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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: foundation who wrote (7659)	2/22/2001 10:13:04 PM
From: Cooters	Read Replies (1) \| Respond to of 196612

Ben, Here's another most interesting bout of speculation about how the Euro capitulation might come from a vendor and not an operator.......... ragingbull.lycos.com Vhuerta, excellent question. Is delayed WCDMA good news or bad? Its a bit of both, with the net effect difficult to determine. The first issue I believe is what is the long term goal. Yes, we could collect royalties, and that is a very nice stream. If that is the primary issue then delayed WCDMA is bad. But I think the issue is control of 3G, architecture. This provides a huge future stream of income and many more business opportunities. To do this we will need capitulation--a passing of the batton--from GSM gang to Qualcomm, and that requires pain. A lot of pain. Enought pain to make the peace with qualcomm. I don't think the peace can be made with the operators per se. They can put enormous pressure on their vendors and their governments, but ultimately its the vendors which have to give in. Qualcomm is making the tour of the european operators. Are they alone, or are any vendors traveling with them? How much pain is Ericsson feeling, since they are european and in trouble. What is Ericsson telling the chinese? Ericsson is the key, not because they are strong but because they are the weak link in Europe. If they decide that they need revenue NOW, then there is going to be a lot of changes. If they decide they can wait, and the operators get really angry it can destroy Ericsson. (I think the folks at Ericsson are not unmindful of Lucent). The locks that the telecom vendors use to have on their customers have weakened significantly with the standardization that's occured. These companies must be getting worried. --the doctor

To: foundation who wrote (7659)	2/23/2001 12:47:14 PM
From: Jack Bridges	Respond to of 196612

Excellent political analysis, Ben. Perhaps one more point is worth considering -- the role of the Euro banks. The auctions could not have succeeded without the greedy bankers smelling a sweetheart killing. Their collective noses are now filling with bilious fear. With none other than Intel/Europe predicting that the mobile industry faces "bankruptcy", and none other than the German government loosening the reins to help soften the debt burden, pressure on the operators to face up to the realities is mounting by the day. QCOM's future has never been brighter or clearer.