Texas Instruments signs ?1bn agreement with Hyundai

Texas Instruments signs ?1bn agreement with Hyundai
Tom Foremski
Texas Instruments (TI) has signed a cross licensing deal with Hyundai and expects to receive as much as $1bn in royalties over its ten year lifetime.
The cross-license agreement follows a US court case over key patents that ended in March 1999 with the jury finding that TI’s patents were valid and that Hyundai willfully infringed them. TI had also pursued Hyundai in overseas markets, filing patent infringement lawsuits in the UK, France and Germany.
TI boasted that the cross-licensing deal calls for much higher royalty payments from Hyundai than in the previous cross-licensing deal between the two companies, hoping to serve as a warning to other chip makers that plan to challenge its patents.
The deal between TI and Hyundai ends all litigation between the two companies and is retroactive to November 1997. Hyundai will pay about $87m in back royalties.

Leave a Reply

Your email address will not be published. Required fields are marked *