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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Steve Lee who wrote (2793)	4/14/1998 1:26:00 PM
From: JJB	Respond to of 60323

>>How does Sandisk make money from royalties?<< Speculation, but it would seem U.S. Patent 5,602,987 patent would be critical. patents.uspto.gov This seems to be the crux of the Lexar lawsuit. lexarmedia.com Previous questions posed to the company regarding this have been met with something like "agreements regarding licensing are confidential". Does anyone have any specifics regarding the Samsung (I believe) lawsuit that popped this company up from the $8 to $10 range a little over a year ago? jjb

To: Steve Lee who wrote (2793)	4/14/1998 2:42:00 PM
From: Jerome Wittamer	Respond to of 60323

I hope this relieves your concerns re :"does SNDK make money with CF when manufactured by others?" From the 10Q : "The Company currently earns patent license fees and royalties under five cross-license agreements, of which agreements with Hitachi, Toshiba and Samsung were entered into in the third quarter of 1997. SanDisk also has cross-license agreements with Intel and Sharp. License and royalty revenue from patent cross-license agreements was $19.6 million in 1997, up from $8.0 million in 1996 and $1.3 million in 1995. Revenues from licenses and royalties increased to 16% of total revenues in 1997 from 8% in 1996 and 2% in 1995." The 38 patents (from top of my head) of SanDisk and Dr Harari make it clear to the mkt that SanDisk own the keys to the growth.