To: Gus who wrote (3967 ) 2/15/2000 9:03:00 PM From: Gus Read Replies (2) | Respond to of 5195
A license is not a sale. DUH! Given the amount of useless posts devoted to a pointless debate about the sale of pioneering patent rights or cross-licensing, I think it's important to use REAL WORLD sworn statements to show the common sense difference. This is an excerpt lifted from the IDC 10K filed on 3/31/99: .....One of these licenses involved a CDMA cross-license agreement with Qualcomm, entered into in 1994 in settlement of litigation filed in 1993. In return for a one-time payment of $5.5 million, ITC granted to Qualcomm a fully-paid, worldwide license to USE and SUBLICENSE certain specified and then existing ITC CDMA patents........ [four pioneering Schilling patents and one continuation of the pioneering Paneth et al patents]Message 12827090 .....Qualcomm granted to InterDigital a royalty-free license to USE AND SUBLICENSE the patent that Qualcomm had asserted against InterDigital and a royalty-bearing license to use certain Qualcomm CDMA patents in InterDigital's B-CDMA products, if needed. INTERDIGITAL DOES NOT BELIEVE THAT IT WILL BE NECESSARY TO USE ANY OF SUCH ROYALTY-BEARING OR NON-LICENSED QUALCOMM PATENTS IN ITS B-CDMA SYSTEM. [just one patent] And this is the kind of disclosure required for the sale of patents, a material event. From the 7/7/1997 MTIC 10K Effective February 9, 1996, the Company entered into an agreement with EMC whereby the Company SOLD to EMC substantially all of the Company's existing patents, patent applications, and rights thereof. The Company has an irrevocable, non-cancelable, perpetual and royalty-free license to exploit, market and sell the technology protected under the aforementioned patents. Pursuant to the terms and conditions of the agreement, this license will terminate in the event of a change of control of the Company involving certain identified acquirers. As part of the agreement, the Company and EMC grant to each other the license to exploit, market and sell the technology associated with each of their respective existing and future patents arising from any patent applications in existence as of the effective date of the agreement for a period of five years. Now, how much time was wasted reading the nonsense written by trivial people like Bux and his minions? But then again, is that really a surprise? Most of you will remember the delightful spectacle of watching some irrational and emotional QCOM shareholders on RB began shorting IDC at $10-$12 because 'how dare a penny stock like IDC try to ride on the mighty QCOM's wave?' The old saying applies -- buy despair, sell euphoria and one can always make money off zealots. Deja vu all over again. LOL.