Interdigital: Valuation

By Vijay Nagarajan, Guest Author “Seventy Five dollars! That cannot be,” was my own reaction when I first glanced at the result of my valuation analysis. The number sounded outrageous compared to the current stock price of IDCC – $20.13 after hour on Jan 30th, 2008. It was also 65% above my highest estimate of

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Interdigital: Key Valuation Assumptions

By Vijay Nagarajan, Guest Author As I mentioned in the prequel, the uncertainties surrounding the IP business model and also its new ASIC ventures make it impossible to come up with an accurate mathematical model for Interdigital’s valuation. Nonetheless, I have made certain simplifying assumptions to make the problem more tractable.

Interdigital: A strategic shift

By Vijay Nagarajan, Guest Author In my introduction to Interdigital (IDCC), I had talked about the company’s past. As we saw, despite a visionary beginning, IDCC is yet to find its place in the wireless world. Instead, it has taken an exclusive IP licensing route making money off lawsuits so far. A key reason for

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Interdigital: Visionary Beginning, Rocky Past

By Vijay Nagarajan, Guest Author Interdigital Communications Corporation (IDCC) is a King of Prussia, Pa based mid-cap company that thrives primarily on income from its intellectual property (IP) portfolio spanning 2G and 3G wireless technologies. Before I present my outlook on the company, let me throw in some historic perspective. International Mobile Machines Corporation (IMM),

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The Next Big Innovation in Microprocessors: Anant Agarwal (Part 15)

SM: What you are proposing sounds very disruptive. AA: It is completely disruptive; we can displace, depending on the market, FPGAs, DSPs, processors, ASICS. Right now initial markets are really in networking, but the fundamental technology is revolutionary. It will be the way all multicore systems are built in the future.

The Next Big Innovation in Microprocessors: Anant Agarwal (Part 14)

Here we discuss the current market environment, the competitive landscape with a focus on what current chips are being displaced by the multicore chips. SM: I read in the slides you sent me that you are expecting a TAM (Total Available Market) of $54 billion, is this based on the two markets we discussed –

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Eric Benhamou & the Turnaround of 3Com (Part 9)

SM: One question about your managing the board during that difficult period. What did you learn from that process, and how did the board react positively, negatively, especially looking back today? EB: It was very gutsy on the part of the board to ask me to take the lead on this company. I had never

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Eric Benhamou & the Turnaround of 3Com (Part 8)

SM: In general, was the workforce at 3Com more aligned with your vision than to Krause’s? EB: It was a split workforce. We had some computer experts, and we had some networking experts. What I ended up doing was to choose one – we could not do both. We built upon our roots at Bridge,

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