AMD and Intel have issued a joint statement announcing that they’ve settled their antitrust and licensing disputes (if you recall, Intel threatened to revoke AMD’s x86 license as a result of the Globalfoundries spinoff):
Intel Corporation and Advanced Micro Devices (NYSE: AMD) announced a comprehensive agreement to end all outstanding legal disputes between the companies, including antitrust litigation and patent cross license disputes.
In a joint statement the two companies commented, “While the relationship between the two companies has been difficult in the past, this agreement ends the legal disputes and enables the companies to focus all of our efforts on product innovation and development.”
This is because, under the terms of the new contract, in which companies now obtain joint copyrights for the next five years, both Intel and AMD have given up demanding to break the previous agreement in order to privilege individually, which meant that the Intel not only pay that amount to AMD , but also to submit to some stipulations of the “competitor”. In contrast, AMD has already announced the withdrawal of pending lawsuits against Intel and has offered to withdraw all international complaints regarding the partnership.
Under the terms of the agreement, AMD and Intel obtain patent rights from a new 5-year cross license agreement, Intel and AMD will give up any claims of breach from the previous license agreement, and Intel will pay AMD $1.25 billion. Intel has also agreed to abide by a set of business practice provisions. As a result, AMD will drop all pending litigation including the case in U.S. District Court in Delaware and two cases pending in Japan. AMD will also withdraw all of its regulatory complaints worldwide. The agreement will be made public in filings with the Securities and Exchange Commission.
So what do you think? In light of the EU’s record $1.45 billion fine, did Intel get off easy? AMD commented that as a result of the new licensing agreement, they’re free to outsource all CPU production.
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I am Chris, a musician. I work as an audio engineer in mastering and arranging bridges in existing songs and the arrangement and orchestration of chorus. In Firing Squad I test gear provided by local distributors during a couple of days and write a review. I also write about AV topics, amplifiers, speakers and headphones.