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

To: Bux who wrote (26644)	4/10/1999 6:20:00 AM
From: Robert Scott	Read Replies (1) \| Respond to of 152472

Having followed this company since reading an article in 1993 by GG in Forbes ASAP, I am finally gratified to see the reason why I invested in this company partially realized. I have not held the stock continuously over the years but I did trade it successfully - I wanted to hold it but I learned early on that it didn't pay. I often thought of the company as Irwin's full employment plan for the radio industry! I see now completely that Irwin was 100% successful in accomplishing what he set out to do - which was to establish CDMA as 1. the US standard and 2. the world standard or at least one of them. He has virtually a complete victory and now we investors are being rewarded. Now that the war is over, the battles are beginning and QCOM must compete effectively in the handset business. I feel confident that they can continue to grow their ASICs business nicely. I think that the wireless market is expanding nicely and with the world generally recovering, will continue to for at least a few years. Does QCOM consolidate its gains here and move higher in 6 months? Does it continue to move higher because it will be viewed like an Intel - in control of the technology that dominates a huge and growing market? Don't know - but I do know 1 thing - I ain't selling this time!

To: Bux who wrote (26644)	4/10/1999 9:08:00 AM
From: MileHigh	Respond to of 152472

Bux, Good points, although I am new to QCOM it looks as if the manu part of the business was weighing heavily on the income statment. The ASIC royalties should provide VERY high margins. That is, let another semi manu make them and then pay QCOM a royalty for every chip sold-- no plant, no cap ex, less people, fewer buildings, etc...Gross margins in other fabless semi co's approach 80%-- very, very profitable business but yet to be fully proved. Thanks to all for great info on QCOM. Boy, was Gilder bullish or what?! Makes me want to go out and buy a few more lots! Regards, MileHigh