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Technology Stocks : Aware, Inc. - Hot or cold IPO? -- Ignore unavailable to you. Want to Upgrade?

To: dtech114 who wrote (5908)	4/9/1999 10:46:00 AM
From: mark rosenblatt	Read Replies (1) \| Respond to of 9236

Aware's licensing contracts will offer lower not higher royalties per chip over time. Aware expects to offset this by offering more functionality in its software to its licensing, which they may or may not take. Big companies like LU and ADI don't like paying large royalties to other players. Aware believes it can maintain a 5% royalty. But, like the modem business, chips will fall into the $20 range, thus the $1 estimate was accepting Aware's assumptions, not my own, which would have the royalty falling below 5%.