thanks to kerry_lass!


Bloomberg


COMING UP NEXT, RAMBUS ON A ROLE.SHARES WENT TO 35 FROM JUST SEVEN ONE YEAR AGO.
SOME INVESTORS THINK THE WORST MAY BE BEHIND THE COMPUTER CHIP MAKER. IS IT?  
WE'LL FOCUS ON RAMBUS WITH AMERICAN TECHNOLOGY RESEARCH, NEXT.

>> WELCOME BACK.
HAS ANYBODY LOOKED AT THE PRICE
OF RAMBUS RECENTLY? SHARES HAVE REALLY TAKEN OFF. COME INSIDE MY BLOOMBERG TERMINAL 
AND I WILL SHOW YOU WHY I SAY THAT. THIS IS A COUPLE MONTH CHART FOR RAMBUS . RAMBUS 
IS IN THE WHITE HERE. RAMBUS PERFORMING ALONG WITH THE NASDAQ COMPOSITE WHICH IS IN 
RED UNTIL ABOUT THE END OF DECEMBER. AT THAT POINT WE HAD OPTIMISM ABOUT MAYBE LEGAL 
WOES LEAVING RAMBUS . RAMBUS WAY OUTPERFORMING THE NASDAQ.UP 35%.
JUST SINCE THE DAY AFTER CHRISTMAS WITH REGARDS TO A 7% GAIN FOR THE NASDAQ AS A WHOLE. 
WHY DON'T WE FIND OUT IF THE GAIN IS JUSTIFIED AND WHAT INVESTORS ARE BETTING ON.
THE ANALYST AT AMERICAN TECHNOLOGY RESEARCH WHO FOLLOWS RAMBUS JOINS TPRUS BOSTON.
THANK YOU FOR JOINING US.

DESAI>> GOOD MORNING, BRIAN. THANKS FOR HAVING ME.

>> THE STOCK WAY OUTPERFORMING THE NASDAQ.
AS I SHOWED OUR VIEWERS. I KNOW LEGAL WOES FOR RAMBUS MAY BE ENDING, BUT IS IT ENOUGH 
TO DESERVE THE RUN-UP WE HAVE SEEN?

DESAI>> WELL, THIS IS A UNIQUE STOCK. WHAT I WOULD SAY IS IT'S VALUED LESS ON NEAR TERM 
FUNDAMENTALS AND VALUED A LOT MORE ON THE OPPORTUNITY FOR EARNINGS POWER IN 2005 AND 2006. 
SO WHAT DRIVES THE STOCK IS LEGAL EVENTS AND LEGAL RUMORS AND NEWS MORE SO THAN NEAR-TERM 
EARNINGS PROSPECTS.

>> WHEN WE TALKED ABOUT RAMBUS ,I WAS AT THE NASDAQ FOR BLOOMBERG BACK IN 1999 AND EARLY 
2000. IT WAS THE BEST PERFORMER IN THE OVERALL STOCK MARKET IN 1999 OR 2000 OR MAYBE BOTH. 
POINT BEING, WHEN WE TALKED ABOUT THE STOCK THEN, THIS STOCK IF YOU DON'T BUY IT NOW, YOU 
BUY IT FOR EARNINGS DOWN THE ROAD. IT IS A FEW YEARS DOWN THE ROAD, ARE WE STILL BUYING IT 
FOR EARNINGS A FEW YEARS DOWN THE ROAD AND WHEN WILL THIS ROAD END? 

