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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 (28938)	11/15/2002 1:09:52 PM
From: slacker711	Read Replies (1) \| Respond to of 197212

Let's speculate that TI gets $15 for a GSMGPRS ASIC - which may be low, as I've read that they're meaningfully more than for GSM. During the fourth quarter of last year (or maybe the first quarter of this year), TI was getting 50% more for a GPRS chipset than for a GSM chipset. I am pretty sure that the number has dropped substantially since then. TI's wireless revenues havent gone up enough (as the market has shifted to GPRS) for the premium to still be there. And that a market-segmented 1xGSMGPRS might run $25. I actually think that the price is higher than that. Q averages $25 a chipset. This chipset is going to be on the high-end of their product offerings. That said, I agree that the market is not huge - though why only dominated by premium handsets and subscribers? You can certainly add the China market - and by extension all of Asia - and for roaming prospects in South America. I definitely see Unicom and a couple of other Asian operators (in countries that do business with China/Japan/Korea) as customers. Australia might also be a target market since their coverage varies depending on the network. Dont get me wrong, I see new markets.....I just dont see widespread replacement of the standard GSM/GPRS handset. Operators would be selling them to too many customers who would never use the CDMA side of the handset. We're talking $10 higher BOM - everything else being equal. Perhaps someone else can answer this question....is everything else equal? It's similar in my mind to camera integration - which will not be limited to the high end for long. How much does it cost to add a camera to a handset? $5 to $10, depending on quality, pixels... We agree completely on the camera part of the equation....I see a value for both the operator and the customer with this. There arent many people that would attach zero value to having a digital camera embedded in their handset. I can imagine quite a few people will skip buying a separate digital camera all together as megapixel cameras start to get incorporated. The next step will be incorporating video cameras in handsets. These are the kind of things that will really make DO's capacity shine. Slacker