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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 162.80-1.1%12:28 PM EST
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To: Glider05 who wrote (67901)8/18/2007 2:34:37 PM
From: Art Bechhoefer  Read Replies (1) of 197218
 
Glider05--Nokia is playing a dangerous hand. If the ruling of the arbitrator is that there was no automatic renewal, then Nokia is shipping devices containing QCOM IPR without a license. This would be an intentional infringement under current U.S. patent law, making Nokia liable for treble damages.

If the arbitrator rules that continued use of QCOM IPR by Nokia means an automatic renewal, albeit under terms that breached the original licensing agreement, then at the very least, Nokia is financially responsible to pay royalties at the earlier rate, plus interest on the delayed payments.

When I look at the silly act of Nokia to pay out $20 million and in effect state, that's all you're going to get, take it or leave it, I remain optimistic. The only way QCOM could lose on this one is to do something stupid like they did with BRCM, but maybe they've learned their lesson this time.

Art
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