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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 178.29-1.6%Dec 12 9:30 AM EST
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To: Rich Bloem who wrote (62993)4/23/2007 7:11:25 AM
From: rkral  Read Replies (1) of 196952
 
"To my knowledge there is no documentation from Q or any other source that indicates that royalties will only be applied up to a certain dollar threshold."

From "QUALCOMM Business Model -- A Formula for Innovation & Choice", March 2007 Qualcomm white paper, pg 7

"Indeed, because handset prices have continued to fall (due in part to the competition that QUALCOMM has fostered), the actual average royalty per phone has QUALCOMM’s standard terms include an effective royalty rate that is less than 5 percent of the wholesale selling price of a licensed handset. actually decreased over the years. In order to foster development of more complex wireless devices (e.g., laptop computers) that are more expensive than high-end wireless telephones, QUALCOMM also has voluntarily instituted a "cap" on the amount of the royalty paid by its licensees for such products." -- qualcomm.com
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