k-qc, Re: Broadcom suit and –Lin’s comments-
"We are going into the cell-phone space," Rosmann said. "I know that some of the chips, the wireless communications chips, that we make go into cell phones now. But I also think we're moving into the cell-phone space on the baseband side."
Albert Lin, an analyst for American Technology Research, said Broadcom's tactic of suing Qualcomm brings attention to its new venture making chips that power cell phones”
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It’s my understanding that Broadcom has no prior experience and no customer base in CDMA/ WCDMA, only hoping to enter this lucrative market against stiff, entrenched competition. I wonder if Broadcom really desires this kind of “attention”? Filing a suit against Qualcomm, “bringing attention” to their potential customers that they are -
1. without a Q license
2. No longer on “cordial” terms with Qualcomm, giving reason to believe that such a license is now not a short/intermediate term probably.
3. Further, the terms (royalty rate, 3rd party IPR pass-thru/ rate cap limits) of such a Q license are unknown and could likely be less favorable.
Would potential customers, given this uncertainty, be lining up a Broadcom’s door with WCDMA baseband orders?
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