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Message: Building value into EDIG

Re: Building value into EDIG

posted on Jan 28, 2009 09:59AM

Right now the stated strategy is to fill the coffers, the quicker the better. The most attractive deal to phase one infringers is a one time payment with no ongoing royalties. To pursue royalties at this time would slow settlements as the infringers would in all likelihood resist. Not to our advantage (at this time) to spend additional time (and in DM's case money) for royalties which would mean less $ up front for long term small payments. Potential exception might be a very small time infringer without the cash to pay up. If and when we pursue companies who we believe owe us a "great deal of money" and will be in the trenches fighting it out for great lengths of time (phase 2?) it might make more sense. Meanwhile many 1 time settlements give the company the financial base needed to help the company grow in areas other than IP.

Coyote

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