Micro Electronics and Its Subsidiaries License Tessera Packaging Technology -
SAN JOSE, Calif. -- May. 22, 2008 Tessera Technologies, Inc. (Nasdaq:TSRA), a leading provider of miniaturization technologies for the electronics industry, today announced it has reached a settlement with International Products Sourcing Group (IPSG), a respondent in the International Trade Commission (ITC) action brought by Tessera against certain DRAM manufacturers, Investigation No. 337-TA-630 (DRAM ITC action).
As part of the settlement, Micro Electronics, Inc. (Micro Electronics), the parent company of IPSG, has taken a license on behalf of itself and its subsidiaries to Tessera's technology covering a broad range of chip-scale and multi-chip packaging solutions. The company has agreed to pay royalties on all past and future sales of its branded products using Tessera(R) technology. IPSG and Micro Electronics have also agreed Tessera's asserted patents are valid and infringed by the accused products in the action. The amounts to be paid by Micro Electronics under its license are not expected to materially affect Tessera's revenues. Further details of the settlement are confidential.
"The strength of our IP is reinforced by IPSG and Micro Electronics' recognition of the validity of our patents and admission of infringement," said Scot Griffin, senior vice president and general counsel, Tessera. "Licensing these customers is an important step towards achieving our goal of protecting our technology and obtaining fair value from companies that are illegally using our IP. We look forward to building upon this success as we continue to vigorously pursue enforcement efforts against other companies in this action as well as our recently-instituted action against certain packaging assembly subcontractors."
IPSG is the first respondent in this action to negotiate a settlement. The DRAM ITC Action continues to move forward against the remaining 13 respondents with the hearing scheduled to begin on September 22, 2008.
About Tessera Technologies, Inc.
Tessera is a leading provider of miniaturization technologies for the electronics industry. Tessera provides a broad range of advanced packaging, interconnect, and consumer optics solutions which are widely adopted in high-growth markets including consumer, computing, communications, medical and defense electronics. Tessera's customers include the world's top semiconductor companies such as Intel, Samsung, Texas Instruments, Toshiba, Micron and Infineon. The company's stock is traded on the NASDAQ Stock Market under the symbol TSRA. Tessera is headquartered in San Jose, California. http://www.tessera.com.