Tero- You're right QCOM's stock performance has sucked over the last two years. Korea, no significant China expansion, and the nextwave disaster have resulted massive disappointment, while most other wireless players have doubled.
Still North America IS cdma, and it seems the true benefits of cdmaOne vs. GSM(and perhaps wcdma) are soon to be demonstrated by Sprint. How significant they are remains to be seen. China is a must for QCOM and it's way too early to call victory or defeat.
What is your take on the IPR battle required for wcdma? You're posts imply that q's aren't important, why do you think so? Qualcomm's arrogance combined with "group dislike" of qcom, indicate that the IPRs ARE required and valuable. Do you believe that sooner or later GSMers won't have to pay? Both sides are playing hardball. Q is a tiny infrastructure and handset maker, but they if they have THE IPRs, if they give them away, they're dead. That's the issue, give them away and try to play with the big boys and get crushed as you predict, or keep them and have the other players fund q's attempt to catch up in handsets and infrastructure.
Another question is which of the big guys are a better buy today? Who has the bigger upside vs. risk. It seems like LU and nokia are sure winners over the next ten years but are pricy. For q investors the big question is the upside of qcom worth the risk. At least the premium for cdma "hype" is finally gone, and its time to put up or shut up.
Would appreciate your thoughts on IPRs and valuation.
Caxton |
