(Part 2) This was auto-deleted yesterday probably because it was back-to-back postings from me on the same thread...
Qualcomm has over 30,000 employees associated with the company. Apart from the usual planned layoffs, Qualcomm has suffered the loss of some key executives over time.
Rob Chandhok, president of Interactive Platforms and Internet Services left the company last month. Although the executive was clear about his decision, he failed to disclose the reason behind his resignation. Soon it was announced that Mr. Chandhok had joined Helium Systems as the president and chief operating officer (COO).
"I saw the opportunity to do a little bit more in the Internet of Things space at a pace that would maybe be a little different than the way Qualcomm could do it," said Mr. Chandhok.
Peggy Johnson, a longtime executive, who had worked for around 24 years, left the company in August last year to join Microsoft. Clint McClellan, another exec who had worked in the company for 17 years resigned to take up the post of president at Indie Health. Bill Davidson, another veteran who served as the senior vice president at Qualcomm left to take up the post at GlobalFoundries.
Amir Faintuch resigned from Qualcomm last August to take up the position of senior vice president at Intel Corporation (NASDAQ:INTC).
In the words of Jim McGregor, a company is deemed to be affected every time an executive is changed.
“Several members of Qualcomm’s senior management team were aggressively targeted by peer companies’ recruiting efforts, some of which were publicly discussed in the business press,” reads the filing.
Yes, it's good to have a dividend boost. And No, I don't think it will be .24 for a while.
10 quarters of .23 was due to Intel fighting with its back to the wall.
Intel clearly signified more confidence with this dividend increase. The 46 million tablet SOC volume in 2014, newer SoCs coming, more smartphone wins to be announced in MWC, disruptive costs in 3D NAND, progress in wearables, IoT, etc. - I think we will see a dividend increase in another 3 to 4 quarters.
Not a good sign for Qualcomm. Typically, these guys won't jump ship if they see a good upside in the company's fortunes.
Being generous to employees is one of Qualcomm’s traits to retain key positions; the company makes sure that it exceeds any offers from rival companies to make its employees stay.
A Security and Exchange Commission (SEC) statement filed on Thursday shows that Qualcomm has awarded chief executive officer (CEO) Steve Mollenkopf and executive chairman Paul Jacobs with special stock grants worth $95 million last year. According to the filing, Qualcomm Inc. (NASDAQ:QCOM) gave the two executives stock grants to prevent them from leaving amid aggressive attempts by rival companies to hire its senior executives.
According to the filing, the “aggressive retention-related compensation actions for key talent” included granting special equity awards. “Qualcomm lost several senior level employees to other companies…The board addressed this challenge through a combination of organizational changes and compensation actions to retain key leaders,” reads the filing.
Mr. Mollenkopf received restricted shares worth $30 million over a period of five years or an annual amount of $6 million. He also received a one-time stock grant worth $20 million that will vest in three years (third, fourth, and fifth year after the grant date).
Mr. Jacobs stepped down from his post of CEO in March, was awarded with a one-time stock grant of $45 million over five years or an annual grant of $9 million with a similar vest of three years.
Among other recipients are president Derek Aberle and executive vice president Venkata Renduchintala who were awarded with front-loaded grants of $16.1 million and $6.9 million, respectively.
Redmond says ARM-based OS to get just 'some of the functionality'
With all the hoopla coming out of Microsoft's Windows 10 event in Redmond on Wednesday, there was surprisingly little talk of Windows RT, the feature-limited version of Windows 8.x for ARM-based tablets – and perhaps with good reason.
In a Q&A with press following Wednesday's keynote, Redmond OS bosses Terry Myerson and Joe Belfiore blew right through a question about big-boy Windows' ARM sibling, saying only that Microsoft is "working on an update for Windows RT as well."
In an emailed statement on Thursday Microsoft confirmed to The Reg that it is working on an update for Surface RT and Surface 2 "which will have some of the functionality of Windows 10."
That makes some sense, since Windows RT only ever had some of the functionality of Windows 8. What's interesting, however, is that the phrasing of the statement seems to indicate that the next version of the ARM OS won't actually be Windows 10.
