Replies to post #106068 on InterDigital Inc (IDCC)

[micromays2]

When you mentioned Rodney Dangerfield, I thought of his line in Caddyshack, "Help the Judge (Nokia) find his checkbook."

That's why I liked hearing him say "execute on the judgment" this morning. Caused me to picture Uncle Billy going back into the rowdy bar where the Nokia gang hangs out with six or eight NFL linebackers glowering from behind him. LOL! No more "Rodney Dangerfield" stuff with Mr Merritt from IDCC after that "meeting of the minds".

[infinite_q]

L2V, I agree with you in that I believe IDCC feels confident that the ICC will rule in their favor.

The amount of the arbitration award may be in question, but IDCC should come away with a 2G royalty structure through 2006.

The real issue at this point is the post-2006 period.

If IDCC prevails in the arbitration over 2G, then it is likely that they can leverage ERICY to trigger 3G royalties from NOK - but only through 2006. This is why NOK is bringing suit against IDCC's 3G patents. They are threatening IDCC with the prospect of a prolonged patent battle over 3G in the post-2006 period. For that reason, the Street may not give IDCC the value it deserves for its arbitration victory. NOK is muddying the waters for IDCC's future revenue prospects. They are creating uncertainty in investors' minds as to whether 3G royalties will be coming in for some time once the current agreement expires.

IDCC has laid the trap for NOK via the 1999 agreement, but only through 2006. IDCC and NOK could settle now but in my opinion any settlement at this point MUST include an agreement for 2G and 3G royalties beyond 2006.