Telephone conversation with RP last evening
posted on
Oct 01, 2008 09:44AM
I hope the following comments compare favorably with those who attended the shareholder meeting and reported on their notes.
There is no tier 1 and tier 2
If the term tier was mentioned at the shareholders meeting, it was not intended to differentiate companies by size, revenue, etc. and the term round 1 and 2 reflects their strategy in filing lawsuits.
There is a round 1 and if successful, there will be a round 2
Round one lawsuit are based on use of the flash memory card and are considered to be easier to prove the patent infringement. This may involve in excess of one hundred suits and is expected to generate revenues in the hundreds of million of dollars.
If round 1 is successful and all suits have been filed or settled, then round 2 will begin, obviously much later time wise.
Round two will result in much more difficult lawsuits with many anticipated to go to trial. Considerably higher dollars would be involved with this group of companies.
As to settlements before the markman date in 2010, they expect several settlements will occur, no number was mentioned, but many were the term used.
DM as well as edig believes it is important to keep the company names and settlement amounts as confidential as possible, not to provide an advantage to any future infringer who may be in discussion. They will attempt to combine the amounts with operational revenues so that settlements amounts will be difficult to ascertain.