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Technology Stocks : Ericsson overlook? -- Ignore unavailable to you. Want to Upgrade?

To: Raymond who wrote (2897)	3/5/1999 4:56:00 PM
From: Maurice Winn	Respond to of 5390

Raymond, the reason others support Ericy's efforts to advance VW40 is to lever Qualcomm's royalty rates down. The Koreans, Nokia, Ericy and others have been whining like 747s that Qualcomm's royalties were stifling CDMA. Imagine how fast it would grow if it wasn't stifled. The chip rate for VW40 is nonsense and that has been well shown. Qualcomm has said they will go with the most efficient. Ericy has fooled some people, but not all. Do they have spectrum for these trials or are they 'technical trials' using artificial air interface? These 100g handsets sound fine. Which ASICs do they use? What range and battery life do they have? They better hire some expensive lawyers to try to minimize the damages claims from Qualcomm if they illegally go ahead and steal Qualcomm technology. It seems they are likely to do that, on the bet that a court will award trivial damages. Since Qualcomm has been the only company successful in making cdmaOne work like a dream, the courts might find that damages should be at the high end of intellectual property fees - say 20% or 25% of the wholesale price being payable to Qualcomm. Even with Qualcomm intellectual property, Nokia, Motorola and others failed to come up with good cellphone CDMA. Imagine if they had to develop their own rake receivers, power control and the other stuff. Q! is now moving so fast, that their ASICs are leaving their licensees further behind, never mind unlicensed competitors such as Ericy. Bill Clinton is now being brought into the discussions by a bunch of senators who are concerned about European designs on USA property. As you know, he is quite proactive and likely to act on behalf of Americans. As is Al Gore if it drags on long enough. That means CDMA will not be stolen from Qualcomm and USA technology will get market access to Europe. Maurice