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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 174.43-1.0%11:20 AM EST
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To: ggamer who wrote (60687)3/2/2007 2:03:49 PM
From: matherandlowell  Read Replies (1) of 196976
 
"NOK was very successful in delaying 3G, and now they can use the delay strategy to get a better deal with QCOM"

Guys, did I miss something? Has QCOM agreed to let Nokia use its IP without paying the standard rate?

Seems to me that 3G is already rolling out all over Europe. Nokia can't delay 3G at this time. It is already happening. How are they going to get a better deal with QCOM by delaying?

Nokia will only succeed in cutting its own market share. And sooner or later, even the Europeans will see Nokia's strategy as protectionistic-- good for Nokia and bad for Europe. QCOM has never agreed to take anything less than its standard royalty rate. Until they do, and this could be in the courts for years to decades, Nokia has no right to use QCOM's IP. In the mean time, the Nokia option to continue its current license expires in 2008. This case won't even be litigated by the end of 2008, to say nothing about appeals. Therefore, the clock is not working against QCOM. The clock is working against Nokia. If they don't have a deal with QCOM by the end of 2008, the WCDMA standard will not progress to compete with the CDMA2000 standard. Nokia will not be able to sell handsets without continuous legal harassment. Injunctions? Non competitive WCDMA chips? Time in 2008 running out? Tell me how delaying will benefit Nokia.

jay
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