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.

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

To: David E. Taylor who wrote (19181)	2/17/2002 11:39:56 AM
From: Dexter Lives On	Respond to of 196474

But, the SP's must believe the market potential is there to recoup their license and network deployment costs. What the industry believes is irrelevant; it's what they can convince the capital markets of that matters. In order to close their funding requirements, they are going to need to show that 3g networks can be profitable, outside of the lab. From the early evidence, it would seem they are not able to make the case... Rob

To: David E. Taylor who wrote (19181)	2/17/2002 12:54:30 PM
From: Ramsey Su	Read Replies (2) \| Respond to of 196474

David, sometimes simple math is adequate. $1 trillion, be it possibly EU instead of US$, is still a lot of money. Let us assume there are going to be 100 million 3G UMTS subs average for the next 10 years, STARTING RIGHT NOW, which we know is far above reality. $1 trillion is $100 billion per year. With 100 million subs, that is $1,000 ARPU per annum just to meet that estimate. I remember there was a guy named Michael who said Dell will grow at 70% indefinitely. I also remember a John Chambers who thinks CSCO get grow at 50% bottom line and 30% top line indefinitely. UMTS may have both of them beat, by a huge margin, with the wildest promises. Ramsey