AMD settles patent suit with Intergraph

AMD has settled patent claims with Intergraph Corporation relating to AMD’s
microprocessors. Under terms of the agreement, AMD will receive a license under
Intergraph’s "Clipper" microprocessor patents and the patent lawsuit
in the US District Court for the Northern District of California will be
dismissed.

The agreement provides pass-through rights to AMD customers for systems that
include an AMD microprocessor. Additionally, Intergraph will drop all claims of
infringement against systems utilizing AMD processors including in its pending
lawsuits.

AMD will pay Intergraph $10 million, plus 2% of profits from its
microprocessor sales for three years (2005-2007). These payments are capped at
$5 million per year and the total of all payments under the agreement are capped
at $25 million.

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