InterDigital Inc (IDCC)

[The Count]

Why would IDCC want a shorter term?

It seems like it would be in IDCC's interest to have a long term agreement if they can get a reasonable rate either fixed, per unit or some sort of hybrid with a minimum and maximum based on actual sales and sales prices. I can't imagine IDCC has any more desire to enter into frequent negotiations than Nokia does. I can't say I agree with your statement that "Nokia simply has considerably better things to do with its time than after protracted negotiation and litigation to conclude a '3G' license with InterDigital then almost immediately commence new negotiation" based on their conduct over the past years. The appear to love to negotiate and litigate.

IDCC doesn't want to lock itself into a long term fixed fee contract if it assigns a low amount to out years' sales and revenues, and Nokia obviously is not going to want to commit to a long term payment that may proved to be overly generous. Maybe a minimum amount with additionally royalties for sales over a certain threshold and a cap on the total for any year can be worked out where both parties have a worst case guarantee and potential for better results if warranted by actual sales to give them the confidence to enter into a long term contract.

Thanks for your contributions to this board Eric. Your posts today have been outstanding and very helpful. I really appreciate your well informed opinions.

Frank