Qualcomm Moderated Thread - please read rules before posting Message Board

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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

QCOM 177.78

-2.2%

Jan 9 9:30 AM EST

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To: Stock Farmer who wrote (76823)	5/2/2008 4:22:56 PM
From: whisperer	Read Replies (1) of 197156

Thanks for the detailed response. I agree with most of what you say. Just a few points I'd like to clarify. In order to balance this, in ETSI standards, every holder of a patent that is embedded into the standard is REQUIRED to offfer an irrevocable license to all implementors of the standard. Which must be FAIR and REASONABLE and NON DISCRIMINATORY It may seem like a minor distinction, but I believe it goes to the heart of the issue: QCOM's obligation "to offer an irrevocable license that is FRAND", is not the same thing as "an (implicit) automatic irrevocable license", which is what NOK claims. In the first, there is no license until the parties agree on a FRAND rate. In the latter the license exists from the get-go. How did you form this opinion? The terms of the offered license are required to be FRAND. Perhaps I wasn't being clear. What I meant by "bad faith negotiations" (I realize this may not be a legal term), is the case where the licensee (NOK) can indefinitely drag out the royalty negotiations. According to NOK, all they need to do is say they are willing to accept a license, and continue to low-ball the royalty rate. If the two parties can't agree on what the price is, then they can take it to arbitration or the courts or somewhere competent... either they come to an agreement or they can follow due process and arrive at "the" fair price. However long this takes. It's the "however long it takes" part that seems unreasonable to me. -W

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