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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Paul V. who wrote (66653)	11/30/2004 11:17:08 PM
From: rkral	Respond to of 77400

Paul V., re "Do you mean that they have to pay royalties to QCOM?" Yes. The "standard rate" is generally understood to be 5.25% (for domestic shipments) and 5.75% (for export shipment) of the wholesale selling price to the cellular carriers. Slippage exist here and there. Examples of reduction in the royalty rate: dollar capped, cross-licensing of IPR, royalty sharing through 2006 with Korean standards organization (ETRI) and Motorola, and non-standard rates with China to get CDMA started there. The two QCOM threads here on SI are quite informative. I see you've been to the unmoderated one. Ron