Rival semiconductor makers Intel Corp. and Broadcom Inc. have settled a long-running patent battle that involved two separate lawsuits. The settlement, which comes three days after the companies had asked a court in Texas to dismiss one case over graphics chips, calls for Broadcom to pay Intel $60 million in two equal installments during the third and fourth quarters.
The companies also agreed to cross-license each other's patents.
Broadcom had sued Intel in the Eastern District of Texas, Texarkana Division, of the U.S. District Court in November 2001, saying that the company had infringed on graphics chip patents. That was after Intel had filed a separate patent lawsuit in a Delaware court in 2000 against a chip company that Broadcom later bought. That suit was due to go to a retrial in late September.
Broadcom said it would take a one-time charge for the $60 million payment in the quarter ended June 30.