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Technology Stocks : Nokia (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: tero kuittinen who wrote (799)	7/29/1998 8:06:00 AM
From: Jim Lurgio	Respond to of 34857

Good article from Total Telecom 100,000,000 Users for GSM By a staff reporter 28-JUL-98 The Global System for Mobile Communications (GSM) is expected to have its 100 millionth user sign up by the end of July. This is 18 months ahead of the schedule expected by the GSM MoU Association, and with four new customers joining a GSM network per second, revised forecasts anticipate 120 million users by the end of the year, says the GSM MoU Association. The first GSM network was launched six years ago Radiolinja in Finland. GSM now accounts for 38% of the world's wireless market which totals nearly 260 million users. "This achievement can be attributed to two success stories: the continues growth of the major European countries such as Italy, Germany and the UK; and the sustained development of the Asia Pacific market place, despite economic difficulties there," said Richard Midgett, chairman of the GSM MoU Association. China has recently overtaken Italy as the country with the most GSM users, with 9.8 million users. Forecasts for GSM900, 1800 and 1900 networks predict 170 million users in 2000, with 300 million users two years later.

To: tero kuittinen who wrote (799)	7/29/1998 10:58:00 AM
From: Penny_Money	Read Replies (1) \| Respond to of 34857

Hi All: Nokia says that cellular phone users grew from 200 million as of Jan 1 1998 to 250 million on July 1 1998. Nokia hand set sales grew whereas ERICY and MOT stayed stagnant. This is puzzling. I have attempted to understand this phenomenon below. Please add/criticize the reasoning. This could be attributed to 3 (and/or) likely reasons: i) Nokia has a volume advantage so prices phones lower, ERICY and MOT lose sales (price per phone * number of phones sold). So even though they sold a greater number of phones sales stagnated ii) New competitors taking share from MOT/ERICY (Qualcomm for e.g.). iii) Nokia taking market share from MOT/ERICY. Please feel free to comment. Insights appreciated. Penny (007 loves my 6160)