NVIDIA loses patent infringement suit against Rambus
updated 06:55 pm EDT, Mon July 26, 2010
ITC ruling calls for ban on imports
NVIDIA has lost another battle in the ongoing patent-infringement lawsuit originally filed by Rambus. The US International Trade Commission has announced its conclusion that NVIDIA used Rambus' patented technology without permission or a licensing agreement.
As part of the ruling, the ITC calls for a ban on imports of certain Nvidia products using the technology found to be based on Rambus patents. The ban would presumably extend to many third-party products, such as PCs and motherboards, that integrate NVIDIA components.
NVIDIA previously suggested it would consider paying Rambus to license the technology if the ITC ruled in the latter company's favor. Both parties have yet to announce any specific plans to establish a licensing agreement.
Rambus attributes most of its revenue to licensing royalties, which reached $113 million last year. The company has aggressively pursued legal actions, including a suit against Samsung that was settled for $900 million. The ITC ruling is expected to bolster the company's position, potentially encouraging other targets to seek licensing deals rather than fight a battle in court. [via BusinessWeek]
