The world's two largest computer chip makers, Intel Corporation and Advanced Micro Devices (AMD), today announced their decision to end all legal disputes and antitrust litigations between themselves.
Under an agreement between the two companies, Intel would pay rival AMD $1.25 billion, and has also agreed to abide by a set of business practice provisions.
In a joint statement the two companies said, "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."
Intel and AMD have announced a comprehensive agreement to end all outstanding legal disputes between the companies, including antitrust litigation and patent cross license disputes, the statement said.
AMD and Intel would obtain patent rights from a new five-year cross licence agreement and would also give up any claims of breach from the previous licence agreement, it said.
Besides, AMD would drop all pending litigations, including the case in US District Court in Delaware and two cases pending in Japan, the statement said.
AMD would also withdraw all of its regulatory complaints worldwide. The agreement would be made public in filings with the Securities and Exchange Commission (SEC), it added.
