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

To: Techteam who wrote (16169)	10/8/1998 10:29:00 AM
From: Valueman	Respond to of 152472

<<You then state the company has disclosed that there were no licensing fees in the quarter. I can't find that disclosure in the 10-Q, but lets assume that it is correct>> This fact was stated during the last conference call.

To: Techteam who wrote (16169)	10/8/1998 10:33:00 AM
From: SKIP PAUL	Respond to of 152472

If the royalties are only $5 to $7 per phone and ASP's are $300 why is ERICY complaining about high royalties?

To: Techteam who wrote (16169)	10/8/1998 10:43:00 AM
From: Michael Allard	Respond to of 152472

Techteam: Gregg stated that last quarter Royalties were $46 Million. Last quarter was Q3, not Q2. The $18 Million you refer to was Q2, and that is why L&R for Q2 was $70 Million. So, we are back to $10 - $15 /phone in royalties. Korean vendors publicly stated less than a year ago that they were very upset with the 6% royalties that they had to pay QCOM. The 6% would surely push us to the upper end of the scale. My estimate for L&R for Q4 follows: Added 3,281,920 CDMA users during Q4. QCOM produced 1,325,000 of these phones, leaving 1,956,920 to collect royalties on. Royalties on phones: $29,355,800 (based on $15/each) Royalties on Infrastructure: $20,000,000 (incl Japan) New Licensees: $ 6,000,000 (Acer Periph & US Wireless) Adjustmt to Q3 Est $ 3,000,000 (based on consrv est) Total = $58,000,000

To: Techteam who wrote (16169)	10/8/1998 11:26:00 AM
From: Gregg Powers	Read Replies (1) \| Respond to of 152472

Techteam: Now you are getting me pissed off because you are either incompetent or deliberately disingenuous. The $18mm royalty adjustment happened in Q2, while the $46mm royalty number, handset and ASIC metrics are all from Q3...and you should know that. Tony Thornley specifically commented on the Q3 conference call that there were no license fees during the quarter, so the $46mm represented pure royalties...you should know that too. I do not find your claim to have spoken with "many of the firms that are licensees" to be at all credible. I have spoken to virtually all of the company's licensees plus I serve on a board of directors with a senior manager of one of these QC's licensees and I will wager that my previous comments are a lot closer to reality than your hyperbole. I really do not mind honest debate, but I find innuendo and psycho-intellectual deception to be dishonest and exasperating.