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

To: carranza2 who wrote (114255)	2/25/2002 9:46:26 AM
From: engineer	Read Replies (1) \| Respond to of 152472

sorry, Carranza, post was intended to him, didn't read header.

To: carranza2 who wrote (114255)	2/25/2002 10:26:00 AM
From: Keith Feral	Read Replies (1) \| Respond to of 152472

As opposed to industry practice of vendor financing, Qualcomm has taken a more direct investment approach. They have done a great job picking and choosing the companies in which to invest - Leap, Pegaso, Vesper, Kt Freetel, Reliance, even Globalstar. Qualcomm has been able to come out on top of every one of these companies through various restructurings. This year, the companies will all be able to hit critical mass for wireless sub growth, i. e. Vesper growing from 400K to 1 million. I wish they could do the same with more companies like Unicom or Sprint PCS. Think about the opportunities in Eastern Europe and Russia. Now that CDMA is no longer the second class citizen for wireless systems, Qualcomm's investees are beginning to make great strides in markets around the world. I can't help but to be amazed at the progress 450 MHZ CDMA is making in Eastern Europe. 4 years ago the trial systems in India, China, and Russia were a joke compared to the size and scope of today's networks. I can remember getting excited about 20,000 line systems. Now, Unicom & Reliance are both building 25 million line systems and the market doesn't seem to notice. I greatly prefer Qualcomm as an investment today with 20 or 30% growth on a global basis than the stunning super growth we had back in 1998 & 1999. The core growth of 3G CDMA is still only accounting for 3G CDMA2000. The recent development by DoCoMo to make WCDMA/PDC dual mode handsets establishes a whole new wave of credibility. Now, they have a direct pathway to covert their 30 million iMode customers to 3G. If you look at the ASIC projections for Qualcomm this year, there is going to be some stellar second half growth. If the March & June quarters show modest sequential improvements - 14 million to 16 million, that will account for only 1/3 of Qualcomm's projected ASICs for 2002 (90 million). By the December quarter, Qualcomm will be shipping over 36 million ASICs to hit their target (40% of 90 million.) Imagine the earnings implications for Qualcomm when they can start shipping 30 million ASICs per quarter on a long term basis.