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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

QCOM 171.39

-1.0%

10:22 AM EST

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To: data_rox who wrote (4974)	11/27/2000 8:12:44 PM
From: A.J. Mullen	Read Replies (3) of 196545

This phone reminds me of a question that has been nagging me for some time. Qcom's IPR grants them a % of the ex-factory price of any device using CDMA. Does this apply to this phone - the whole thing? It has functionality beyond that of a phone. Even if not for this phone, I expect there will soon be devices for which wireless communication will be a side-attribute. The royalties will then presumably apply only on part of the value of the device. Otherwise, I can imagine a device that owes, say 4% to Q for the communication, 2% for this application, 1% there... Adding up to more than 100%! I don't see this as a down-side as much as a limit on the upside - accept as much as in the likelihood that it spawns more distracting lawsuits. Steven, John, any other attorneys, care to comment? Ashley

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