InterDigital Inc (IDCC)

[olddog967]

dndodd: That amount also surprised me. The full statement was “After the expiration later this month of certain module license agreements that overlap with the target markets of the Avanci IoT licensing platform, we see our annual royalty platform as being in the range of $360 million to $380 million,”

I see two explanation for the $360 -$380 amount.

First, as stated, “certain module license agreements” expire this month. IDCC’s license with Cinterion (Gemalto) signed in 2012 was though 2016. In addition IDCC’s licenses with module makers Sierra Wireless, u-blox , and Enfora (Novatel) were signed around the same time. As the announcement states plural licenses, one or more of these other licenses also expires and apparently, in view of IDCC’s Avanci agreement, they don’t anticipate a renewal (Note: The press release for the Cinterion license did give the expiration date, while the others did not.

Second, and probably more important, since IDCC now has a license with Apple, IDCC will probably no longer be able to collect Apple related royalties from Pegatron.