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Technology Stocks : Qualcomm(QCOM) -> SpinCo

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To: w molloy who wrote (6)7/26/2000 5:17:37 PM
From: carranza2   of 172
 
Why doubt what was said? It would open Q to investor suits for filing false information with the SEC.

We might see QCOM charging Spinco fees for new patents after the two companies are separated sometime next year but I think it would be crazy for the Q to change such a fundamental part of the deal before the IPO. Moreover, it would seriously jeopardize one of Spinco's competitive advantages, i.e., the fact that, unlike its competitors, it won't have to pay Q a royalty. Why do this to a company owned essentially by the same investors?
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