Will talk become action?

Qualcomm CEO talks about chips, smart books and Apple during a trip to Hong Kong this week

By Jim J. Jubak Nov 18, 2009 2:51PM

Jim JubakTalk is just talk. Even -- or maybe that's “especially” -- when it's from a company's chief executive.

But it can still give investors a sense of where a company thinks it's headed.

Take, for example, the talk from Qualcomm (QCOM) chief executive officer Paul Jacobs in Hong Kong on Wednesday.

Jacobs told reporters that Qualcomm hopes to sell a fourth-generation chip based on the TD-LTE standard, China's home-grown cell-phone technology, in China in 2010.

The chip will be compatible with all existing 3G standards, which should help Qualcomm sell to China Mobile (CHL), which operates on China's TD-SCDMA standard.

Jacobs said he expects his company's fastest revenue growth to come from China in the years through 2013. Analysts expect China's 3G market to grow to 211 million by 2013 from 30 million in 2008, he said. China now accounts for 23% of Qualcomm's revenue and is the company's second largest market after Korea.

Qualcomm is already selling chips for 3G services in China based on Code Division Multiple Access 2000 technology to China Telecom (CHA) and Wideband-CDMA technology to China Unicom (CHU).

Jacobs didn't provide a forecast, but China now accounts for 23% of Qualcomm's revenue and is its second largest market after South Korea.

What else did he talk about?

The company's plans to sell chips into an emerging new product category of computer-like mobile phones called “smart books.” (At least that's what the category is called now, pending resolution of legal action from a small German company that sells a trademarked product under that name.)

Jacobs said Qualcomm is working with 15 manufacturers on 40 new smartbook designs. Taiwan's HTC has already rolled out one model.

And last, but certainly not least, Jacobs addressed persistent rumors that Qualcomm is in talks with Apple ( AAPL) for a “world mode” iPhone that would be built around a Qualcomm CDMA/UTMS chip. (For my most recent take on Apple, see this post.)

Yes, the companies are talking, Jacobs said, but no, he wouldn't tell reporters what they're talking about. Could be an iPhone. Could be something else.

It's all just talk. Got to love it. Got to hate it.

At the time of this writing, Jim Jubak owned shares of Qualcomm in his personal portfolio. 

Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
100 character limit
Are you sure you want to delete this comment?


Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.


StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

123 rated 1
262 rated 2
480 rated 3
651 rated 4
649 rated 5
629 rated 6
616 rated 7
496 rated 8
346 rated 9
111 rated 10

Top Picks

TAT&T Inc9



Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.