InterDigital Inc (IDCC)

[The Count]

2G outcome and 3G

Think about the roadblock IDCC faces when they try to negotiate a licensing deal with some manufacturer. Even if the manufacturer believes IDCC has technology they need to license for 3g, the IDCC licensing team tells them first we need to settle up on 2g. These manufactures then say, we wont pay until the others including Nokia pay.

I don't believe that is holding up 3G licenses. First, IDCC's management has stated that the arbitration is not hindering 3G licensing. Second, if your theory is true there is a simple solution. IDCC signs them up to a 2G license that says they get whatever Nokia agrees to. That is going to be the standard for everyone for 2G and it should be understood by both IDCC and the manufacturers so no one is taking a gamble by entering into that agreement. 3G is a different animal.

Your opinion seems to be the common one with investors, so right now IDCC is not getting much pressure from them regarding 3G licenses. Once 2G settles IDCC management is going to come under pressure to get 3G signed up. I hope they will be able to deliver.