DVB-H
The following is a summary of the royalties agreed for DVB-H compliant products for the essential patents to be licensed in the joint licensing program that SISVEL is developing with a number of patent holders. The rates indicated below are not intended to be considered as an offer to license and are for information purposes only.
Royalties will be charged on a per-unit basis (for each DVB-H compliant product) and will apply based on yearly units sold/produced by the licensee.
| Non - Hierarchical | |
| Units | Royalty Rate |
| < 1 Mill | 0.60€ |
| 1 – 2 Mill | 0.50€ |
| 2 – 4 Mill | 0.40€ |
| 4 – 8 Mill | 0.35€ |
| 8 - 12 Mill | 0.30€ |
| > 12 Mill | 0.20€ |
| Hierarchical | |
| Units | Royalty Rate |
| < 1 Mill | 0.70€ |
| 1 – 2 Mill | 0.58€ |
| 2 – 4 Mill | 0.47€ |
| 4 – 8 Mill | 0.41€ |
| 8 - 12 Mill | 0.35€ |
| > 12 Mill | 0.25€ |
To encourage early adoption of the DVB-H system, for the first 4 years SISVEL will offer an Early Bird incentive to reduce the royalties due.
The royalty reduction will be applied as follows:
| Early Birds Incentive | |
| Year | % of Royalty Rate |
| 2008 | 40% |
| 2009 | 55% |
| 2010 | 70% |
| 2011 | 85% |
| 2012 | 100% |
A Yearly Cap on royalties will apply as follows:
| Yearly Cap | |
| Year | Cap |
| 2009 | 1 M€ |
| 2010 | 3 M€ |
| 2011 | 6 M€ |
| 2012 | 9 M€ |
For additional information relating to the DVB-H standard, visit:
www.dvb.org