RE: RE: Bull.Bear.......3 Feb 2019 14:57
Hi Tony , Vas.
CyanConnode, a world leader in narrowband radio frequency ("RF") Mesh Networks, is pleased to announce that it has signed a USD 4M Licensing Agreement (note the word "licensing)
The Licensing Agreement provides Beijing Instruments with the right to use CyanConnode's reference designs
For a definition see .........
https://www.globalnegotiator.com/international-trade/dictionary/manufacturing-license-agreement/
This is CyanConnode's first Licensing Agreement and the terms of the contract grant Beijing Instruments the right to use CyanConnode's reference designs to manufacture its AMI RF modules and gateways. Beijing Instruments will pay a license fee each time a RF module and/or gateway unit is manufactured, for a total number of modules and gateways over a two year time frame totalling USD 4m. ...,.
So is it a) ,an exclusive manufacturing licensing agreement in full for 2 years for 4 m USD when they pay each time they manufacture a widget, either a flat 4m and make as many as they want during the 2 year term. Or pay each time they manufacture one? for example 1 USD per unit. ( If we make 50k we will pay you 50k USD)
Or b) a software licensing agreement in addition, for example ,they make a unit for 1 USD and pay an additional licence fee of for example 1USD?
I've based my decisions based on my take on things but as always the devil is in the detail.