SAN JOSE, Calif.--(BUSINESS WIRE)--
Invensas Corporation ("Invensas" or "the Company") announced today that
a German appellate court denied Broadcom Ltd. and Broadcom Corp.'s
(collectively, "Broadcom") motion to stay enforcement of a patent
infringement judgment that a German district court recently entered
against Broadcom. Invensas is a subsidiary of Xperi Corporation (Nasdaq:
XPER).
The appellate court's ruling allows the Company to begin enforcing the
district court's judgment, which enjoined Broadcom and the other
defendants from offering, putting on the market, using, or importing (or
possessing for such reasons) the infringing products in Germany. The
judgment also requires Broadcom to recall infringing products from the
German market, to destroy or have destroyed infringing products in their
possession in Germany, and to provide an accounting of their infringing
activities. The patented technology relates to an interconnect structure
for use in flip-chip semiconductor products. The enjoined products
include Broadcom chips used in consumer products such as cell phones and
other mobile devices, set-top boxes, routers, modems, and gateways, as
well as Ethernet switches and other chips designed for data centers,
enterprises, and cloud computing servers.
"We are very pleased with the appellate court's ruling and we intend to
begin taking steps to enforce the judgment, including the provisions
enjoining Broadcom from selling or distributing the infringing chips
destined for the German market, and requiring that Broadcom recall and
destroy infringing chips," said Paul Davis, the Company's senior vice
president and general counsel. "Additionally, we intend to notify
certain Broadcom customers, suppliers and distributors of the court's
judgment over the next two weeks to ensure that the infringing products
are not shipped into the German market."
Broadcom filed a motion seeking to increase the bonds that Invensas
posted to make the judgment enforceable to at least €505 million. The
appellate court has not yet ruled on the bond motion and the Company
anticipates that it will be several months before the appellate court
holds a hearing and rules on the motion. The judgment is enforceable
while the bond motion is pending.
The parties are involved in several parallel proceedings involving the
patent-in-suit. Broadcom's affiliate Avago Technologies GmbH filed a
nullity proceeding against the patent-in-suit with the German Federal
Patent Court. The Federal Patent Court may issue a preliminary ruling in
the Fall of 2017, and a hearing is scheduled for January 2018. Broadcom
also appealed the substantive ruling of whether it infringes Invensas'
patent. The Company expects that issue to be heard and decided sometime
in 2018. In addition, the U.S. counterpart to the patent-in-suit is at
issue in proceedings filed by the Company and its affiliates Tessera
Technologies, Inc., Tessera, Inc., and Tessera Advanced Technologies,
Inc. against certain Broadcom affiliates and customers in the U.S.
International Trade Commission and in the U.S. District Court for the
District of Delaware. The Dutch designation of the same European patent
is also at issue in parallel proceedings in the Netherlands. The ITC's
initial determination is due on or before June 26, 2017, and the Dutch
trial is scheduled for November 3, 2017.
About Xperi Corporation's Semiconductor and IP Licensing Business
Tessera and Invensas are subsidiaries of Xperi Corporation. Over the
past 27 years, research and development at both Tessera and Invensas
has led to significant innovations in semiconductor packaging
technology, which has been widely licensed and is found in billions of
electronic devices globally.
Invensas develops next-generation semiconductor packaging and
interconnect technologies for memory, mobile, computing and automotive
applications. Through collaborative partnerships with world-class
manufacturing companies and high-volume equipment and materials
suppliers, Invensas licenses these technology solutions to original
equipment manufacturers, original design manufacturers, integrated
device manufacturers, fabless device suppliers, foundries and outsourced
assembly and test providers, and supports the technology transfer at
customer-designated sites. Additionally, Invensas' low temperature wafer
bonding technologies target the image sensor, DRAM, MEMS, RF and 2.5D
logic markets.
Safe Harbor Statement
This press release contains forward-looking statements, which are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements involve risks
and uncertainties that could cause actual results to differ
significantly from those projected, particularly with respect the
Germany, ITC, Delaware and Dutch proceedings. Material factors that may
cause results to differ from the statements made include the plans or
operations relating to the businesses of Xperi Corporation; market or
industry conditions; changes in patent laws, regulation or enforcement,
or other factors that might affect Xperi's ability to protect or realize
the value of its intellectual property; the expiration of license
agreements and the cessation of related royalty income; the failure,
inability or refusal of licensees to pay royalties; initiation, delays,
setbacks or losses relating to Xperi's intellectual property or
intellectual property litigations, or invalidation or limitation of key
patents; fluctuations in operating results due to the timing of new
license agreements and royalties, or due to legal costs; the risk of a
decline in demand for semiconductors and products utilizing our audio
and imaging technologies; failure by the industry to use technologies
covered by Xperi's patents; the expiration of Xperi's patents; Xperi's
ability to successfully complete and integrate acquisitions of
businesses; the risk of loss of, or decreases in production orders from,
customers of acquired businesses; financial and regulatory risks
associated with the international nature of Xperi's businesses; failure
of Xperi's products to achieve technological feasibility or
profitability; failure to successfully commercialize Xperi's products;
changes in demand for the products of Xperi's customers; limited
opportunities to license technologies due to high concentration in
applicable markets for such technologies; the impact of competing
technologies on the demand for Xperi's technologies; failure to realize
the anticipated benefits of Xperi's recent acquisition of DTS, Inc.,
including as a result of integrating the business of DTS; pricing
trends, including Xperi's ability to achieve economies of scale; the
expected amount and timing of cost savings and operating synergies; and
other developments in the markets in which Xperi operates, as well as
management's response to any of the aforementioned factors. You are
cautioned not to place undue reliance on the forward-looking statements,
which speak only as of the date of this release.
The foregoing review of important factors should not be construed as
exhaustive and should be read in conjunction with the other cautionary
statements that are included herein and elsewhere, including the Risk
Factors included in Xperi's recent reports on Form 10-K and Form 10-Q
and other documents of Xperi on file with the Securities and Exchange
Commission (the "SEC"). Xperi'sSEC filings are available publicly on
the SEC's website at www.sec.gov.
Any forward-looking statements made or incorporated by reference herein
are qualified in their entirety by these cautionary statements, and
there can be no assurance that the actual results or developments
anticipated by Xperi will be realized or, even if substantially
realized, that they will have the expected consequences to, or effects
on, Xperi or its business or operations. Except to the extent required
by applicable law, Xperi undertakes no obligation to update publicly or
revise any forward-looking statement, whether as a result of new
information, future developments or otherwise.
SOURCE: XPERI CORPORATION
XPER-L
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Xperi Corporation
PR Contact:
Jordan Miller, +1
818-436-1082
jordan.miller@xperi.com
or
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Relations Contact:
Geri Weinfeld, +1 818-436-1231
geri.weinfeld@xperi.com
Source: Xperi Corporation
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