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Wednesday, August 04, 2004
VIA and MediaTek Settle Patent and Copyright Infringement

VIA Technologies, Inc., and MediaTek Incorporation today announced that VIA and its subsidiary VIA Optical Solution Inc. (VOS) have reached a settlement agreement with MediaTek over a series of pending patent, copyright and trade secret lawsuits in Taiwan and the United States relating to chipsets and firmware for optical storage devices.

Under the terms of the settlement, MediaTek, VIA and VOS will dismiss or withdraw all pending litigation in all jurisdictions and will release each other from any claims arising out of any of their respective existing intellectual property rights or any of the pending litigation.

MediaTek also grants VOS, in exchange for the payment by VOS of a royalty of $25 million upon execution and $5 million per year each of the following five years, a perpetual license to any of its copyrights and trade secrets and a five-year license to any of its existing intellectual property (including patents) that are currently implemented in a VOS optical storage product. Other terms of the settlement agreement and the licenses are not disclosed.

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