BGil said:
Who is Apple paying that money to? Themseleves?
Apple lead the developement of 1394, but there were many companies involved: Apple, Sony, Canon, ST Microelectronics, Matsushita, National Semiconductor, RF Microdevices, and a bunch more. All these companes own patents that are used in 1394. They only charged other companies to use the technology. Apple wanted to raise the fee from $.25 per system to $1 per port. The other companies disagreed and said if Apple was going to get $1 per port, so were they. Basically, Apple was going to have to pay $15 per port. To solve the dispute, together they formed the 1394 Licensing Authority. This Authority charges 25 cents per system to everyone and distrubutes the profits amoung the patent holders.