Qualcomm Moderated Thread - please read rules before posting Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

QCOM 170.58

-0.2%

12:01 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

Recommended by:

To: Qurious who wrote (146712)	5/31/2018 12:03:20 PM
From: Wildbiftek	12 Recommendations of 196570

There's only a couple customers at odds with Qualcomm's models; the hundreds of others have voluntarily signed agreements in accordance to their model. The most important of those at odds is Apple who have consistently abused other holders of IP (see UWisconsin's win over them) and have a lot to gain over Android from trashing Qualcomm's model. Do you really think they will let up their battle if Qualcomm restricted royalties to the modem? Given their recent hires, they are attempting to fab a modem into their AX SoCs for iPhones in the next 5 years, addressing a major integration deficiency they have next to Qualcomm and even Samsung. The will demand both a lower fee and that the royalty be specifically related to just patents implemented by the modem and patents related to the implementation of the modem itself. They will misreport royalties on other portions of their IP and continue an aggressive fight in court; if anything this attribution of royalties to the modem makes less sense value wise and dilutes Qualcomm's clout, making them easier to attack. Intel's model is utterly unsustainable going forward, and I don't think they will be making those same margins in 10 years, or maybe even 5 possibly; they will likely spin off their capex heavy fabs as well once datacenter margins erode. I would say the attacks against Qualcomm are a testament to how strong its technological lead is and how essential it is to the ecosystem; corporate customers aren't going to be swayed by branding and will resort to legal tactics to improve margins at the end of a product cycle. Apple in particular doesn't think twice about stealing IP or bringing in house a supplier's part when it can, and in this particular case it has none of the competency necessary so it's throwing a legal tantrum to either get higher margins, weaken android, or sweeten a deal for 5G.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next