Patent bully?

Qualcomm, Inc., holds lots of patents relating to digital processor technology, an essential ingredient in wireless telephones.  Qualcomm in fact annually earns more than $2 billion in profit from royalty payments on its 1,900-plus patents.

A recent article highlights complaints about Qualcomm’s litigiousness.  "Even their best customers hate their guts", someone said.

The article also notes that Qualcomm expects legal expenses will double (to $200) million in 2007.  That amounts to a 10 percent contingent fee — which Blawgletter sees as a terrific deal for Qualcomm’s shareholders.

Barry Barnett

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