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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 (23937)	6/20/2002 6:37:58 AM
From: foundation	Respond to of 197032

China Unicom Maintains 2002 CDMA User Target Of 4 Million Thursday June 20, 5:19 am Eastern Time HONG KONG -(Dow Jones)- China Unicom Ltd. said Thursday it is maintaining its 2002 target of 4 million subscribers for its code division multiple access, or CDMA, network, despite market concerns that the aim is too high. "We maintain our target for the CDMA network," spokeswoman Sophia Tso said. China Unicom signed up 83,000 new CDMA subscribers in May, 38% fewer than what it signed up in April, bringing its total to 785,000. Investors are concerned that it may not be able to reach its subscriber target, as it has signed up less than 20% of its user target in the five months since the network was launched. The company's parent, from which Unicom is leasing CDMA capacity, initially blamed the network's slow start on the handsets, and made a deal in May to buy them in bulk from China Unicom to bring down the price. In addition, there have been renewed fears about a potentially damaging price war with its rival China Mobile (CHL) following reports of a fresh round of CDMA promotional offers. Tso said, however, the company doesn't intend to trigger any price war. The concerns have sent the shares of China Unicom, the listed unit of mainland China 's second largest mobile phone company, down to all-time lows this week. At around 0730 GMT ( 3:30 a.m. EDT) , the stock was continuing to extend its losses, falling 2.2% to HK$6.60. It has lost more than 23% since the beginning of the year. Tso said that it won't lease more CDMA capacity in the third quarter, although it is undecided about the fourth quarter. It had said earlier it might lease more capacity if there is demand. biz.yahoo.com

To: foundation who wrote (23937)	6/20/2002 9:06:38 AM
From: Ramsey Su	Read Replies (1) \| Respond to of 197032

Nokia's "licensing" problem, I believe, is with China, not QCOM. They were not one of the original 19 so the most likely route for them is to go backdoor via Capitel, one of their major Chinese partners. However, I do not believe capitel is using nokia for their cdma handsets right now. I believe for the 1x rfp in process, Nokia had submitted a proposal. I have not read anything regarding the decision dates for this rfp. Furthermore, is there anyone in the world who would believe that Nokia is not interested in manufacturing and selling cdma handsets in the Chinese market? THE CHOICE IS NOT NOKIA'S. Regarding cdma subs, I have previously posted that deep discount subscription plans are popping up in miscellaneous lesser known provinces and cities. I rechecked those articles and found a couple of "launch" dates - May 24 for ZheJiang and June 6 for Wuhan. It is likely that these efforts are not reflected in May's numbers, or as a result of poor May sub numbers. There may also be a question of CHU subs vs Unicom subs in regions not leased to CHU. Some historian is going to have to find the information regarding the specific provinces leased to CHU. I couldn't find it in my notes. Finally, I am glad that nokia is shooting for the #1 position in the global CDMA market. I assume that means they will be ordering chipsets from qcom soon. Ramsey