emanreus Post time: 2018-5-31 20:33
re: It's holding ZTE as hostage doing whatever it wants.
Somehow, I do believe that ZTE will be to ...
Qualcomm could buy out ZTE’s smartphone business in the USA as well as its CDMA telecom business in China. Otherwise, Qualcomm would take a big hit because it would lose its revenue stream as the CDMA technology supplier to ZTE. And there are no other companies doing what ZTE has been doing all these years which is to manufacture CDMA equipment for mobile operators in Asia, Europe, Africa and Latin America as well as selling low-cost smartphones to US carriers.
emanreus Post time: 2018-6-8 21:21
Seemingly I'm way of here.
Perhaps I'm too near sighted for the long run
Qualcomm sells chipsets for a living but there are hardly any US smartphone OEMs catering to the low-end market. Chinese smartphone OEMs have already turned to Mediatek and Spreadtrum for the low-end market while Apple, Samsung and Huawei now design their own chipsets. Qualcomm has already lost the high-end application processor market to in-house designs and may lose its baseband processor modem business in the 4G/5G market because it lacks the patent monopoly it had with its 2G/3G CDMA business.
So it makes sense for a US buyout of ZTE’s smartphone business which caters mostly to the low-end market in the USA. Qualcomm can easily invite US private equity firms which specializes in buying out distressed tech companies to bid for ZTE’s business in the USA. The new US company under US ownership and management will then do the design, manufacturing and marketing of ZTE’s “AXON” brand of low-cost smartphones rebranded as a US brand. That way, Qualcomm keeps its market share while employees of ZTE in the smartphone division keep their jobs in the USA and China.
emanreus Post time: 2018-6-9 10:45
What you're suggesting does make sense
However, I'd tell ZTE to close shop, move out and repai ...
That’s what I meant: ZTE should sell its US smartphone business to US buyout firms and then restructure its telecom business in China. ZTE did a good job clawing its way to the number 4 spot in the US market while no US company has been able to come up with a decent Android smartphone to compete against Samsung and LG. Google tried but failed in the past with its Motorola Mobility acquisition and is trying again by buying out Taiwan-based HTC. Even Android creator Andy Rubin’s “Essential” smartphone brand is reportedly up for sale.