Do you guys know what QTL does? As I understand it, to put it simply, they buy modems from the manufacturers and resell them, that is, they do not have proprietary products. With regards to the Ozemail deal, I believe they have a contract to be Ozemails preferred supplier to Ozemail subscribers. What I take this to mean is that if an Ozemail subscriber asks Ozemail where he should buy his modem, Ozemail recommends QTL. Perhaps there will be advertising on Ozemails site for QTL.
I would have thought being a reseller of other companies products was a low margin business. Buying shares in QTL is like buying shares in your local computer store that sells modems except with a wider distribution network.
One other thing I don't like about QTL is that it has been heavily ramped and I have found that stocks that are ramped often don't have much substance to them. (eg. ASC)
Any thoughts on what I have posted would be appreciated.
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