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Strategies & Market Trends : Technical analysis for shorts & longs
SPY 681.44+1.6%Nov 10 4:00 PM EST

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To: Johnny Canuck who wrote (42192)3/21/2005 11:19:47 AM
From: Johnny Canuck  Read Replies (1) of 67845
 
Rambus and Infineon reach settlement

By Dawn Kawamoto
news.com.com

Story last modified Mon Mar 21 07:37:00 PST 2005

Chipmaker Infineon Technologies and memory chip designer Rambus have reached a settlement in a closely watched patent infringement case over memory chips, the companies said Monday.

Under the two-year agreement, Infineon will pay Rambus nearly $47 million for a global license for all existing and future Rambus patents and patent applications that Infineon uses in its memory products.

The licensing fees, which will be paid on a quarterly basis beginning Nov. 15, will conclude in 2007. After that period, Infineon may make additional quarterly payments that can accumulate up to $100 million, providing other DRAM manufacturers enter into licensing arrangements with Rambus.

The Infineon lawsuit was one of several that Rambus filed against chipmakers, beginning in 2000, over its memory patents.

A number of industry observers have characterized the lawsuits as having put the memory industry in a precarious state.

Rambus sued Infineon, along with Micron, Hyundai Electronics (now Hynix) and others, over allegations they infringed on Rambus patents by manufacturing SDRAM, the most common memory chip used today in computers, and its successor DDR DRAM. Rambus alleged these chipmakers had infringed on its RDRAM high-speed memory technology in manufacturing these other chips.

The agreement comes three weeks after a judge dismissed Rambus' claims against Infineon.
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