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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 152.66+0.7%3:59 PM EST

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From: qveauriche3/27/2007 11:12:35 AM
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Proposal for dealing with Nokia - This valuable patent pool Nokia holds that we need to make GSM and WCDMA phones is one which, I imagine, Nokia has licensed on certain terms to others not having an offsetting pool of patents of their own. So, there should be a FRANDLY rate Nokia charges for the use of this intellectual property which it is obligated to offer to Qualcomm on those terms. What is that FRANDLY rate, if anyone knows?

One thing we have is plenty of cash. If we can't strike a deal with Nokia by April 9 (and it appears we can't), why don't we simply pay FRANDLY for Nokia's patent pool so that we can continue our chipset sales uninterrupted by this whole mess? And at the same time sue Nokia for infringement and enjoin Nokia from GSM, CDMA 1x ev-do, and WCDMA phone sales pending a resolution, which would be a net pymt. to QCOM of 4.5% or whatever it is.

Every other phone maker in the world would love us for it, because it would play absolute havoc with Nokia's market share even if we can't get an injunction due to an adequate remedy at law. Nokia would stand alone among all phone makers selling phones on which it has knowingly infringed on QCOM's IP. Who's going to want to touch that?

There has to be an obvious reason why this wouldn't work because otherwise it would have long ago been thought of.

So where am I going wrong?
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