Replies to post #245596 on InterDigital Inc (IDCC)

[Desert dweller]

From an accounting standpoint, if the $400 million is all for past usage, there is no way it could be recorded in the future. This would be totally wrong. At best it would all be recorded in the 1st qtr and most likely since the terms of the agreement were struck during the 4th qtr of last year it would probably be shown as a one time revenue figure for 2008 with nothing for 2009 and forward.

As usual there is still a lot left unknown at this point. Is Sammy buying a significant amount of their chips from Infineon which will provide us more revenue or from IDCC directly? We don't know but from what we know, it looks like Carpentar was right with his low end estimate. I would suggest all look at Tom's report from November to see estimated sales which probably will be pretty accurate then judge for yourself whether or not this is a good deal. Here is Tom's 11/08 report. I look forward to his update soon.

http://wirelessledger.com/idccNov262008.pdf


Message In Reply To:
COUNT: I do believe that when IDCC says in their 8K that the $400 Million is for past infringement and this settles all legal issues for past 2G/3G. They also state from what I can interpret that the $400,000,000 is for paid up usage through the signing of this agreement on Jan. 14, 2009. Samsung will be paying additional royalties for 2G through 2010. They will also be paying additional royalties for 3G and CDMA2000 from January 14, 2009 through 2012. If someone can explain this differently and convince me otherwise, please do so.

[amrwonderful]

Why mention this: "and a license covering Samsung's sale of 2G single-mode TDMA-based products that will become paid-up in 2010."

If it is paid for already why even mention a date?

This section, imho, states that Samsung will not be charged for any 2G single mode products after 2010, and that they will be paying extra up until some date in 2010. If the 400 million covered past and future of 2G single mode products, and therefore all paid up, why even mention 2010?

That second paragraph is separate from the first. I believe the 400 million is for all past use of of patents.

The agreement was signed today. They hurried to get this 8k out for this evening. All imo.

[ed_ferrari]

Janet said the 400 million is the total amount:

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=34826162

If you're expecting more, you're setting yourself up to be disappointed IMO.