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

To: Jim Mullens who wrote (41129)	6/13/2004 10:49:09 AM
From: Cooters	Read Replies (2) \| Respond to of 196451

Jim, I had a much different take on the report. I thought it did a great job putting to rest the WiFi/WiMax threat to 3G. They singled out Flash-OFDM because it is the only current form of wireless broadband(broadly defined) seeing some traction. That it happens to be the perfect answer for Nextel doesn't really concern me, I don't think it is the answer for any carrier currently on a CDMA2000 or WCDMA path. Nextel is a side-show, the main event remains intact. Nextel is a unique situation, they have one product based on a single technical advantage in latency, plus they have a first-mover advantage. Moving to CDMA throws them up against VZW and Sprint and removes the only advantage they have. QChat and BREWChat latencies are too high for Nextel. EV-DO RelA/DVRelD will significantly improve latency, but it is still too high, Nextel customers are used to the product they have and expect that or better. It so happens that Flash-OFDM, properly configured, will do that. IMJ is correct that Flash-OFDM does not currently appear to offer sufficient performance gains to alter anyone's path. It just happens to be right for Nextel. I've been testing ReadyLink this weekend, we finally upgraded a few handsets to the Sanyo 8200 and so I signed up for a trial along with the new 8200's. BTW, the 8200 is a very nice handset! We are seeing initial call setup of 2-3 seconds and subsequent latency of about 1 second. Sprint has a configuration where they allocate some network resources to RL users at all times to get the setup down, I'm not sure what they have done for the in-call latency. The point it is works great from my perspective, but would appear slow to a Nextel user. I don't think RL is much of a threat to Nextel's business customer base, but it should see some traction for new customers - family plans, etc. It was a good report, Jim. Highlighted what is going on outside of the CDMA world, things we will eventually need to take into consideration when determining whether to hold QCOM at 2-3X the current price or move on and not worry about it. Cooters