Advanced Micro and Intel settle all litigation; seven-year legal wrangle on cloning rights ends; many call AMD victor

Article Abstract:

Intel Corp and Advanced Micro Devices Inc settle their seven-year-old litigation over the licensing of microcode for Intel's 386 and 486 microprocessors. Under the terms of the settlement, AMD will pay Intel $58 million in damages, and will receive a perpetual license to the two processor architectures. In addition, AMD will be granted the rights to an Intel memory management patent and an agreement on Intel's part to re-negotiate a cross-licensing agreement when the current one expires in 1995. AMD will pay damages to Intel relating to the original agreement on 486 microcode, and will also limit its production of the lucrative 486 clones. Industry analysts note that AMD may have obtained an advantage in the exchange, since it is now clear of the legal fees and uncertainty surrounding Intel's attempt to win damages amounting to $1 billion. On its part, Intel notes that AMD had been seeking damages in the amount of $2.2 billion. Meanwhile, AMD will market its K5 processor, which does not rely on microcode licensed from Intel.

Semiconductor and Related Device Manufacturing, Microprocessor Chips, Cases, Licensing agreements, Advanced Micro Devices Inc., AMD, Licensing, Microcode, Lawsuit Litigation

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Valence's pioneer batteries get juice of a big Motorola order

Article Abstract:

Valence Technology Inc, a closely watched Silicon Valley start-up company, wins a $100 million contract to supply Motorola Inc with its solid lithium rechargeable batteries. The Motorola contract is seen as an endorsement of Valence's new, environmentally friendly batteries and enabled the company's stock to jump $1.75 to close at $21 a share on Dec 8, 1992. Motorola, the global market leader in mobile communications, intends to use the lithium battery in its cellular phones, pagers and two-way radios. The lithium rechargeable battery is still considered a pioneering technology. Rechargeable batteries currently in the market are mostly made out of nickel and cadmium, which run out quickly and are highly toxic. Valence's high-tech batteries are hailed as a major victory of a US company in the race with Japan over more efficient, environmentally friendly battery technology.

Radio & TV communications equipment, Commercial physical research, Telecommunications equipment industry, Contracts, Motorola Inc., Lithium cells, Lithium batteries, Batteries, Battery industry, Computer Battery, Computer batteries, Product Acquisition, Valence Technology Inc.

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PC price war flares with a blizzard of new machines using latest Intel chip

Article Abstract:

Computer companies scramble to bring low-priced microcomputers that are based on Intel Corp's new 80486DX2 microprocessor to market, re-escalating the PC price war. The Intel microprocessor operates at 66 MHz, significantly faster than previous versions of the 80486. IBM, Tandy Corp and Dell Computer Corp are the first companies with 80486DX2-based microcomputers on the market. Compaq, the initiator of the PC price war, has also introduced a model featuring the new processor priced at $2,799. The product introductions and aggressive pricing competition are benefiting consumers, but hurting computer companies' profits. Industry observers believe that sales of microcomputers in 1992 will grow 9 percent from the previous year, but profits will remain static.

Computer peripheral equipment, not elsewhere classified, Computer industry, Microcomputers, Product information, INTC, Marketing, Equipment and supplies, Forecasting, Performance improvement (Computers), Price cutting, Microcomputer, Performance Improvement, Intel 80486DX2 (Microprocessor)

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