If there is an award for bad blog-post timing, then I will perhaps be a front-runner this month! On Monday, I posted an article about Nokia (NYSE:NOK) and IDCC settling their U.K. disputes, where I mentioned that it was a sign of more good news to come. On Tuesday, InterDigital (NASDAQ:IDCC) announced that the International Trade Commission [ITC] staff in the Samsung [KSX: 5930] case has favored Samsung. This has let to an astronomical 25% drop in IDCC's share price as people scampered to let go of their shares in anticipation of more bad news.
This is not a great development for IDCC. The downside is that if the ALJ upholds the staff's recommendation, then IDCC will lose any right to collect royalties from Samsung in the U.S. This will also likely percolate to its ITC case against Nokia creating a domino effect. This being said, the dispute still has a long way to go. Both parties are yet to make their respective cases.
For the moment, I am looking for more clarity in this matter. I would appreciate it if readers can provide any information that can be disseminated to educate others here. Please send me emails through the contact form. I would especially appreciate insights on the actual proceedings, court reports etc. that can go beyond what is being commonly reported.
More updates will follow as I come to know more!
Disclosure: Long IDCC at the time of writing.
[Disclaimer: All thoughts expressed by Vijay Nagarajan in his articles are his and do not necessarily reflect those of either Atheros Communications or TensorComm Inc.]
Now that you’ve read this, are you Bullish or Bearish on ?
Sentiment on ()
Thanks for sharing your thoughts.
Why are you ?
Submit & View ResultsSkip to results »