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Technology Stocks : Interdigital Communication(IDCC)
IDCC 345.06-2.7%10:37 AM EST
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To: data_rox who wrote (4481)7/26/2000 1:42:45 PM
From: w molloy  Read Replies (1) of 5195
 
GSM chipset manufacturers typically don't license,unless the buy an 'off the shelf' solution to a specific problem e.g. the protocol stack (say from Optimay), or a DSP core (say from TXN)

The GSM license fee is applied to the BOM on the handset,
and, according to the whinging Samsung, runs to 15%
The money is pooled and distributed to GSM IPR holders.
IDCC chose not to participate in the pooling arrangements.
It lost an important action against Motorola in 1994 and a similar action against ERICY is currently in process.

SpinCo's GSM/UMTS problems lie in their inability to produce a software stack anytime within the next two years, then add another year for type approval and network field trials. A baseband UMTS chipset (sans software) simply won't sell. UMTS software is divided into two components, the GSM clome Network substrata (Call Control, Mobility Management, Short Message Service etc) and the Access Substrata (Radio Resource management and all the other airlink specific software). SpinCo is in a reasonable position to produce a baseband plus Access Substrata software ASIC. It could then, in partnership with a company like TTP, bundle in the Network Substrata software to sell on to handset OEM's.

w.
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