(MT stated earlier that Infineon and Broadcom compete with eachother as the main two suppliers to DT. Infineon licenses Awares tech and Broadcom does not.)
Tom Kerdo states...One could be critical of Aware for not protecting their IP as agressively as Rambus does. Then he asks...Is Broadcom using technology not covered by your patents(in the DT deployment)?
MT..."No, they're using a standard compliant tech. Our belief is...we have a very strong patent in that standard tech that they're using. But, at this point, we've decided not to pursue a litigation path as a means to monetize those assets because we think there are other ways to do so"
Tom Kerdo...Can you say if you're having conversation with Broadcom now?
MT...No I can't ( he said rather emphatically). ++++++++++++++++++++++++++++++++ To me, this exchange sounded like a an implication that preliminary talks are going on between Broadcom and AWARE? How happy is Infineon going to be if they're paying Aware for what their chief competitor is getting for free?
Maybe a three way deal, IFX to unload the IFX/ADI business to BRCM and AWRE to unload DSL IP to BRCM. Leave BRCM as the bulk vendor for DSL chippies and maybe the likes of PMCS and TMS license from brcm to apply some innovative analog front end technology for their respective apps/markets.
Aware is left with Med imaging, biometrics, DSL T&D and the new business that Mighty Mike is hiding behind door number three.
Not sure what the Aware patent position is worth, certainly no more than 5% of the revenue Brcm will derive from this business - but that could be a big number. It will approach 100% of the market. So maybe they get a price that is equal to 3 years worth of 2.5% of the 100% share. I would take it if its offered.