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

To: tero kuittinen who wrote (3295)	6/2/1999 11:56:00 AM
From: gdichaz	Read Replies (1) \| Respond to of 5390

To Tero: Do you actually believe that you serve your Ericsson readers well by picking and choosing only the good for GSM and the bad for CDMA? Curious. Obviously Japan is rapidly rolling out CDMA nationwide with zero GSM. Brazil is switching to CDMA countrywide. And on and on. Sure GSM handset sales will continue with the huge installed base and the few add ons which will be scattered around the world in the next year or so. Nokia is a fine company. Ericsson has purchased a CDMA infrastructure facility. Both GSM and CDMA will do well in the immediate future. What is interesting is what will happen a couple of years out. Chaz

To: tero kuittinen who wrote (3295)	6/3/1999 9:56:00 AM
From: slacker711	Read Replies (1) \| Respond to of 5390

We actually agree on a couple of things. You wont get any argument from me against GSM's continuing momentum worldwide. I also dont think that cdmaONE will ever dominate the global wireless market (CDMA in the form of 3G will). However, what i disagreed with was the implication, in your original post, that the growth of IS95 was slowing. I dont think that the data you provided (lower sequential sales at Sprint and in Korea) backed up your assertion. Obviously this wont be settled until the data from the next two quarters is in, but I think the growth in ASIC sales from QCOM is a good sign. What a specialized CDMA manufacturer would need to succeed is to match the specs of leading GSM models at the same time they debut. You are going to have a hard argument if you are implying that the Q has not succeeded thus far. Has their strategy been a complete success? NO. They do need an improved line-up of phones which can compete across the entire product spectrum (high-end and low-end). They also need a pdQ which is based on the MSM3000 not the MSM2300. However, in the last year, they have improved their manufacturing ability significantly (look at their capacity and yield numbers). They also have a phone which I think will be able to compete with whatever offerings Nokia and Mot come out with. The Thinphone is retailing for $99 and offers decent stand-by times and will offer data rates up to 64kbps by the end of the year. What are the current data rates offered by GSM/TDMA phones (i honestly dont know). The question really becomes which companies are positioned to succeed going forward. Eventually much of the GSM world will go CDMA (either W-CDMA or CDMA2000), and Nokia/Ericcson will have to be ready for it. I dont think the current delay in the 61xx bodes well for Nokia's efforts. Slacker