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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 174.690.0%9:30 AM EST
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To: scratchmyback who wrote (61991)4/5/2007 8:48:53 AM
From: slacker711  Read Replies (1) of 197026
 
"As we continue to negotiate the new cross-license agreement, Nokia views this payment as fair and reasonable compensation for the use of relevant Qualcomm essential patents in Nokia UMTS handsets during the second quarter of 2007. Nokia believes that Qualcomm's patent portfolio is concentrated in the United States, and that it has few or no alleged UMTS patents in many of the countries in which Nokia has substantial UMTS handset sales. When Qualcomm's early patents become paid-up and royalty-free on April 9, 2007 Qualcomm's share of all patents relevant to Nokia UMTS handsets will significantly decrease", said Rick Simonson, chief financial officer, Nokia.

So, this $10 million dollar payment doesnt account for sales in countries where Qualcomm hasnt filed for patents. Does Q file for patents in a country like India? Malaysia?

Nokia has until 2007 paid less than 3 per cent cumulative license fees under all of its patent license agreements involving WCDMA products.

Hmmm....cumulative? I think it is going to be tough to extrapolate much from this number since this number likely represents both ingoing and outgoing royalties.

This brings up an interesting question....does Qualcomm pay a unilateral return royalty?

Slacker
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