InterDigital Inc (IDCC)

[j70k]

Dishfan-Great post, the logic is compelling re the company being bought out,but I really doubt the $200 price tag is realistic.Make no mistake about the line being drawn in the sand between the major oems and non handset manufacturing ipr holders.It's all about margins and the wild cards that will determine the margin going forward are qcom and IDCC.The worst case scenario for the oems is IDCC becoming another qcom and greatly affecting the next generations of wireless.Since nok is the first to have its' license renewed with qcom(in April 07)and it is currently the largest handset maker,the showdown is THE event that will dictate the structure of the wireless sector for many years to come.I doubt very much that this situation will be solved anytime soon,if past actions by nok are any indication.I believe that the time frame IDCC and nok agreed upon re 3g infringement is directly tied to qcom/nok reaching an agreement on rates.I also think that this entire situation will be wrapped up in a neat little package with qcom acquiring IDCC,but as much as I would love to see $200/share,the only way this could happen is thru a bidding war with another company who sees IDCC as their ticket into the cross licensing game.The argument that a deal wouldn't be immediately accretive to qcom and therefore qcom wouldn't consider the purchase, is nonsense.I don't expect any major oem to break ranks until the qcom/nok situation is settled and I don't believe it is prudent for IDCC to take any legal action until that time.Unfortunately, we are in a holding pattern,with management going after more of the smaller players that haven't licensed,and agreeing to purchase more shares during this period.Bottom line, I believe that we will all be happy campers when this mess is finally settled-I just hope this isn't drawn out for several more years.gltal!