mschere, you're right, M&A could be good
although if they came to me for M&A help, then I'd really be worried. If they find a company that is complimentary to IDCC and can add value, great. However I don't see that as being likely. My view is I think IDCC is the best investment around, so buy back shares of IDCC. Unless they come across a situation with great synergy, I'd hate for them to go looking for a company to buy. The money burns a hole in the pocket and the M&A folks feel the need to do something to justify their positions, so instead of buying a great opportunity, they go looking and buy the best opportunity they find. When I go shopping, I go due to a specific need and I get that item. It may not be at the best price, but if it is at a cost that is worth it to me, then I buy it. My wife, on the other hand, goes shopping when she has a few extra dollars in her purse. She always comes home and tells me how much money she saved me on all the bargains she bought, but if we didn't need it then I look at it as a waste rather than a savings. A rather simple minded analogy, but that is my fear. We buy a company because we can, we get it at a "good" price (free if we use stock, right guys?), it makes us feel good about ourselves, but in the long run does it enhance company value?
I could be completely wrong on this, as it is just off the cuff thinking without any background in M&A, nor any knowledge of the skill or experience of the M&A people with IDCC. However, my impression is that companies that achieve success then try to move to other areas tend to have some troubles.