That's odd, since as we learned on Wednesday, Microsoft has dropped the Windows Phone brand and is calling the next generation of its smartphone OS Windows 10. Windows RT, it seems, isn't going to be part of this new Windows 10 extended family.
That sounds like bad news for Windows RT fondlers. Even if Redmond isn't killing off its ARM OS now, the fact that it won't promise full feature parity with Windows 10 is hardly a resounding vote of confidence in the platform.
What's more, we haven't heard much about new ARM-powered Surface tablets, either. The Intel-powered Surface Pro line has been much more successful, particularly since the introduction of the larger Surface Pro 3. So while we expect a Surface Pro 4 will arrive sometime this year – possibly to coincide with the Windows 10 launch – the chances of seeing an RT-based Surface 3 seem slimmer than ever.
No, this is strictly business. QCOM is the top dog in mobile processors. If their design and their foundry manufacturing process cannot keep up to provide solid SoCs, it will benefit Intel. That's what we are concerned about on this bulletin board. And rightly so.
If you want to feel bad about QCOM, you can look for a support group - online or offline. Good Luck!
FWIW, I have always thought Intel would provide ARM-based SoCs to the market. This is based on a couple of data points - (1) Wind River has continued to expand its offerings on ARM over the last few years and (2) Intel development tools have been cross-platform across x86 and ARM.
Perhaps, Intel didn't want to get too much into ARM before its own x86 was able to get a toehold into ARM markets. At this time, perhaps Intel is fairly confident of x86 powering the mid to higher end of the market while it can field its own ARM offerings to the lower-end markets like IoT. If this happens, it would be a complete blow to all the other ARM vendors who will not be able to claim any "distinct" architecture advantage!
Just some conjecture on my part.
In October, LG Electronics announced that it had developed its own applications processor solution for smartphones known as the "NUCLUN." In the press release for the processor, LG said, "NUCLUN is designed to support the next generation of 4G networks, LTE-A Cat. 6 for maximum download speeds of up to 225Mbps while retaining backward compatibility with current LTE networks."
From the wording in this statement, it appeared LG's semiconductor team had developed not only an in-house applications processor, but that this processor featured a sophisticated category 6 LTE-Advanced baseband processor.
However, new evidence suggests LG did not, in fact, build its own baseband, and that the word "supports" really means "the system-on-chip can be paired with an external category 6 cellular modem."
Intel's XMM 7260 makes another appearance
According to a screenshot posted on kenhcongnghe.vn, LG's G3 Screen phone, which features the NUCLUN system-on-chip, reports "XMM7260-1428.02" as the baseband version. This strongly suggests that the smartphone uses Intel's (NASDAQ: INTC ) XMM 7260 LTE-Advanced stand-alone modem. While this phone is not likely to sell in volumes that would move the needle for Intel, it does further establish credibility for the chipmaker's stand-alone baseband efforts.
LG now, Apple later?
The Korea Herald in September published a quote from the president of Intel Korea, who claimed that "chances are high that global smartphone makers such as Apple (NASDAQ: AAPL ) and LG Electronics will use Intel's baseband chips in their products down the road."
It seems that the executive's "prediction" is already beginning to play out. Now, do keep in mind that LG isn't using Intel's baseband processors in phones that are expected to ship in huge volumes. However, it seems that LG is receptive to using Intel-designed stand-alone chips paired with LG's in-house ap
Source: Motley Fool
ARM Holdings (LSE: ARM.L - news) has been one of the best global technology stories, but broker Liberum sees the microprocessor company "at an inflection point" as the smartphone-driven boom slows and Intel (Swiss: INTC.SW - news) becomes a more serious smartphone rival. Furthermore, the broker says licensing "can't grow at the same rate indefinitely", and expansion into new areas such as infrastructure and the internet of things "will take time to come through", not to mention a transition in the highly regarded management team after chief executive Warren East retired last year and with the finance director Tim Score leaving next year.
The smartphone party is over, analyst Eoin Lambe insists, and with mobile phones still around two thirds of royalty revenue, they are "key to the investment case".
ARM expects its smartphone royalty revenue growth to accelerate to a 15%-25% compound annual growth rate up to 2018 from less than 8% this year, which Liberum predicts will be more like 10%, principally due to its assumptions around erosion of average selling price (ASP).
