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

To: kech who wrote (22419)	5/9/2002 11:19:36 AM
From: carranza2	Read Replies (2) \| Respond to of 196976

As the writer in the article I linked from QRTS theorizes, the Nokia initiative may be designed to take CDMA2000 business away from Q. According to the writer, Nokia has already lowered the price of its WCDMA infra which, by the way, is currently shipping. Lower infra prices and lower royalties may be Nokia's scheme to get carriers who may be on the fence between CDMA2000 and WCDMA to go with Nokia's version. If this is correct, shows two things: First, Nokia may be scared to death of CDMA2000. Second, it might be an attempt to deal a blow to GSM1x, which really ought to concern Nokia, especially in Asia. While we laugh at Nokia's move, if successful it might be a competitive challenge to CDMA2000, which produces lots more profits for Q than WCDMA does, at least for now. The problem is that, except for Nokia, there is nothing in it for the rest of the Cabal, who would suffer from cheaper Nokia WCDMA equipment. Plus, Q as the undisputed CDMA2000 leader, is surely able to respond competitively. The problem is that the royalties are not that big a part of the expense. Nokia is lowering infra prices, thus it is cutting its own profits. It needs a way to make up the difference. If this means taking a swipe at CDMA 2000, why not do it?

To: kech who wrote (22419)	5/9/2002 11:42:54 AM
From: limtex	Read Replies (1) \| Respond to of 196976

TB - The Europeans are totally servile to NOK. So far so good bu the Asians ...well thats another matter. They must do something to stop Asia from flushing GSM out if its system. The US is gone after July 15th so if they doen't do something in a hurry to arrest the decline in Asia they have only Europe and the Middle East left and the Koreans are coming to GSM land. I'd advise them to put up some trade bariers against foregin handsets. That'll stop the Koreans, problem is the Chinese are also in the queue. Best, L