InterDigital Inc (IDCC)

[jai]

IMO, Nokia's biggest fear is IDCC becoming another QCOM. Then they have 2 hemiroids to deal with instead of just one. Whether or not they would have signed last year is not relivent now. How do you get them to sign now?

I'm of the opinion it is in everyones best interest to get Nokia to the bargaining table. Get creative and give them something. The past due revenues are nice but recuring are much nicer. Divide and conqur. Make Nokia be a trigger for Samsung. Give them 2002 for free and refund the $59 million in engineering money.

With quite possibly $300 million dollars in past due revenue payments by next January Nokia can be enticed to deal. Without making it worth their while they will just keep fighting and dragging and hope they get lucky with the arbitrators.

So if the arbitration date is 7 months away why should IDCC deal? Why not. Their is no guarentee that IDCC wins in arbitration and also we do not know for a fact that this can't be dragged out further by some legal manuvering.

My initial theory from yesterdays presenation, the last CC and the annual report was that management decided to down play Nokia numbers so they sound more like a current success to analysts and the investment community. Now I'm leaning towrd settlement talks and big concessions in back payments. I'm hoping that this is true.

Finally the old saying a bird in hand comes to mind. I've been in this stock long enough to have all my profits fly away twice. If their is a chance to put Nokia to bed, draw a nice foward recurring revenue stream then move on the rest of the infringers I say do it.