Washington--November 26, 1996--Samsung Electronics Co. Ltd. (Korea) announced that it has reached agreement on a broad ten-year cross license agreement with Texas Instruments (TI; Dallas, TX).
The agreement replaces a previous five-year agreement that expired at the end of 1995. The new agreement expands coverage, previously limited to semiconductors, to consumer products, computer products, and telecommunications equipment.
The royalty rate will be substantially reduced over the prior agreement and will continue to decline over the life of the agreement. The annual royalty payments will also be substantially reduced over that paid in the last years of the previous agreement. The more favorable terms with this agreement are due to Samsung's greatly increased patent portfolio.
Because of the new agreement, all pending litigation with TI has been terminated including patent infringement actions filed by both parties.
Charles R. Donohoe
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