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

To: DaveMG who wrote (27124)	4/15/1999 11:53:00 AM
From: engineer	Respond to of 152472

Considering that NEC has already built IS-95 infra equipment and is selling it in Brazil, then wouldn't it make sense for NTT to buy "japanese" and stay with that over the ERicy stuff anyway? It already supports the 3.68 chip rate. Besides, at the rate that DDI and IDO are growing, if NTT does not go with the IS-95 stuff ASAP, they will loose alot of market share to the upstarts. I think the situation in Japan is exactly like the one here, AT&T versus Sprint and Airtouch (NTT versus DDI/IDO). Look whose winning here..... Also, perhaps there is alot more to the story that just the "sales" price that Ericy is claiming, like taking over contracts, vendor financing, etc. If they truly sold the business, then it would make sense that they also bought existing contracts for delivery. This is standard practice in this type of thing. If you look at the balance sheet, it would not be so much the $'s for the infrastructure purchase, but the continuing operations that QC gains so much. If they are loosing $150M a year on infra (as proposed on this thread), then this is like $2 per year in earnings they won;t have to support, which goes directly to the EPS. Or conversly, this would allow them $150M a year to go make purchases which add to shareholder value...like getting licenses in Brazil or such.