InterDigital Inc (IDCC)

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PRESS RELEASE: InterDigital Signs Patent License Agreement
KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--June 6, 2003--InterDigital Communications Corporation (Nasdaq:IDCC), a leading architect, designer and provider of wireless technology and product platforms, today announced that its subsidiary, InterDigital Technology Corporation (ITC), has signed a non-exclusive, worldwide, royalty-bearing patent license agreement with Nakayo Telecommunications, Inc., a manufacturer of telecommunications equipment for the Asian markets.
The agreement covers wireless terminal units and infrastructure compliant with TDMA-based PHS standards. Under this agreement, ITC will receive a royalty on each licensed product sold by Nakayo worldwide. Nakayo will pay ITC an advance royalty payment and a one-time license fee. Once the advance payment is exhausted, Nakayo will be obligated to pay additional royalties to ITC on each licensed product sold through the life of the licensed TDMA patents. The one-time license fee paid to ITC will be recognized as revenue evenly over the life of the agreement.
"The signing of this agreement with Nakayo Telecommunications, Inc., a new entrant into the mobile wireless equipment market, reflects the strength and essentiality of our patented inventions, and the competitive importance of our technology for the mobile wireless market," said William Merritt, President of ITC. "Our momentum in patent licensing continues to accelerate. We have been particularly successful in licensing manufacturers who produce mobile wireless products to the PHS standard, with 24 such licenses now in place worldwide."
About Nakayo Telecommunications
Nakayo Telecommunications of Japan manufactures and sells telecommunications equipment such as key telephone systems, telephone sets, telephone parts, switching equipment and data equipment. The company is headquartered in Tokyo, with additional operating centers throughout Japan.
About InterDigital
InterDigital architects, designs and provides advanced wireless technologies and products that drive voice and data communications. The Company offers technology and product solutions for mainstream wireless applications that deliver cost and time-to-market advantages for its customers. InterDigital has a strong portfolio of patented technologies covering 2G, 2.5G and 3G standards, which it licenses worldwide. For more information, please visit InterDigital's web site: www.interdigital.com. InterDigital is a registered trademark of InterDigital Communications Corporation. All other trademarks are the property of their respective owners.

This press release contains forward-looking statements regarding our patented inventions, the importance of our technology for the mobile wireless market, and momentum in patent licensing. Forward-looking statements are subject to risks and uncertainties and actual outcomes could differ materially from those expressed in any such forward-looking statements due to a variety of factors including, but not limited to, (i) our ability to enter into additional license agreements; (ii) the impact of the Severe Acute Respiratory Syndrome epidemic on our ability to engage in negotiations in Asia and elsewhere; (iii) our ability to adequately prosecute, enforce and protect, our patents and other intellectual property rights; and (iv) as well as other factors listed in the Company's most recently filed Form 10-K and Form 10-Q. We undertake no duty to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.
CONTACT: InterDigital Communications Corporation Media Contact: Dawn Goldstein, 610/878-7800 e-mail: [e-mail] or Investor Contact: Janet Point, 610/878-7800 e-mail: [e-mail] KEYWORD: PENNSYLVANIA JAPAN INTERNATIONAL ASIA PACIFIC INDUSTRY KEYWORD: TELECOMMUNICATIONS E-COMMERCE INTERNET HARDWARE COMPUTERS/ELECTRONICS SOURCE: InterDigital Communications Corporation Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. URL: http://www.businesswire.com
(END) Dow Jones Newswires
06-06-03 1041ET