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

To: JGoren who wrote (62524)	4/12/2007 2:37:41 PM
From: sag	Respond to of 197028

Yes, Qualcomm has said the 3% is intentionally deceptive and misleading. Qualcomm also said Nokia has been paying a royalty on WCDMA handsets in excess of 3% to QUALCOMM alone.

To: JGoren who wrote (62524)	4/12/2007 2:58:51 PM
From: rkral	Read Replies (1) \| Respond to of 197028

"How do you reconcile the numbers?" As I acknowledged in a later post, I incorrectly thought "aggregate" included both Nokia's royalty payments and receipts ... so my numbers are worthless. "There is probably a cap in ASP, such as in notebooks and computers (which also answers the question about high-end multifunction devices) or quantity discount. Either way, if there is a cap on ASP, the stated rate of 4.5% apprx gets reduced to an effective rate of 3%." Nokia's latest PR specifically says "handsets" and as slacker alluded elsewhere, it is unlikely there are enough "royalty free" dollars, i.e., dollars above the royalty cap, to decrease the base rate very significantly. "Yes. the NOK payment represents .5%." Although the premise was incorrect, my 0.5% was an estimated net rate for Nokia's "royalty receipts."