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Technology Stocks : Intel Corporation (INTC)
INTC 46.47-4.5%Jan 30 9:30 AM EST

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To: NITT who wrote (171570)10/12/2002 12:16:13 PM
From: TGPTNDR  Read Replies (1) of 186894
 
Nitt, Re: < This all makes sense. Intel's chips will be OK if Intel pay the license fee or redesigns the offending portion, but Intergraph has other system patents that may or may not be infringed upon in a system design. >

Difference of opinion.

"5.1 Intel acknowledges that Intergraph's intent is to seek payment for patent license agreements from vendors of Computer Systems including OEM Customers. Intel agrees that any attempt to license such OEM Customers under the Intergraph System Patents by itself shall not be a material breach of this Agreement. ..."

I read the paragraph as ( to paraphrase) "Intel can build and sell the chips, but for whoever tries to put them in a system Intergraph may to try to make them get a license also." ie Intel's licensed to the rights to make the chips, but the corresponding right to use the chips in computers is not conferred by the agreement. So HP, for example, buying the chips from Intel, would still be liable for licensing fees to Intergraph should they try to sell computers based on those chips.

We'll see which interpretation holds.

-tgp
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