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Technology Stocks : RMBS - RAMBUS Eagle -- MDS.T - MOSAID Falcon -- Ignore unavailable to you. Want to Upgrade?

To: Eashoa' M'sheekha who wrote (4)	7/20/2000 10:03:43 PM
From: Eashoa' M'sheekha	Read Replies (1) \| Respond to of 6

Is Their An Overlap With Rambus?Not According To MOSAID. Licensing deal sends Mosaid shares on two-day surge by: Stuart Weinberg Dow Jones Friday, July 7, 2000 TORONTO -- Shares of Mosaid Technologies Inc. are soaring for the second straight day on news of a licensing agreement with Hitachi Ltd. The Ottawa semiconductor company said Wednesday that it granted Hitachi a non-exclusive patent licence for production of its semiconductor products worldwide. Terms of the agreement, the fourth broad patent licensing agreement that Mosaid has signed in the past 16 months, weren't disclosed. However, the lack of details hasn't dimmed investor enthusiasm for the company, which said it is in discussions with eight other semiconductor companies regarding similar patent licensing agreements. In Toronto trading yesterday, Mosaid was up $7.65, or 31 per cent, to $32, on volume of about 818,000 shares. The stock hit a high of $33.35 during the session. The previous 52-week high of $25.75 was set Wednesday, when the stock jumped $3.60 to close at $24.35. "They've been pursuing a patent licensing strategy for a number of years now," said BMO Nesbitt Burns analyst Brian Piccioni. "It's a nice business, because the profit that you get from these agreements relative to the revenues is quite huge, like 80 per cent to 90 per cent of the revenues drops straight to the pretax income." Mr. Piccioni raised his Mosaid rating to "top pick" from "outperform" yesterday, and increased his target to $35 Cdn. While the licensing agreement with Hitachi Ltd. is significant, perhaps more important were comments made by Mosaid's management during a conference call Wednesday, BMO Nesbitt analyst Brian Piccioni said. Mr. Piccioni said that during the call, Mosaid officials noted that the company's semiconductor patents don't overlap with those of Rambus Inc., the inventor of the proprietary Rambus Dynamic Random Access Memory, or RDRAM, memory architecture. "I had looked at the Rambus developments with anxiety due to the potential overlap of technologies, which could have led to a nasty legal battle," Mr. Piccioni explained. "However, it now seems unlikely that this is the case." Rambus Inc., Mountain View, California, recently saw its market capitalization double, to $10 billion U.S. from $5 billion, after signing licensing agreements with Hitachi and Toshiba Corp., Mr. Piccioni said.