SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 154.53-0.8%Jan 26 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
From: John Carragher3/23/2007 8:30:19 AM
   of 197381
 
Quarrelsome Qualcomm




Nokia (NOK - Cramer's Take - Stockpickr - Rating) is trying on a new suit.
This week the Finnish handset giant took another legal swing at San Diego-based Qualcomm (QCOM - Cramer's Take - Stockpickr - Rating). Nokia sued in Europe to void Qualcomm's licensing of Texas Instruments (TXN - Cramer's Take - Stockpickr - Rating) chipsets.

Qualcomm rejects the claims, but the dispute only adds to its patent predicament. While the company makes most of its money through royalties, its aggressive licensing stance has resulted in friction with industry titans such as Nokia, TI and Broadcom (BRCM - Cramer's Take - Stockpickr - Rating). They joined up two years ago in demanding a European investigation of Qualcomm's business practices, which the plaintiffs claim drive up phone prices.

Qualcomm denies that. Still, it's spending more and more on legal bills. One Wall Street analyst cited the hefty expenses late last year in downgrading the stock. Another observer said a dispute over terms of a new Nokia license is "turning out to be a fight to the death."

Even at that, the Nokia dispute looks tame next to Qualcomm's brawl with Broadcom. Rarely does a month go by without heated words over their many patent-infringement crossclaims.

"This is an important victory," Broadcom said of a January federal district court ruling, "because it removes the threat of Qualcomm launching patent infringement suits against our current [third-generation wireless] customers."

Or maybe not, to listen to Qualcomm, which the next day branded Broadcom's assertions "false and misleading."

In the midst of this tiresome back-and-forth, Nokia's press release is almost eloquent. Claiming Qualcomm's patents are unenforceable, it opens with the line: "Nokia files patent exhaustion case."

Dealing with Qualcomm could drive anyone to patent exhaustion.

Dumb-o-Meter score: 90. "Not only are Nokia's accusations that Qualcomm's patents are exhausted demonstrably false," Qualcomm responds, but "they are inconsistent with positions Nokia itself has taken."
thestreet.com
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News