Encouraging news in today’s episode of Death to Qualcomm
…you know the market as a whole was down over 4.5%, right? A 3% drop means they had a comparatively good day.
Well that’s pinteresting, because
Intel shares were up 1.4 percent at $46.81.
Apple is up 3.72% right now but Qualcomm is up 3.74% on the day!!!
Why are you quoting Intel’s shares when discussing Apple and Qualcomm?
Oh, because you’re throwing out meaningless comparisons because you don’t have any other kind of response.
Change (% chg)
Qualcomm:
$1.15 (+1.87%)
Apple:
$1.14 (+0.73%)
So, in ‘Death to Qualcomm’, Apple announces it may scrap Qualcomm chips and Qualcomm shares outperform Apple’s.
Ok wumpus.
The price response was for the initial news. The wider market moves have swamped that news.
surprised the Broadcom offer isn’t mentioned, so here it is:
Chipmaker Broadcom (avgo, +5.33%) on Monday raised its offer to buy Qualcomm by 24% to more than $121 billion, sweetening the bid and putting more pressure on its rival to come to the table for negotiations.
“Qualcomm and its board now have a tough decision as this is a compelling offer in our opinion,” said analyst Daniel Ives of GBH Insights.
The new offer values the company at $82 per share — a premium of 24% from Qualcomm’s close on Friday.
from 2/5. Not sure of the timing as the market’s been all over the map.
You weren’t just ‘sharing the article’, you were using it as a justification for an opinion.
As such, you’re responsible for the content in your post and not them.
However, I’m sure you’ll just run away from the contents of your post as you usually do. Would you not consider doing a little bit of fact checking before posting? Or even, try not posting indefensible statements?
shrug
Check the 1day share price graph for Intel and Qualcomm. While the magnitudes differ slightly, the movements mirror each other (and Apple!) exactly.
Or to put it more bluntly, the news is so minor that its effects on investor sentiment are indiscernible noise.
I agree. It’s always risky to tie movement in prices to actual developments on the ground. The market is not really rational and deterministic enough to make such simple correlations unless the news is huge.
Qualcomm tells Broadcom to stuff it in their Broadcom-hole:
Qualcomm said the offer “materially undervalues” the company and “falls well short of the firm regulatory commitment the board would demand given the significant downside risk of a failed transaction.”
Looks like Qualcomm is taking time out of their busy schedule of ruining the Internet to destroy smartwatches too.
Sure, but who gives a shit about smartwatches?
This is such a weird article to me. No one wants to pay them for smartwatch chips so they aren’t making them. I’m sure if google/moto/lg/whoever wanted to sign a contract for a ton of chips Qualcomm would take their money.
If someone wanted to contract a custom SoC, sure. But that isn’t how you get cheap mass-market hardware and build a healthy competitive ecosystem. Qualcomm develops complete SoCs themselves, that’s their product line. If they don’t have a smartwatch chip available, that means they don’t feel the demand is there. Which it isn’t, because smartwatches are ridiculous.
So why do I see Apple watches and Fitbits everywhere?
Apple reported their biggest Apple Watch quarter yet last quarter. YoY Apple wearables (which includes Beats) sales were up 70% and were the second highest revenue stream for Apple last quarter. Wearables are a huge market.
Another negative for QComm and their QComm-hole: the analysts I monitor all said the wearables market is pretty much just the iWatch market - they say it’s not worth following any other type. Is it even worth Qualcomm’s time to make those chips?
Doesn’t matter anyways. The smartwatch market has never grown beyond the niche/gimmick level.
You speak as though it’s a fully mature market, and I do not agree with that assessment. But it sounds like this is threatening to digress into another topic, so I guess we should get back to talking about Qualcomm’s Qualcomm-hole.