Q giving up on organic innovation, will continue to let go of old-school employees (except executives), and try to grow through acquisitions. The cash for acquisitions will come tax free from offshore reserves. Steve just hired his buddy Brian Modoff from Deutsche Bank.
Innovation has been executed. We never partnered. Let's try M&A with all the cash we have. It can't get any worse, right? Right?
Growth by m&a seems logical. The fact is the industry is maturing in core wireless tech. There is growth in AI and ML but most of the interesting r&d is being done by university and small firm.
PO is a prophet.
I wonder what the tinfoil hat conspiracy nuts on the silicon investor board will think. they are already paranoid of every blogger who has a non permabull opinion (the vast Intel FUD conspiracy!). If this modoff thing is true, then the most public permabull has been swallowed up!
What other companies is modoff bullish on? Maybe an m&a target now?
correct he will be putting lipstick on the pig (QCT) so they can be sold to the highest bidder.
It most likely is for the spin off.
modoff? really? Captain of the Permabull Analyst Ship! Deutsche bank must be really struggling. Did anybody post this before, or was everybody going all-in on layoff talk? Sept 17th....DA says morale is good. http://seekingalpha.com/article/3519036-qualcomms-qcom-presents-at-deutsche-bank-technology-brokers-conference-transcript
It can also be used to payroll offshore inhouse engineering resources.
we are taking debt to pay for stock buybacks. most of our cash is offshore, and nobody wants to pay taxes to bring it back to spend on employees or shareholders for that matter. so, acquire acquire acquire....
and once the cash is gone, then what, issue debt ?