LOL, yes, I understand business very well, thanks. I've been responsible for building a part of one over the last 14 years that has been quite successful, thanks for asking.

You're communication of your point was clear enough, and I understood it. Unfortunately, you're thinking in broad brush generalities, and not applying real world specifics to your thoughts. That's what I was trying to help you understand.

Let's review the premises that we're working under. You're assuming the '336 is about to become unstuck, and possibly for good. I think that's likely and will agree. TPL/PTSC has continued to tell us that license fees RATES have increased, (perhaps even dramatically), meaning that what used to cost $10, now costs $12 or$15 or more, presumably. Let's also not forget that 70 plus companies have signed deals, and over 450 have been noticed on infringement. Let's also not forget that reverse engineering, lots of communication, and even legal expenses have been incurred ALREADY on the 380 noticed companies that haven't yet signed. The point being, we're not starting with those 380 at ANYWHERE NEAR square one.

Now let's realize that MMP has earned in excess of $293M. Anyone in business knows the costs to start-up, are typically quite high, so to think that it was the CHEAPEST period to earn that $293 is a little off base, I'm sure you'd agree. However, to go after those 450 plus companies and sign those 70 plus only cost $47M, over around 4.5 years, roughly $10M per year. This INCLUDED significant OUTSIDE legal fees, keep in mind.

So let's assume, the next batch of licenses and "ramp up costs" as you like to state them, are going to cost every bit of that $47M condensed into one year's time. So with that in mind, and considering that's chewing up 80% of the actual license revenues to be earned from those efforts, we can expect that $47M to result in $58.75M in license fees.

Let's further look and see what this hypothetical condensed "ramped up" expenditure means in real dollars and people. How much does the typical Alliancense employee earn? Is it $100K per year, $150K, $200K?!. Let's assume a very LIBERAL $200K AVERAGE (over lawyers, admin, support, etc.). Now let's take $47M, and divide by $200K. That's 235 employees for Alliacense for one year's time.

I guess it's lost on me, because with a huge ramp up in staff and expenses, and a FINALLY VALID '336, I sure would like to expect more than $59M in licensing over the next year's time. In fact, when I consider that HP and Fujitsu paid that much combined for just thier two licenses, I sure wouldn't expect it to now cost 5 times more to sign a licensee, with all this clarity.

What you seem to be missing SGE1 is that with this much effort under the bridge with the MMP, (ie USPTO and litigation), if anything, Alliacense should be at a point in their business where they're starting to REAP THE REWARDS of all the ground work, NOT having to spend 5 times more to recieve the same amount in return. Business that operate the way you suggest don't remain in business very long OR, they make a TON of DOUGH off unsuspecting and unsophisticated clients.

Let's just check the real world indicators as well. Has TPL done a huge ramp up in hiring over the last month? have they added 50 employees, 100, 200? Are they now negotiating with 5 times more infringers, ie, are they no actively negotiating with 2000 infringers?

How exactly does your business model work? Is a years time going forward from 1/28/10 enough of a "current" time frame to analyze your scenario?

Essentially, if you're TPL, this is a GREAT business scenario. Even in your most liberal analysis, you get 60% of the license fees for costs to get the licenses, and then you get 20% of the residual 40%. While, when I consider the players involved, TPL, and our BOD, I don't necessarily dismiss this possibility, lol, I certainly PRAY PRAY PRAY, that this is not the interpretation we're to take from the 80% comment. If I find out it is, then I will have officially given up ALL hope of a return on this investment.

Let's review, according to your thought process, starting up the business from scratch and all the obvious costs to do that, fighting legal battles in courts, and fighting challenges at the USPTO, and DISCOUNTING license fees to get people to sign, has resulted in the first $293M costing $47M to collect, roughly 16%. However, with over 370 noticed infringers against whom much of that legwork done already, and presumably a unshackled '336, '584, and possibly more from the USPTO, it's now going to cost 60%-80% to collect license fees (that are NOW going to be even higher due to no discounts anymore).

Like I said, GREAT business for TPL, pretty piss-poor from PTSC's point of view. Not even I think our BOD is that dumb.