"Qualcomm (Swiss: QCOM.SW - news) recently guided mobile ASP to decline 9%-10%, after a period of solid growth - the market seems to have missed the relevance for ARM." Lambe also warns that licensing revenues cannot come to the rescue indefinitely: "ARM's royalty revenue has disappointed this year. However, stronger licensing has saved numbers. ARM has been through a licensing super cycle as all major semiconductor companies rushed to license its new V8 architecture. With most potential licensees now equipped, there could be a lull in licensing and the 10% growth target isn't guaranteed." Furthermore, "the competition isn't dead" as, after many failed attempts, Intel will finally bring SoFIA, a competitive smartphone product, to market in early 2015.
"If Intel gained 25% share of the smartphone market it would lead to a 10% reduction in ARM's EBIT.
Source: yahoo finance UK
Intel Labs, ITRI launch prototype of low-energy DRAM memory
[Russ Fischer (Seeking Alpha) may yet have the last laugh...he has been talking about Intel coming out with low-power DRAM as well as newer Non-Volative memory technologies.]
US-based Intel's research arm announced Tuesday that it has created a new low-energy prototype memory array alongside Taiwan's state-funded Industrial Technology Research Institute (ITRI) that could boost device battery life.
The prototype dynamic random access memory (DRAM) array can achieve four times lower latency at 25 times less energy than the standard double data rate synchronous (DDR) DRAM devices that are generally used in computers, according to Intel Labs.
The improved energy efficiency can help devices improve battery life, integrate mobile data faster, enhance graphics with higher resolution and boost mobile user experience, the research division said.
Intel Labs noted that technology from this research prototype could be used in system-on-chip (SoC) devices for mobile devices or a memory controller for datacenter systems with large memory arrays.
The new prototype is the latest in a series of continuing research efforts in advanced memory architectures between Intel Labs and ITRI since 2011. Together they have created experimental memory arrays and prototyping and developed model simulation software.
"As a technology innovator for nearly half a century, Intel believes that technology can have a transformative impact on people and communities," said Wang Wen-hann, vice president and managing director of Intel Labs, Thursday in Taipei.
"This belief is what drives our collaborations with governments, the research community, academia, industry and others. The goal is to enable new thinking and skills to further economic empowerment," Wang told a press briefing at the first Intel Asia Innovation Summit in Taiwan.
thebrm: You should know by know that much of journalism, more so Internet blogging, has to do with sensationalistic and provocative headlines than solid content. If you don't, I really don't know what to say.
Intel will not quit mobile. As "will_amd_yu" pointed out, the market has been commoditized and Intel, either directly or through Rockchip/Spreadtrum type of partnerships or both, will play a role in these markets. Intel's mantra is being paranoid which Paul Otellini ignored during his tenure.
Intel will participate in these markets to keep other players out of moving into its more rewarding PC and Server market segments. Intel will participate in these markets to keep current and future fabs full. Especially focusing the depreciated fabs on low-priced, commodity products.
Imagine Qualcomm competing in these markets. Once LTE becomes more prevalent, Qualcomm's royalty starts going down even further. Do they really want to compete in hardware where prices and margins will go down further in future?
Samsung is already down in the dumps with its vertical strategy, its brand is already diminishing because Apple owns the high-priced segment. And there doesn't seem to be much of a market for high-priced Android devices when there are pretty good low-priced ones. Samsung might as well go back to selling Televisions where they are seen as the leaders currently!
Mediatek and other smaller players can be partnered with, much like Rockchip and Spreadtrum.
So, explain to me again, why would Intel quit mobile?
thebrm: The article is from sewerwiki (also known as semiwiki). You could have mentioned that this guy writes for sewerwiki, would have saved a few minutes of everyone's time....
The government should never have yielded to the lobbying of the banking industry, they should have kept Investment Banking and Brokerages separate. The repeal of Glass-Steagall has created so many conflicts of interest that the market is completely stacked against retail investors.
[ZenFone 2 models will be launched at CES in January. Asustek will team up with a second chip supplier to produce cheaper ZenFone 2 models priced at NT$4,990. My guess is it will be Rockchip or Spreadtrum.]
