InterDigital Inc (IDCC)

[The Count]

Rockitt, you are correct

My statement
The beauty IMO of IDCCs business model is that revenues drop pretty much to the bottom line, except for taxes.

is erroneous. I should have said that additional revenues drop pretty much to the bottom line, except for taxes. That is an important difference. So yes, there is a significant difference between revenues and net income, however CHANGES in revenue should affect the net income by the amount of the change net of taxes.

For example, the Samsung contract. Revenues have increased ~$25 million a quarter. Other than the tax accrual, I don't see any other expenses increasing due to the Samsung license.

Frank