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Technology Stocks : Ericsson overlook? -- Ignore unavailable to you. Want to Upgrade?

To: Diogeron who wrote (1039)	11/16/1997 9:31:00 PM
From: Caxton Rhodes	Read Replies (1) \| Respond to of 5390

Ericy will do very well in the future as they are beyond a doubt a leader. I don't predict any crash and burn, just think they would have been in a more dominant position with an IS-95 license. In the next five years, the faster horses will likely use IS-95 cdma. In any event there is tremendous demand for telecom infrastructure no mater what the overseas markets do. Ericy has been betting that IS-95 cdma wouldn't be successful, and it looks like they lost that bet. They have slammed IS-95 at nearly every opportunity on the way, often making misleading statements, which leads to a need to for me to make occasional sarcastic remarks on this thread. As for the phone prices, higher prices mean higher profits assuming there is demand. From the "digital" ads I see in the SF Bay Area, the demand is shifting towards CDMA phones which are used by GTE and Sprint. Ericy phones are sold for Pac Bell and Cellular One (both using TDMA) which are coming under intense competition especially since the Sprint launch. My negative comment about ericy phones ("nobody likes them") is a generalization admittedly, but both owners of them and the sales people I talk to, clearly prefer nokia; the stores that sell both TDMA and CDMA phones like the CDMA phones better. Simplistic analysis I know, but its insights have served me well in the past. Everyone is giving away anolog these days, but with digital prices approaching 10 cents a minute, I think even people on a budget will step up and spend $150 plus for a digital wireless phone. Lastly, like it or not, IS-95 cdma is a better product than GSM. The only arguments I hear are that it is not as much better as the CDMA folks claim, which is weak argument and would concern me if I was Lars. As for it not being significanlty better, that's the basis of the quote from the CEO of qcom, Dr. Jacobs, "Some people still believe the world is flat". Good luck to you all, including Daniel (at least we liven up the place), and I hope ericy doubles next year after they buy a license from qcom. Otherwise you might have to settle for 40%. Caxton P.S. Those niners whipped those ericy panthers today, during which I hit the fridge for beers during the ericy commercials.