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.

Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: gdichaz who wrote (44072)	7/3/2001 10:53:48 AM
From: Eric L	Read Replies (1) \| Respond to of 54805

re: QCOM extends Nokia License and Cross-Licenses >> Nokia and Qualcomm Expand License Agreement << Chuckle. Need to "modify" my comment on Nokia in light of Qualcomm / Nokia license agreement just announced. >. Hmmm ............ <g> Peace and harmony ... hardly, but ... .... one less thing to talk about on the threads. I think you'll agree that this has dragged out for all too long. At least on the surface no clear cut "winner" ... which is the way it should be. A win/win is preferable. I remain hopeful that some greater synergy will evolve, now that this (important) 'detail is out of the way. There has been some conjecture that this includes Nokia GSM IPR. Because of no mention of GSM specifically, I can't read that in. My read is what is cross-licensed is Nokia's claimed WCDMA IP and multi-mode would imply cdma2000/WCDMA in this instance. << Evidence that Qualcomm's gorilla status in CDMA, and the future of mobile wireless / internet (intranet), is set. >> Only evidence of Qualcomm's gorilla status in cdmaOne/cdma2000 (which at the moment is 100.0% of the cdma commercial installed base). * Expanded the terms of their existing CDMA terminal cross-license agreement. * Nokia ... granted a royalty-bearing license under Qualcomm's patents to make and sell infrastructure equipment for all CDMA wireless systems while Qualcomm is granted rights under Nokia's CDMA-related and other patents to market and sell CDMA components, including multi-mode integrated circuits. * Nokia will continue to pay royalties to Qualcomm for subscriber equipment at the same rates established by the terms of the original cross-license agreement in 1992, irrespective of the CDMA standard implemented. >> Agreement Covers All CDMA Products And All CDMA Standards, Including Multi-Mode Nokia Press Release Helsinki, Finland and San Diego, CA July 3, 2001 press.nokia.com Nokia (NYSE: NOK) and Qualcomm Incorporated (Nasdaq: QCOM) today announced that they have expanded the terms of their existing CDMA terminal cross-license agreement. Under the terms of the multi-million dollar expansion, Nokia has also been granted a royalty-bearing license under Qualcomm's patents to make and sell infrastructure equipment for all CDMA wireless systems while Qualcomm is granted rights under Nokia's CDMA-related and other patents to market and sell CDMA components, including multi-mode integrated circuits. As part of the agreement, Nokia will continue to pay royalties to Qualcomm for subscriber equipment at the same rates established by the terms of the original cross-license agreement in 1992, irrespective of the CDMA standard implemented. "Nokia's industry-leading technology base, patent portfolio and cross-licensing arrangements have historically enabled us to offer innovative products to our consumer and carrier customers. We welcome the enhancement of our longstanding technology relationship with Qualcomm and we look forward to the success of new, global third generation wireless solutions," said Yrjo Neuvo, chief technology officer at Nokia Mobile Phones and member of the Executive Board, Nokia Group. "Over the last decade, Nokia has successfully expanded their telecommunications business and has become the world's leading handset supplier," said Steve Altman, executive vice president of Qualcomm and president of Qualcomm's Technology Alliance division. "We welcome the enhancement of the original Nokia-Qualcomm patent agreement to include all CDMA standards for infrastructure equipment as well as subscriber equipment." << Nice bump for QCOM >> 0:07 ET QUALCOMM (QCOM) 63.50 +5.63 (+9.7%): Merrill Lynch raises near-term rating to ACCUMULATE from Neutral based on this morning's announcement that Nokia and QCOM had expanded their CDMA cross-license. Firm had argued that Nokia was in no rush to sign this agreement until it would be necessary to support wideband CDMA (W-CDMA) deployment. Merrill now believes that this agreement suggests that Nokia sees wideband CDMA as imminent. as imminent. << Ho Hum for NOK: >> In a press release, the two companies said the "multimillion dollar" expansion includes a royalty-bearing license for Nokia to market infrastructure equipment for all CDMA wireless systems, while Qualcomm may sell CDMA components. CDMA is a digital network technology standard. The previous agreement affected only handset technology. Nokia was up 0.9%. - TCS - << - Eric -