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


To: slacker711 who wrote (67798)8/17/2007 11:18:58 AM
From: Paul V.  Read Replies (1) | Respond to of 197227
 
slacker, was it the end of 2008 or 2007?



To: slacker711 who wrote (67798)8/17/2007 11:48:53 AM
From: sag  Read Replies (1) | Respond to of 197227
 
From now until the end of '08, Nokia has very little downside to letting everything play out in court. After the option expires, the possibility of even higher royalty rates comes into play.

Higher royalty rates are in play now. QCOM is looking for past payment on GSM/GPRS/EDGE infringed patents as well as payment for same going forward(actually same rate applied to more phones). If QCOM is successful in this approach nokia would gladly accept the old terms under the 2008 extension. Of course,extending the contract would not remove the GSM/GPRS/EDGE issue for Nokia. Perhaps this is why nokias CFO said the following earlier this year.

Nokia, Qualcomm Near Patent Pact's End With No Deal for an Extension in Sight
By Don Clark
Word Count: 530 | Companies Featured in This Article: Qualcomm, Nokia
SAN FRANCISCO -- Qualcomm Inc. and Nokia Corp. are engaging in a high-stakes game of chicken, and Nokia's chief financial officer says his company is not about to blink.

A longtime agreement under which Nokia pays patent royalties to Qualcomm expires April 9, and executives from both sides have expressed doubt that a deal will be reached by then. Rick Simonson, Nokia's chief financial officer, vowed that his company "will hold our ground" in pushing for lower royalty rates. "We won't pay more," Mr. Simonson said in an interview yesterday. "We expect to pay less."<i/>

The two sides disagree sharply ...



To: slacker711 who wrote (67798)8/17/2007 11:58:28 AM
From: golfinvestor  Read Replies (1) | Respond to of 197227
 
<From now until the end of '08, Nokia has very little downside to letting everything play out in court.>

Where have I heard that before. LOL! Treble damages is more than a "little downside" IMHO.



To: slacker711 who wrote (67798)8/17/2007 11:58:28 AM
From: golfinvestor  Respond to of 197227
 
Dup



To: slacker711 who wrote (67798)8/17/2007 1:03:03 PM
From: Q8tfreebe  Respond to of 197227
 
ISn't there sone downside associated with Nok's failure to make a payment in September for phones shipeed in the prior quarter. As I understand it, Nok pays royalties in arrears so if it fails to pay in September, it could be found to be willfully infringing on QCOM IPR for that prior period, which could carry triple damages. That was why Nokia tried to make an advance payment of $20M which QCOM sent back.