Silicon Investor (SI) -- The First Internet Community

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 Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: cfoe who wrote (93324)	2/5/2001 12:55:55 PM
From: grinder965	Read Replies (1) \| Respond to of 152472

cfoe, Thanks for sharing what you could....would be real helpful to find out more about how significant the royalties might be and how the revenue recognition and cash receipt streams work. BTW - You are correct about the comments made during the C.C. re:wdcdma royalties. The point Dr. J. was trying to make was that although the "royalty report" was relatively small in terms of $, it has begun.

To: cfoe who wrote (93324)	2/5/2001 2:20:57 PM
From: Rajala	Read Replies (1) \| Respond to of 152472

>I have been led to believe the royalty is on the >total infra cost, but there must be some cap. This is surely incorrect. For example, would Q receive royalty on base station building construction? Or switch or transmission which have nothing to do with CDMA? How about generators, aerial towers, access roads, ditches of access roads, service platforms, voice mails, billing systems, coffee machines and toilet paper holders. I believe that the Q would receive royalties only on parts that actually use Q´s technology. In the systems side this would be limited to transceivers and their controls. - rajala

To: cfoe who wrote (93324)	2/5/2001 3:05:22 PM
From: Ramsey Su	Read Replies (1) \| Respond to of 152472

M.E., shy friend said - The infrastructure royalties are paid only on the radio portions of the network buildout, essentially on each BTS. Using parameters that were given to me by someone who should know, I've modeled a 4.5% royalty on BTS's that sell for $250k to $500k (I used $375). Also, using figures for an average city like San Diego, my figures assume 40 BTS's per city. After that, its just a matter of guessing how many cities get built out and when. Oh, of course then you have to connect their major highways too. Ramsey