Replies to post #75303 on InterDigital Inc (IDCC)

[amrwonderful]

Ziploc: But don't you think that NOKIAs drop in marketshare really has to do with "style" or the "appealability" of their phones rather than the "guts" or IPR in the phones. I only mention this because I don't see them changing their spots for IDCC....as we all agree, it is a whole lot of money in the balance and NOK is going to pay as little as possible.

That being said, a big award for IDCC in March 2005 can hurt NOKIA a whole lot more than a reasonable settlement for 2G and an contract finalization for 3G in August 2004. Especially if they keep losing marketshare.

[TFWG]

Zip, MO, the only way Nokia can regain market share is to beat the competition at price. The problem with winning the market share back at reduced price is the loss of margin. Nokia is a handset maker. Once a handset is sold Nokia's revenue stream terminates. The reduction of price to regain market share will not help Nokia. The market is now full of good "hot" handsets. Nokia cannot make up the margin loss with volume.

Nokia is in a bathtub full of trouble. I liken their problem to IBM's or Compaq's in the '80's. Both ruled the PC market. Market kings they were. But as PC price and variety flowed into the market, these manufactures brutally learned there was no consumer loyalty. Nokia is learning that lesson now.

I agree having IDCC as a "partner" is better than an adversary. However I am convinced, from that day in March [Feb.?] when Jorma, from high atop his 2g empire, blew off the 3g rollout as too new too soon. Nokia, like the crew of the Titanic, didn’t realized the truth of their situation. A situation they [Nokia] now understand, but too late. IDCC should keep the pressure on. Nokia [and I'm not seeking revenge here] must be made to pay the full share they owe. No deals. Make them pay.

Regards,

Bob