If the iPhone makes $6.5 billion by 2008 (as expected), royalties can be as high as $300 million to Cisco. A five year average could translate to total fees of over a billion dollars. Cisco not only wants licenses, they want to share technical information (I can see Apple execs cringing at the thought). Apple has historically proved to be a difficult sleeping partner, and may prefer paying billions to becoming partners with Cisco.
Apple could still decide to change the name of the phone! This will reduce licensing costs to zero. They could stick the Apple logo if they are afraid users will not be able to identify the product (though it is kind of hard for the device to become generic).
Cisco's sole interest in the iPhone brand boils down to what they can get out of Apple (they never released a product in five years that carried the name until now, and only renewed the trademark because of Apple's interest). They have little interest (and little profit to make) in rolling out a bland set of VoIP phones. However, Apple really has no moral right to the iPhone name, and should stop acting like they do.
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