SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?


To: Valueman who wrote (9929)4/18/1998 11:26:00 AM
From: Gregg Powers  Respond to of 152472
 
Maurice:

Philip is well meaning, albeit naive. One of the Great Myths is that CDMA is a closed fraternity, guarded by a nefarious and avaricious Qualcomm (and its confiscatory royalty rates). What poor Philip doesn't understand is that the Europeans have erected a far less obvious, but vastly more expensive, IPR-based wall around their precious GSM standard.

If a newcomer, like the Japanese or Qualcomm, wanted to provide a complete GSM solution (i.e. infrastructure through handsets), it need to negotiate license agreements with something approaching eight European telecom companies. While none of the individual royalties are excessive, the aggregate tab would likely climb into the mid-to-high teens. The Europeans orchestrated this fraternity party to protect their technology position and prevent being blown-out in their home market by the Japanese. It's laughably hypocritical that the GSM crowd attempts to vilify QC for its IPR position, which is at least pro-competitive, whilst using their own patent positions to functionally prevent economic competition (unless you are a fraternity member).

Well, all is fair in love, war and telephony!

Best regards,

Gregg