Asustek to add second chip partner to ZenFone 2 series
Taipei, Nov. 12 (CNA) Taiwan's Asustek Computer Inc. said Wednesday that it plans to add a second chip supplier for the successor of its low-cost ZenFone range as part of efforts to double its smartphone shipments next year.
Asustek CEO Jerry Shen told the press at an investor conference that the company intends to launch its ZenFone 2 models at the Consumer Electronics Show in the United States in January next year, with a starting price tag of NT$9,990 (US$327).
All of the new phones scheduled for release at the annual trade show will be powered by Intel Corp. chips and will support 4G LTE connectivity, Shen said, adding that LTE-enabled phones will account for about 30 percent-40 percent of Asustek's total smartphone shipments in 2015.
The company estimates that it will ship 8 million smartphones this year and 16 million units next year, as it plans to expand the availability of ZenFones to about 20 markets globally from 14 markets this year, while putting more focus on China and Japan, he added.
To achieve that aggressive shipment target, Shen said, Asustek will team up with a second chip supplier to produce cheaper ZenFone 2 models priced at NT$4,990.
The second-platform ZenFone 2 will include variants that will be launched in January with two major Chinese wireless carriers -- China Mobile Ltd. and China Telecom Corp. -- with some other models designed for the global market, according to Shen, who declined to name the second chip supplier.
I was wondering about exactly the same thing. Perhaps, it will be in the next announcement from Microsoft :)
That certainly is valid. However, I would discount any so-called efforts by Intel pre-2013 since I think Intel was hoping that the tablet/smartphone fad would die soon. This was reflected by Andy Bryant's comment in 2012/2013: "Intel has lost its way" since it was not paranoid enough to not ignore these segments.
Intel made the decision to go full force into the tablet market only last year under BK's leadership. They now have 40+ million volume (let's ignore the contra-revenues for now, they served the purpose of getting x86 as a valid platform for Android.) Next stop, cherry trail, SoFIA and Broxton. I think things will change on the 3Ps for Intel's offerings.
My thoughts, however, were specifically regarding market sentiment with regard to QCOM vis-a-vis INTC. The market seems to heavily favor one stock versus another in the same industry and it takes quite a bit of time for things to come into balance and swing the other way. So the key question now is: Is the market going to swing in Intel's favor...?
Clearly, the market was favoring QCOM vis-a-vis INTC the last few years and some talking heads even went to the extent of predicting that QCOM would cause the demise of Intel. So, the key question is how is this change of sentiment going to help Intel? If the vultures start circling QCOM, I think it would help set a solid foundation for Intel's stock price and a slow, steady climb. Of course, overall market conditions would play a key role as well.
Alex: Do you agree that Intel is holding its price reasonably well considering the very negative issues caused by Microchip, Intersil, and more recently Bernstein. What does that bode for Intel over say, the next 3 months?
Qualcomm shares slide as 4Q, outlook miss St. view
[Hope some impact is due to Intel XMM7160 and 7260 LTE Modems and mobile SoCs. If so, this should reflect well on Intel's Q4 results.]
Qualcomm 4Q results, outlook fall short of Wall Street expectations; Shares slide aftermarket
NEW YORK (AP) -- Shares of Qualcomm Inc. slid in extended trading Wednesday after its latest quarterly results and forecast fell short of Wall Street estimates.
The San Diego-based chipmaker reported net income of $1.89 billion, or $1.11 per share, over the three months that ended Sept. 28. Excluding one-time items Qualcomm said it earned $1.26 per share. Its revenue totaled $6.69 billion.
Zacks Investment Research says analysts expected net income of $1.31 per share and $7.03 billion in revenue for the fiscal fourth quarter.
For the current quarter, which ends in December, Qualcomm expects to earn between $1.18 and $1.30 per share on $6.6 billion to $7.2 billion in revenue.
Analysts were forecasting an adjusted profit of $1.44 per share on $7.38 billion in revenue, on average.
Qualcomm shares declined $4.37, or 5.7 percent, to $72.83 in aftermarket trading. They closed at $77.20 on Wednesday, up 5 percent in 2014.