Qualcomm Inc (QCOM)

[carranza2]

While I hated to see a write off FQ2, Anatel's decisions may have been a blessing both medium and long haul for Qualcomm shareholders. Oi and TIM are going to be very tough competition on the GSM side and Telesp very tough competition on the CDMA side in Brazil. Had Vesper operated, any meaningful payback would have probably been way, way out,

Disagree to some extent. The new license Vesper won did not have any existing CDMA operators in two of the three licensed areas. According to Q's 10-Q, they were of "strategic" importance to it. It is hard to disagree with this assessment since the total population covered was 64 million. A juicy opportunity has apparently been lost because, as we all know, CDMA operators have a cost advantage over GSM carriers. This opportunity is probably what got Q interested in Brazil in the first place.