Ten weeks and still counting since Merritt made his DECLARATION..
I am confident we will expand our licensing base this year. Let me explain why. Rich and Howard have both said it, but it bears repeating. We have momentum, and I can tell you from years of licensing, momentum is very important. Putting aside all the technical and legal factors, prospective licensees are far more likely to enter into a license if they see others licensing with you. They are also more likely to agree to license if they know you have the financial strength and determination to pursue the matter through to conclusion. We have all those factors on our side, and they are very important in the current market. As we all know, there are many financially challenged companies out there. A financially challenged company is more likely to try to delay the resolution of a licensing obligation than deal with it, and this environment can be a significant problem for patent holders who are new to licensing. We are not in that category. The fact that we have licensed a significant portion of the 2G market and have a reputation as a determined licensing organization, makes a big difference. Companies know that they have to deal with us.
BILL MERRITT: That's right, Tom. This is Bill Merritt. You're right, we have two agreements with Sharp, one is on 3GSM obviously contributing to our revenues. The update with respect to the 2G license in Japan, we anticipate that being renewed in the second quarter of this year.
BILL MERRITT: I don't see people that are unlicensed waiting for the Nokia and Samsung issues to resolve. That issue is defining a payment; it's not a question of whether they're licensed or not. They are licensed. It is just a question of defining those payments.
I am patiently waiting for them to close the deal on 3g and capture the other 2g players on board to build recurring revenue on the way out of one technology and into another. This will be the test for assessing their performance.
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