News Posts matching #intellectual property

Return to Keyword Browsing

Arm to Change Pricing Model Ahead of IPO

Softbank, the owner of Arm Ltd., is preparing everything it can to ensure a successful initial public offering (IPO) of Arm. However, ahead of the IPO, we have more information about Arm's plans to change its licensing and pricing structures to collect more royalties and ensure higher cash flow for future investors. Currently, Arm licenses technology in the form of intellectual property (IP), usually in different flavors of Cortex-A CPU cores that go inside processors for phones and laptops. Chipmakers that use the IP have additional expenses such as Arm ISA license fee and per-chip royalty, which is based on the chip's average selling price.

However, according to Financial Times, we have a new pricing structure that changes how Arm bills its partners and customers. From now on, Arm will grant licenses to chipmakers and ask them to only ship to device makers with an agreement with Arm. Additionally, these device makers now pay per-device royalty based on the device's average selling price (ASP). This ensures that Arm's fee applies to the higher margin product, which means that ultimately Arm will collect more cash flow from its customers and partners. Currently, the old model charges around 1-2 percents per chip in each smartphone, considering the ASP of smartphone chips to be $40 for Qualcomm, $17 for MediaTek, and $6 for Unisoc. However, taking the ASP of a mobile phone at $335, as recorded in 2022, the fee would be much higher. People familiar with the matter noted that Arm will apply this pricing structure as early as 2024. Apple and Samsung are not impacted by this change, as both companies enjoy their own agreements with Arm.

Microsoft Believes That Sony is Capable of Creating its Own Alternative to Call of Duty

Microsoft is still deep into its negotiations with several international regulatory bodies regarding the buyout of Activision Blizzard, with a deadline looming it seems that tensions are rising. The UK's Competition and Markets Authority (CMA) needs a lot of convincing since it regards the proposed takeover as a serious threat to Sony's ability to compete with Microsoft, with the ownership of the Call of Duty series being a main focus. Sony has expressed concern about the blockbuster franchise becoming a potential Xbox console exclusive in the future - Microsoft has pledged to continue development on PlayStation platforms for a proposed 10-year period, with no technological compromises and a promise to release all versions simultaneously on launch days.

In its latest testimony given to the UK's CMA, Microsoft has made a (slightly odd) suggestion that Sony should figure out a way to make its own answer to the Call of Duty series: "Microsoft considers that a period of 10 years is sufficient for Sony, as a leading publisher and console platform, to develop alternatives to Call of Duty.…The 10-year term will extend into the next console generation.… Moreover, the practical effect of the remedy will go beyond the 10-year period, since games downloaded in the final year of the remedy can continue to be played for the lifetime of that console (and beyond, with backwards compatibility)."

Atari is Acquiring Nightdive Studios

Atari has announced that is buying Nightdive Studios for a cool $10 million - the abandonware specialists will become part of the publisher's larger ambitions to boost production of retro IPs. Nightdive's proprietary KEX engine will form the technological base for future remakes of Atari titles from the archives. As the news of this acquisition hit the web, the Nightdive Twitter posted a positive message regarding the buyout: "This is a big win for our team! As we look to continue producing high-quality, new, and remastered games that do justice to the original IP; we could think of no better long-term partner than."

Nightdive leaders Stephen Kick and Larry Kuperman stated in a joint statement: "Night Dive and Atari have a long history together and we know that Atari shares our passion for retro games and our focus on producing high-quality new and remastered games that do justice to the original IP. As we look to grow our business and expand our capabilities, we could think of no better long-term partner than Atari."
Return to Keyword Browsing
Jan 30th, 2025 09:16 EST change timezone

New Forum Posts

Popular Reviews

Controversial News Posts