Replies to post #28179 on InterDigital Inc (IDCC)

[jmspaesq]

DataRox: IDCC NEEDS the ELITE!

LOL YES--I noticed the thrashing that net, tech and telecom has taken in the last few years. But IMHO this too will pass, and the strong companies will survive--corporate capitalistic darwinism.

Yes--I hear you. And if the slowdown has hurt you personally, well that sucks (and I'm NOT saying that you're not 'elite).

But I think that perhaps you are so close to it that you are missing the bigger picture, no disrespect intended of course.

What I mean by that is that you are describing a slowdown in the business cycle--and the world economy. That slowdown has delayed to some extent the roll out of '3G' and has hurt many in high tech, specifically in telecom and wireless.

But business cycles are just that-cycles. In the LOOOOOOOOOONG term such things are blips on the radar screen.

If we all believed that the global economy was going to remain this dismal, I think we'd be out of equities altogether--or invested in conservative investments like commodities and utilities and bonds and little or no growth based equities.

I've said this before: IDCC is David. And competing with the Goliaths!

We don't just need 'talent'--we need the top elite talent.

Lots of people may be available for relatively few positions but there will always be intense competition for the top people in any field.

And that NEVER comes cheap. You get what you pay for.

Similarly, there's lots of onions in the world. But there's only so many vidalia onions. Some years there is a bad crop--like last year. And sometimes it isn't vidalia onion season!

And it isn't just hiring people now, but retaining them later--when another boom cycle comes along.

Further, the options aren't just to recruit and retain. They are intended to MOTIVATE them to produce and create above and beyond the call of duty. To work past 5 PM and to work on weekends--to think about how to produce and create while driving to work, and before going to sleep, and while taking a walk through beautiful valley forge park.

BTW: KOP is a very nice place! The surrounding suburban areas (chester county, montgomery county, berks county) are BEAUTIFUL and growing areas. The largest shopping mall on the east coast. The proximity to Philalephia is another plus--Philly is a world class city without doubt with sports, culture, historical sites and pretty much everything that anyone would want--except perhaps not the best weather. Most of the same applies to Melville NY.

I don't see why that's a problem at all? I'm guessing that you don't come from this area? And/or that you come from Texas and consider it the ONLY state? LOL

As to 'golden parachutes' well I don't think that concern applies to prop 2 and the 2000 plan if you mean the phrase in terms of severance packages as it is usually used? Options that haven't vested prior to termination or resignation will be forefeitted. So they won't be part of a golden parachute.

[loophole73]

Data

Thank you for your post. I follow a group of 18 youngsters, three of which are my nephews, that keep me fairly well abreast of the industry and the employment situation. They all have been telling me exactly what you have just afforded to this board. HG has stated that the immediate plans are goin
g to be project dictated. If we throw all of the wrangling about who gets what and how much presently away because those matters are set in stone and now approved by us, then the logical conclusion is now is not the right time to make a reasonable vote on the issue whether pro or con. It has been established that employee compensation plans may not be used for acquisition purposes. Too many unknowns exist right now to make an informed decision. What is up in the air?

1. Nok remains unsettled which will mark the completion of the big 3 and a clearer picture of 2g as it winds down.

2. The Sharp renewal is still in negotiation.

3. Market reform regarding corporate governance, disclosure, Fasb accounting changes, options expensing and other matters effecting the wireless tech industry.

4. 3g in any mode is certainly not set in stone with regard to timelines or success.

5. Has there been a real IJ sighting at KoP or was this just a tidbit that was thrown out to stimulate the share price for an option expiry period? If there is a real chance that IDCC will be taken over, then this should weigh heavily toward a no vote for 2 reasons. The first is that the playing field will be less out of balance when the price is being negotiated. The second is that IDCC can use the defeat as a positive in negotiating a higher price.

The only real argument for the amendment is maintainiong momentum. However, regardless of Mr. Merritt's positive CC statements, we do not have true momentum until Nok and Samsung are on board. Therefore, the shareholders are being asked for additional options at a time when the information is too sketchy. The hands of management are not tied at this time and a rejection will not create a mass exodus through the engineering door. Management knows it was taking a chance when it asked for the amendment and they certainly did not go into a Lent season before the vote. They have sold into our last two positive events in amounts that tell me that they do not know exactly when the last momentum piece will be fitted nicely into the puzzle which used to be theme of the website. That theme was replaced with the just around the bend slogan that I recently removed as wallpaper on my office computer.

Both sides of the debate now concede that dilution is real so that issue is gone. There is no immediate hiring need or lack of talent in the picture and HG does not foresee one in the near future. It is these reasons after removing the emotional compensation issues plus the matters in the air cited above that convinced me to vote No at this time. When in doubt, the prudent investing decision is to remain status quo until the direction and future are more clear in all respects including whether IDCC will be around for another ASM or a SSM.

Again thank you for stating your experience in the industry. I have posted the exact same information only to discover that my bipolar treatment has not convinced some that I have some credibility in my posts.

MO
loop

[JimLur]

"This is all from very personal experience and the experience of many I know in this industry."

You provided some very strong valid points. First time comments like this came into the arguement

Thanks for sharing that with both sides on this proposal 2 issue.

[mschere]

OT: Business question 101..If you were seeking to add to your staff..would you seek out those that were first to be laid off.. since merely replacing their former salary and benefits would attract long lines to be interviewed or those that would be the last to be dismissed by a Company?..TIA.



there is a HUGE number of available people for evey job IDCC posts.... getting them to move to K o P or Melville is probably the hardest part (IMO).

This is all from very personal experience and the experience of many I know in this industry.

I don't buy it for a second that the company needs over 10M available options to be able to recruit talent....all I see is a lot of golden parachutes.

[bulldzr]

Data, Good Post! Straight to the crux of the proxy2 debate.

"all I see is a lot of golden parachutes."

To use your words, "ahhh, you have hit my hot button."

[harry2]

Data I totally agree with your assessment that many job applicants for IDCC jobs are just happy to have jobs. I was in Dallas a month ago and the area job market has been decimated by the decrease in telecommunications jobs.