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Non-Tech : Amati investors
AMTX 1.490-2.0%Jan 16 9:30 AM EST
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To: SteveG who wrote (24865)9/15/1997 11:59:00 PM
From: SHADOWDOC98   of 31386
 
Steve: I think you and others have been purposely mislead on this issue for reasons that are not totally clear. JS at the Salomon conference indicated that industry lawyers told Amati that a fair
licensing fee for the Motorola copper-gold chip would be in the 3% to 7% range and so Amati chose 5%. That is 5% of the chip cost, not of the modem or other equipment that the chip goes into. Clearly this is
a very small sum and is representative of the charges overall that Amati hoped to get for licensing it's technology. The problem basically seems to be that everyone else in the industry looks at ADSL and says, my this is really very easy to implement, why should I license anything from Amati? According to JS, this is the attitude that US Robotics has about this technology. My guess is that once they realize how hard it is to develop the technology on their own, they
will go back to Amati and license. JS pointed out as an example, how long it had taken Alcatel to develop ADSL technology and that was with Amati helping them and they still were having problems after more than 3 years. Reminds me of the Macintosh GUI, looked to be so easy to
copy but it took Microsoft over 5 years and they still don't have it right. So simple on the outside, yet so elegant and slick and terribly complicated on the inside. My humble opinion is that US Robotics is too smart not to come back to Amati and license in the near future.
Just Call Me Doc (Now that there are several other Doc's, does that mean I have to take a number? If so, I want to be #1!!!!!!)
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