DESAI>> THAT'S A FAIR CRITICISM. I THINK THERE'S A LOT OF PEOPLE, INCLUDING LONG-TERM INVESTORS 
WHO ARE PROBABLY FRUSTRATED WITH THAT. THE REASON I THINK WE ARE CLOSER TO GETTING RESOLUTION 
ON THE LEGAL EVENTS IS I WOULD SAY ...THERE'S ONE KEY LEGAL EVENT BUT TWO EVENTS THAT DRIVE 
THE STOCK. THE FIRST HOPEFULLY WILL HAVE A DECISION AROUND FEBRUARY 17 FROM THE FEDERAL TRADE 
COMMISSION. THIS IS REGARDING ANTI-TRUST OR ANTI-COMPETITIVE BEHAVIOR. I BELIEVE THIS IS THE 
LESSER IMPORTANT CASE. BUT IT WOULD, IF RAMBUS WERE CLEARED IN THAT, PAVE THE WAY FOR THEM TO 
BE ABLE TO COLLECT ROYALTIES ON THE PURE LITIGATION SIDE. NOW MOVING TO THAT, THEY HAD SUED 
INFINEON, LOST THE CASE IN 2001. THEY APPEALED TO THE COURT OF APPEAL NOTICE FEDERAL CIRCUIT 
WHICH OVERTURNED IN JANUARY OF LAST YEAR, 2003, WHICH IS WHERE THE STOCK STARTED TO MOVE UP 
FROM BEING CONSIDERED DEAD. NOW WE'RE AT A POINT WHERE WE'RE HEADED TO RETRIAL IN MAY. LAST 
WEEK WE GOT A COUPLE OF RULINGS THAT THE TRIAL WILL PROCEED AND WILL NOT BE STAYED OR DELAYED
PENDING THE F.T.C. DECISION WHICH COULD BE DELAYED. THE TWIST IS THE JUDGE WHO ORIGINALLY SENT 
RAMBUS PACKING WITH A LOSS AND A CHARGE OF FRAUD HAS RESTRICKED THE NUMBER OF CLAIMS THEY CAN 
USE IN THIS CURRENT CASE.

>> ADMINISTRATIVE LAW JUDGE AND/OR JURY CAN MAKE DECISIONS REGARDING THE VARIOUS PATENTS 
THAT RAMBUS CLAIMS TO OWN. AS AN ANALYST FOR AMERICAN TECHNOLOGY RESEARCH, SOMEBODY
WHO FOLLOWS THE COMPANY, DO YOU BELIEVE THAT RAMBUS RIGHTLY HAS PATENTS AND FUNDAMENTAL 
OWNERSHIP OF BASIC CHIP DESIGN TECHNOLOGY?

DESAI>> ABSOLUTELY. WE SPENT A LOT OF TIME WITH LEGAL EXPERTS AND TECHNOLOGY EXPERTS WHO 
ARE FAMILIAR WITH THE PATENTS WHO READ -- THEY USED OUR KNOWLEDGE BASE IN TERMS OF TRYING TO 
UNDERSTAND THE RULING. IT'S VERY CLEAR IN TERMS OF HOW THEY HAVE SET UP THE SCOPE OF THE 
PATENTS. IT CLEARLY TILTS THE BALANCE IN THE FAVOR OF RAMBUS . WHAT I HAVE GONE AS FAR TO 
SAY IS WE BELIEVE THERE'S A MORE THAN 75% CHANCE THAT INFINEON WILL BE FOUND TO INFRINGE. 
ONCE ONE CASE IS DECIDED OF INFRINGEMENT, THAT GIVES RAMBUS THE ABILITY TO GO AFTER THE LIKES
OF OTHERS WHICH HAVE BEEN HOLDOUTS IN SIGNING UP WITH RAMBUS . LET ME ADD ONE OTHER THING WHICH 
IS IMPORTANT. THE LARGEST C.P.U. MANAGER IN THE WORLD, INTEL, ENDORSED THIS TECHNOLOGY, PAYS 
$9.5 MILLION, $10 MILLION A QUARTER. SO DOES SAMSUNG.

>> WE'LL PROBABLY VISIT YOU AGAIN WHEN WE HAVE MORE DECISIONS COME DOWN.
THANK YOU VERY MUCH.

DESAI>> THANK YOU FOR HAVING ME.

>> OK.