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

To: Ingenious who wrote (14156)	8/26/1998 4:44:00 PM
From: marginmike	Read Replies (2) \| Respond to of 152472

Look lets deal with facts not fiction. Qcom could go to 2 dollars a share, there are no guarantees. However your rational is wrong. Here are some points to consider 1) In Korea CDMA sales have tapered off a bit. However they are still quite strong. Using CDMA is a cost saving event for most Asian companies. 2) In Europe during the early 90's while a huge recession took place cell phone sales still grew! It is incorrect to assume that a downturn would do any more then slow(a bit)CDMA's growth. 3) Qcom cannot keep up with demand! If you heard the conference call. Even if demand tapered off it would give time to Q to build up for thw quick recovery that will come later. The fact remains that CELL Phones are more of a necessity then a luxury in most Businessmen's lives. That goes in Korea, that goes in India, that goes in Brazil! 4) Furthermore these phones are subsidized by big companies that have to increase capacity as fast as possible. Therefore phones will be given away if necessary by carriers. Qualcomm will still get paid in full. 5) Qcom manufactures phones in many of its markets(Brazil,Korea)therefore having a cost reduction due to currency exchanges for export to western markets. This also protects them from cost increases in those markets. The last point is about the markets. It is only my opinion, but it seems we are done with our correction. 2/3 of stocks listed are down over 20%. In the exception of 30-40 companies there has been an absolute bloodbath. The fact that today we are only down 80 points, given the Russians just defaulted the European and Asian markets were crushed I think is a sign that everyone who wanted out is out. The markets are treading water until earnings season, wherein people will realize that the world is not so bad after all. This is simply a re adjustment of markets which is not a bad thing. We might have a few bumps on landing but the decent is basically over.

To: Ingenious who wrote (14156)	8/26/1998 4:46:00 PM
From: limtex	Respond to of 152472

LW - True but Korea is getting better by the day and Indonesia of all places just got a good report card from the IMF and Malaysia is very small. China it is true is going to have lower growth than thought at the beginning of the year BUT Chine even with low growth is going to be a big market for the Q. Russia is a dead duck economically now but it was never really up to very much anyway. Those banks that lent real money to the Russians need their brains examined. BUT even in its every day condidtion lots of people in Russia have mobile phones. Now I'm not using this to relate to Russia but to relate to Japan. Even though there is plenty of competition there so is there in Finland where the mobile phone penetration rate is huge. So the argument is that the Q can do very very well in the Japanses market alone. BUT the Q has another good market and that is the US. Here also the Q could do very well as a stock if the US was its only market. And now Brazil. Brazil is no Russia. Correct me if I'm wrong someone but for all their reputation I don't think anyone in South America has defaulted for a very long time. Anyway if Brazil is going to be he next in line for a devaluation don't worry too much they're used to being in an economic wonderland and have been for over a hundred years so they'll take it in their stride and they'll still buy mobile phones. Now Mexico. Whatever happens to its currency becuase it moght be Mexicos tunr next week or next month Mexico is not going into recsssion this time unless the US has a pull back. AND the Q has just got going in Mexico and loads of Americans go to Mexico and presumably they'll be able to use their Q phones there. Now India...well thank goodnes so far no-one has mentioned India as a suitable case for recent economic treatment but the Q has a deal there and there are loads of people who can afford mobile phones in India. ( Sorry India I almost forgot you). In summary I'm usually the whiner around here but not recently. The Q is on track to be a major force in Global telecom and eventually the market will recognize that. Regards,