InterDigital Inc (IDCC)

[mickeybritt]

My Numbers On Future Revenues

I am going out on the limb and predicting that by 2005 annual handset sales will be 500 million. I will also go out on the limb for simplicitys sake and say IDCC has 100% of the manufactures licensed. Now using what I believe will be a conservative average handset selling price of $200.00 as these handsets will have all kind of bells and whistles. I think the very least IDCC will get on average is a 1% royalty rate, which means IDCC from handset sales should have revenues of 1 billion. Now I believe we can add another 150 million for infrastructure. I also believe at that time IDCC will have chips in the market and I also believe that not only will handsets and infrastructure be needing the IDCC technology but so will Palm, and Lap tops, and other wireless products, which will also need the chips. I am saying that the revenues could easily be 2 billion dollars. Now elevating expenses to 200 million a year and taxes of 40% IDCC should after taxes have around a billion 80 million and with a fully dilluted share basis of say 70 million and a conservative P/E of 20 we now have approximately a $300.00 a share stock. I may be off a year on all this becoming reality but no longer I don't think. This is provided there still is a IDCC come 2005. Again this is my own numbers and I am sure some of you will want to know what I am smoking, and for your information I am not smoking anything, and I believe these numbers have a real chance. It depends a lot on the progress of the market and the viability of the chip and technology being needed in other wireless products.

Mickey