[opendtv] Re: US DTV Patent Royalties Range From $24 to $40

  • From: "Allen Le Roy Limberg" <allimberg@xxxxxxxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Sat, 6 Jun 2009 19:43:42 -0400

I point out that Thomson was at best a bit player in the development of ATSC
DTV system.  Their bite must come from other sources.

Al
----- Original Message ----- 
From: "Craig Birkmaier" <craig@xxxxxxxxx>
To: <opendtv@xxxxxxxxxxxxx>
Sent: Saturday, June 06, 2009 8:12 AM
Subject: [opendtv] Re: US DTV Patent Royalties Range From $24 to $40


> At 4:46 PM -0400 6/5/09, Manfredi, Albert E wrote:
> >
> >So how much of this $24.10 is truly about ATSC?
>
> Essentially all of it, except for the small number of TVs that are
> being sold and used with cable cards. The vast majority of sets are
> connected to cable/DBS boxes, thus the integrated tuners are not even
> used, and are only there because of the government ATSC tuner
> mandate. Unfortunately. cable/DBS subscribes pay some of the
> royalties twice.
>
>
> >  Also, what would H.264
> >add to the total?
>
> Nothing. There is no license fee for decoder hardware as used in a TV
> or STB. Instead the content provider pays a relatively small fee to
> allow them to deliver H.264 content in the clear.
>
> There is a small fee for encoders/decoders that are incorporated
> either into the hardware or software of a personal computer. The
> first 100,000 units are free (to protect small companies) then it's
> 20 cents up to 5 million units and 10 cents after  five million up to
> a preset total cap that increases in the out years.
>
> Essentially, MPEG-LA woke up on H.264 and kept the pricing very
reasonable.
>
> here is the text for the broadcast license provisions from:
>
> http://www.mpegla.com/avc/AVC_TermsSummary.pdf
>
> "For (b) (2) where remuneration is from other sources, in the case of
> free television
> (television broadcasting which is sent by an over-the-air, satellite
> and/or cable
> Transmission, and which is not paid for by an End User), the licensee
> (broadcaster which
> is identified as providing free television AVC video) may pay
> (beginning January 1,
> 2006) according to one of two royalty options: (i) a one-time payment
> of $2,500 per AVC
> transmission encoder (applies to each AVC encoder which is used by or
> on behalf of a
> Licensee in transmitting AVC video to the End User) or (ii) annual
> fee per Broadcast
> Market12 starting at $2,500 per calendar year per Broadcast Markets
> of at least 100,000
> but no more than 499,999 television households, $5,000 per calendar
> year per Broadcast
> Market which includes at least 500,000 but no more than 999,999
> television households,
> and $10,000 per calendar year per Broadcast Market which includes
> 1,000,000 or more
> television households.13
>
> Regards
> Craig
>
>
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