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Technology Stocks : Interdigital Communication(IDCC)
IDCC 344.26-1.3%11:00 AM EST

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To: w molloy who wrote (4071)2/28/2000 3:34:00 PM
From: Gus  Read Replies (1) of 5195
 
Really?

What's factually wrong with the first statement which render the resulting conclusion and subsequent questions useless?

IDC has received $70million from NOK, for R&D. It's not clear whether a recurring payments will accrue.
Will they collect against NOK?
How will that affect their current relationship with NOK.


From the 10K:

In 1999, InterDigital entered into royalty bearing TDMA and CDMA patent licenses with Nokia, which are paid up generally through the project period, and provide a structure for determining royalty payments thereafter.

Recurring royalties from 22 TDMA/GSM/PDC licensees went up:

1998 $1 million (5 new licensees)
1999 $9 million (3 new licensees)

The last 2 quarters showed:

September 1999 - $2.9 million
December 1999 - $5.7 million

IDC has disclosed that they expect recurring royalties to go up by 50-75% in 2000 ASSUMING NO NEW LICENSEES and that Nokia is paying about $3-4M a quarter for engineering services. IDC already booked $31.5 million as revenues in the March 1999 quarter.

Again, the question: do you know how to read?

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