[spiralpolitik]

It is possible to build a viable smartphone without Slide to Unlock or making it look like an iPhone (Palm did it, Nokia did it, even Samsung did it with the Galaxy S3). It isn't possible to build a viable smartphone without the various UMTS patents. That's the key difference here.

Also the rates that Samsung is asking aren't consistent with other licensees as Samsung is tying the rate to the device rather than the baseband processor that uses the patent. Asking for $25 royalty on a $10 component is unreasonable, especially when said component requires a 100 other standards essential patents to function.

Does a patented oil pump cost more if fitted to a BMW verses a Ford Escort ?

[justinschuh]

Yes, straw men do make for easy targets, particularly when you make up random numbers to support your point.

[spiralpolitik]

"Samsung is known to have demanded 2.4% of Apple's sales as a royalty for its wireless SEPs. That figure showed up in an Italian court ruling and was mentioned in open court in The Hague, Netherlands, by Apple's Dutch counsel."

2.4% of $650-$850 (Retail range of Unlocked iPhone 4S) is around $16-$20 per device. Quad-band 3G UMTS modems retail as low as $13 in lots of 1000. That's a full modem not just the UMTS chipset. And trust me Apple is not buying chipsets retail or in lots of 1000.

sources: http://www.fosspatents.com/2012/07/apple-seeks-25-billion-in...

http://www.alibaba.com/product-gs/571149685/Low_peice_OEM_7_...