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

To: J. Nail who wrote (9243)	3/16/1998 10:34:00 AM
From: Gregg Powers	Read Replies (2) \| Respond to of 152472

J.Nail You are "predicting" an accident that has already occurred. Your confusion may derive from announcements made by Spectrian, Datum and Andrew. The U.S. PCS infrastructure build-out has slowed from last year's pace because Sprint's and PrimeCo's accelerated deployment created a bubble of spending over the last twelve months. This has impacted companies like SPCT (which gets 74% of its revenue from Nortel & its affiliates) and ANDW (which provides the "nuts" & "bolts" for the build-outs). However, completed networks are a positive for Qualcomm since subscribers can now be loaded--driving U.S. subscriber equipment royalities (Nokia, Audiovox, Samsung and MOT) plus ASIC and handset sales. QC's February preannouncement already accounted for the slowdown in Korea; that's old news. Looking forward, North American subscriber growth should accelerate--as completed PCS systems compete for subscribers and as the 800MHZ carriers (i.e. traditional cellular) accelerate their digital migration (go read Bell Atlantic's recent press release on the topic). DDI and IDO (in Japan) probably go pre-commercial early next month, and begin aggressively ramping subscribers in June or July (which should drive QC ASIC orders in the May-June timeframe). Somewhat ironically, I am quite heartened by your comment, which is quite reflective of Wall Street's current thinking--everyone is waiting for another shoe to drop from Korea. I would suggest that with everyone so fixated on this risk, it has been more than discounted into the stock price. Best Regards, Gregg