Korea is a move in preparation for selling the Telson-made 1x phones. I'm not convinced because Telson also makes phones for Korean Freetel, who will have (or already has) a 1x network in place in Korea. I also don't see a logical connection between a shift in where Nokia makes its phones and the conclusion that a Q/Nokia deal is in the cards. In fact, all I see is a non sequitur. My point is that there is no reason to doubt that Nokia is doing exactly what it announced, i.e., keeping margins high by shifting production elsewhere. Telson's 3G license could have nothing to do with Nokia and everything to do with the Korean domestic market, which is in full swing. But I'm told by those smarter and more knowledgeable than me that I'm wrong. I'll be thrilled to be wrong on this point as it is great news for the Q if true. It means that a Q/Nokia deal is close. Whether it involves a full-blown 3G license or simply an agreement to let Nokia use 1x chips made by the Q would be the next topic of debate. Like I said, I hope I'm wrong in my thinking.