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

To: limtex who wrote (61874)	4/3/2007 12:03:32 AM
From: Eric L	Read Replies (1) \| Respond to of 197321

Get Back in Your Cell ... L., << Did they just make this up? In any case I must have read it here and I remebered it. >> They paraphrased the CC one heck of a lot better than you did. BTW: The call is still available for your review on the Nokia website. You can hear exactly what Rick said, instead of reading 3rd hand interpretations. - Eric -

To: limtex who wrote (61874)	4/3/2007 8:12:41 AM
From: rkral	Read Replies (1) \| Respond to of 197321

"In any case I must have read it here and I remembered it." So it appears, and the paragraph relevant to this discussion is ... "Once Nokia has ceased actually designing and making CDMA phones, the responsibility for paying royalties on that technology to Qualcomm will pass to its eventual ODM partner(s). That will leave Nokia to pay Qualcomm royalties only for the IPR it owns in GSM and W-CDMA, while Qualcomm will also have to pay Nokia for its IPR in those areas, which may actually work out with Qualcomm owing it more than it owes Qualcomm." -- Rik Turner, tinyurl.com Firstly, notice there are no quote symbols anywhere in that paragraph. Therefore, representing any part as a Nokia statement is inaccurate -- a misrepresentation. Secondly, handset ASPs are about 10x chipset ASPs. So even if Nokia owed Qualcomm only for WCDMA and GSM IP, and Qualcomm owed Nokia for WCDMA, GSM and CDMA IP ... it's hard to imagine any plausible royalty rates and market shares that would support a conclusion of Nokia being the "net recipient." Moreover, while formal accounting will show ODM's paying royalties to Qualcomm, isn't Nokia effectively paying the tab when they buy the handsets from the ODM?