Angry Intel Threatens to Pull Cross-Licensing Patent Agreement from AMD

Paul Lilly

Back in October 2008, Intel expressed concerns over AMD's announcement it would split into separate design and manufacturing firms, saying such a move would might run afoul of the Patent Cross License Agreement the two signed in 2001. The Agreement, which expires in 2010, has restrictions related to the transfer of licenses and patents, and according to Intel, "AMD cannot unilaterally extend Intel's licensing rights to a third party without the Intel's consent."

Now that the spin-off is complete, AMD said today that Intel plans to pull its 2001 agreement within the next 60 days, that is unless AMD addresses concerns surrounding AMD's joint-chip foundry, Globalfoundries. AMD meanwhile says it "strongly believes that the company has not breached the terms of the cross-license and Intel has no right to terminate the company's rights and licenses under the cross license."

AMD said the parties are trying to resolve the issue through mediation, however both AMD and Intel contend that the other has breached the 2001 agreement.

Stay tuned!

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