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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: qdog who wrote (8656)	2/19/1998 8:27:00 AM
From: tero kuittinen	Read Replies (4) \| Respond to of 152472

Hi qdog! "Article out of the GSM World Congress confirms that QCOM IPR's are central to this variant of CDMA. Read the release." And the release reads: "Several participants at the congress said QUALCOMM Inc (QCOM -news), which has four key patents, has told operators they had to pay between two and five percent of sales in royalties. Executives of phone operators said they found this demand too high and have told QUALCOMM they could use another technology." Everybody is free to interpret this in the way they choose. I don't see extravagant demands of 5% royalties as sound business policy. I think there is a good chance that it will lead to use of alternative technology and zero profits for Qualcomm. Or perhaps Qualcomm will be forced to accept a more reasonable cut. Either way, W-CDMA will be far more profitable to Nokia or Ericsson than it will ever be for Qualcomm. If GSM operators shun the GSM-overlaid CDMA in favor for upcoming W-CDMA Qualcomm's investment in developing this technology won't return as good profit as investment in W-CDMA will return to W-CDMA companies. This is the key issue for investors: who will get most bang for their R&D buck. "Fact NTT last year said that 3G would be backward compatible, not only with IS-95, but all stnadards, to include GSM, PHS, TDMA. But you seem to like to distort the facts with your smug Nordic arrogance." Really? I have the article in "Helsingin Sanomat" from last summer where the R&D boss of NTT specifically claims that NTT is supporting GSM-compatible 3G. Where is your citation? Where has an executive of NTT ever claimed on record that Japan's 3G will be compatible with IS-95? And more pertinently; since you probably realized some time ago that 3G is not compatible with IS-95, how come you never informed this thread about this? Have you no shame? You were one of the people advertising the NTT - IS-95 - 3G connection last year, yet you have never acknowledged the fact that this turned out to be pure fantasy. Tero