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Message: banks50, Intel signed with TPL, the terms included milestone payments.

banks50, Intel signed with TPL, the terms included milestone payments.

posted on Aug 05, 2005 05:38AM
These were withheld pending resolution of the Patriot/TPL litigation. Upon agreement, these arrears were paid, as per the filing. Unlike drug companies, there are no phases in patent licensing, so the milestone payments would be for actual products produced using the patent/s ie royalties: a rose by any other name...

You stated ``By the way has anyone here mentioned today that the intel deal will not be recurring!!!!`` and ``But hey at least I`m not writing about recurring revenues``, where in fact the Intel deal is recurring. So, by settling the litigation and agreeing to share ownership of the disputed patents, the Intel arrears, and future milestone payments from Intel, go into the P-Newco pot, as stated in the filing, to be split, as agreed, ``thereafter``.

So, Intel didn`t ``agree to pay TPL everything while the PTSC albatross was hovering overhead``, they paid an up-front amount and agreed to ongoing milestone payments, payment of which was subject to validity of the license.

Intel consented to pay the arrears on signing of the agreement.

The conflicting point was Intel making no further payments(yours) vs Intel continuing with milestone payments into the future(mine).

As to them being incremental, I meant that after each milestone is achieved, it then costs more per unit than in the last.

Please forgive my lack of clarity and any ensuing confusion.

Be well

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