The entire idea of breaking Qualcomm up into two companies, for example, makes no sense from an ongoing business perspective — but it makes great sense if you’re an investor who believes the real money is in patent licensing (an extremely high-margin business) and not in chip manufacturing. Cut off the low-margin chip business, and you trim Qualcomm into a patent holder who can then aggressively push other companies to license its technology without having its profits diluted by the cost of building chips. This would, of course, vastly complicate the relationship between the two sides of Qualcomm’s business and could result in the company losing its position as one of the largest powers in mobile, but that’s irrelevant to the cultists who see the potential for massive revenue from licensing fees.
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Breaking up the two would be bad news because in the long term, they both need each other as a team
QTL and QCT are inherently in conflict in their business goals. When two are put together, you get a monopoly. QC sees the writing on the wall that US FTC will eventual seek for a split up. But, greedy investors are one step ahead. QTL is a money printing machine, and QCT is just money draining. Engineering R&D costs is high and end margin is low. QCT will crash without the leverage of QTL, and that is precisely why QCT needs to spin off. All QC engineers need to realize that QC has created a false demand for engineers in its quest for dominance in the chip business. QC is not immune to the flaw of chip companies that seem to fail outside of their specialty.
Anonymous122980: Are yo waiting for official notification of split? What a IDIOT ASSHOLE you are !!!!!!
Who said they are breaking up? Its all speculation until its official. Dont you have anything better to do except smear your BS?