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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Scumbria who wrote (54010)	9/19/2000 10:48:41 AM
From: Dave B	Read Replies (2) \| Respond to of 93625

Scumbria, It seems quite reasonable to guess that the royalties are based on the percentage of die area affected, multiplied by the cost of the die. From the annual meetings, the impression they've always given for royalties on RDRAM controllers is that it's on the total cost of the chip, not a percentage (if anyone remembers differently, please say so). Before you go off on a tirade <G>, think about what this means. Forgetting for a moment that it's a RDRAM controller, it means that they're getting paid for a portion of all of the chip if it has a controller on-board. So, if it is the case that it's on the entire chip, a precedent has been set. Dave <edit: p.s. Again, I think your "die percentage" measurement makes more sense than anything else that I can think of. But that may be why I'm not the greatest negotiator on the planet <G>.>