Rate Summary

Category 1 - Pricing per individual consumer device (1)
Per Device Decoder Encoder Codec
$0.30 $0.30 $0.30
  1. (1) Category applies to Licensed Products which are hardware products excluding Handsets and excluding Wi-Fi Devices, limited to one application with a maximum of 6 Realtime Channels allowed. For example, this category includes all individual consumer products (IP phones, etc.) and home-based telecommunication products (e.g. home gateway for an operator) except for Handsets and Wi-Fi Devices.


Category 2 - Professional Content Applications (1)
Per Application Decoding Capability Encoding Capability Encoding and Decoding Capability
$20.00 $20.00 $40.00
  1. (1) This category covers infrastructure products which have no channel or session capability and the transcoding is always done “off-line”. For example, an off-line content transcoder and professional content creation tools typically fall under this category 2.


Category 3(A) - Downloaded content applications (1) (2)
Per Downloaded Application Decoder Encoder Codec
$0.20 $0.20 $0.20
  1. (1) “Downloaded Content Application” means a software application that cannot be used for telephony and which is separately sold or licensed to an Individual Consumer for installation on a device by the Individual Consumer but not integrated into, packaged with or otherwise offered with the device when sold or licensed. The scope of the license is limited to the application, i.e. it does not enable third party applications.
  2. (2) For example, consumer content creation tools and media players may belong to this category.


Category 3(B) - Downloaded VOIP applications (1) (2)
Per Downloaded Application Decoder Encoder Codec
$0.40 $0.40 $0.40
  1. (1) “Downloaded VoIP Application” means a VoIP Application which is separately sold or licensed to an Individual Consumer for installation on a device by the Individual Consumer but not integrated into, packaged with or otherwise offered with the device when sold or licensed. The scope of the license is limited to the application, i.e. it does not enable third party applications.
  2. (2) Category applies to VoIP Application with a maximum of six (6) Realtime Channels per device.


Category 4 - Telecom and Multimedia infrastructure (1)
Per Realtime Channel (2) (3) Decoder Encoder Codec
$0.40 $0.40 $0.40
  1. (1) Category applies to Licensed Products where Realtime Channels can be counted. This category is for telecommunications and multimedia infrastructure including, but not limited to, base stations, base station controllers, radio network controllers, switching centers, gateways and servers. Board level products (blades) and programmable board level products are also included if they constitute a complete product.
  2. (2) If the exact number of Realtime Channels in a Licensed Product can vary, then the maximum number of Realtime Channels that can be handled by the product will be used for royalty calculation.
  3. (3) All upgrades to Licensed Products which add Realtime Channels to such Licensed Product shall be subject to reporting and License Fees.


Category 5 - Licensed Products Enabling 3rd Party Applications For Indivdual Consumer Devices (1)
Per Device Decoder Codec
$0.40 $0.40
  1. (1) Category applies to Licensed Products which enable third party applications which are not Personal Computer Decoder or Handsets or Wi-Fi Devices.


Category 6 - Handsets and WI-FI Devices (Choose 1 of 2 Options)
Running Royalty Fee Option (1) (2) (3)
(Pricing per Licensed Product)
Cumulative Volume Decoder Encoder Codec
1 to 10,000,000 $0.40 $0.40 $0.40
10,000,001 to 30,000,000 $0.35 $0.35 $0.35
30,000,001 to 60,000,000 $0.30 $0.30 $0.30
60,000,001 to 100,000,000 $0.26 $0.26 $0.26
100,000,000+ $0.22 $0.22 $0.22
PrePaid Fee Option (1) (2) (3) (4)
(Pricing per Licensed Product)
PrePaid Volume Codec
10,000,000 $0.35
60,000,000 $0.32
100,000,000 $0.28
  1. (1) The reasonable royalty for Category 6 products is at least $0.50 per device. Licensees may elect either the running royalty option or the prepaid option and the corresponding rates as set forth in the schedules above.
  2. (2) Category applies to Licensed Products with a maximum of 6 Realtime Channels per Licensed Product. This category refers specifically to physical wireless end user devices including but not limited to Handsets or Wi-Fi Devices but excluding Personal Computers. The enabling of third-party applications is included
  3. (3) Counting of Cumulative Device Volume will be reset annually.
  4. (4) Prepaid Volume fee is payable in advance for the following year, on the Effective Date and on each anniversary of the Effective Date of the Agreement.