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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 175.25+0.6%Dec 19 9:30 AM EST

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To: scratchmyback who wrote (53071)7/2/2006 4:55:03 PM
From: matherandlowell  Read Replies (1) of 197011
 
"But please don't ask me what kind of royalties Qualcomm is going to collect from 2015 version of WCDMA, I have no idea of that. Except that it probably won't be very high."

It sounds like you are assuming that QCOM will somehow be required to accept a lower royalty rate. What international body will mandate that a company should not be able to negotiate a royalty rate for use of its property? I'm just curious. Is there a court in Europe which would simply proclaim that the foundation patents for WCDMA are not worth the 5% royalty due QCOM? Which court has that power?

I'm wondering what kind of royalty QCOM will accept next year for GSM units sold with EDGE technology. I have trouble looking out ten years. What about one year? Do you think QCOM would accept a 5% royalty rate on the IP now pirated by the GSM standard? I think they should charge their usual 5% and then tack on another 5% because the IP was incorporated into the GSM standard without their consent. I think that would send the message that stealing other people's property really doesn't pay in the long run. // jay
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