Sony Ericsson Pays InterDigital $28 Million Under License Pact

WASHINGTON -(Dow Jones)- InterDigital Communications Corp. (IDCC) disclosed Wednesday that its InterDigital Technology unit received a payment of about $28 million from Sony Ericsson Mobile Communications AB under a March 2003 license agreement.

The developer of technologies for the wireless industry said in a document filed with the Securities and Exchange Commission that the payment primarily consists of a prepayment of estimated sales of second generation GSM/TDMA and 2.5G GSM/GPRS/TDMA standards compliant terminal units during 2005 and 2006.

Consistent with past revenue recognition of prepayments from Sony Ericsson, revenue associated with this prepayment will continue to be recognized as Sony Ericsson reports the exhaustion of royalty prepayments through the sale of licensed terminal units.

Sony Ericsson Mobile Communications is the mobile phone joint venture between Sony Corp. (SNE) and L.M. Ericsson Telephone Co. (ERICY)

-By Chad Clinton, Dow Jones Newswires; 202-862-1349; chad.clinton@dowjones.com

(END) Dow Jones Newswires "

Posted to the site on 12th January 2005