we know there were 3 arbs going on last year:
one is tech solutions, highly likely the intel arb for the 44+ million
another is apple
not sure about the third. Given the sums of money involved and discussion with IR in the past, I'm pretty sure the remaing 2 arbs are related to tablets and license coverage (1 is most likely cellular enabled ipad sales),
In fact, if you go back and look at some of the expanded agreements of the past, it mentions new tablet coverage (see Acer/Pantech license)
For what it's worth, I expect at least one of these arbs to be resolved and a nice little earnings surprise tomorrow.
my opinion
bim24
Importantly, these results do not include revenue for disputed royalties that has been deferred pending the outcome of an arbitration proceeding related to one of the company’s technology solutions agreements. As of March 31, we’d deferred $33.1 million in revenue in connection with this arbitration, including $3.4 million of revenue that we did not recognize in the first quarter 2012. We’re confident in our position for this arbitration, and based on the current schedule, we expect that it will be resolved this year. At that time, we will recognize an amount of deferred revenue consistent with the outcome of the arbitration.
In addition to this arbitration, we’re also involved in other arbitrations where we believe we have a strong position. One arbitration relates to product coverage at an existing license and currently involves several million dollars of disputed royalties, none of which we have recognized as revenue to date. We believe that our position with respect to this arbitration is also very strong and expect that it will be resolved this year.
Together, the disputed royalty revenue from these two matters totaled approximately $8 million a quarter over the last two quarters. A third arbitration is currently in process, also relates to product coverage. We will provide our revenue expectations for the second quarter 2012 as we receive the applicable patent license and product sales royalty reports.
| 