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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: foundation who wrote (5757)	12/26/2000 4:09:17 PM
From: slacker711	Read Replies (3) \| Respond to of 196986

It's my understanding that equipment can be shipped without a license by any vendor - that the moment of truith occurs when the network is lit. I think the point when Qualcomm can claim a breach of their patents is when an equipment manufacturer gets paid. I am not sure exactly what the payment schedule for a wireless build-out would look like. My guess is that as various parts of the network go through performance testing that the infrastructure manufacturers would begin recognising the shipments as revenue. I think you are probably right that it is ok to ship...but I assume that they expect to get paid soon after shipment. The January conference calls will be pretty interesting for all of these companies. The analysts have to start getting some data on the size and speed of revenue associated with 3G for their models to mean anything. I think we will get a better handle on Q's early royalties in the next month or so.... Speaking of which....If you download the 3G networks presentation from Nokia's investor's day, there is a slide that compares the break-down of costs of GSM circuit-switched with an all-IP network. They look at the amount that the various amounts of the network will cost (RAN, backbone, transmission). nokia.com I assume that basestations would fall under RAN (Radio Access Network). This portion seems to make up around 50% of the cost of an all-IP network. I really wish that we knew what Q's infrastructure royalty was...it could provide a pretty big upside to current estimates for next year. Slacker