Chief executives called in Intel-Intergraph case
Published: 20 Sep 2002 07:48 BST
A federal court has asked the chief executive officers of Intergraph and Intel to appear in court in an effort to resolve the remaining issues in a patent infringement case.
The judge presiding over the Intergraph suit filed against Intel has ordered senior executives from the companies to appear at a mediation slated for 26 September, an Intel spokesman said. The judge has specifically requested that the chief exectuveis of both companies attend in an effort to settle the matter.
"Someone senior will be there," an Intel spokesman said, although it is uncertain if chief executive Craig Barrett will attend. Intergraph representatives could not be reached for comment. The case is being heard at the US District Court in Marshall, Texas.
Intergraph alleges that the intellectual property underlying Intel's Itanium processor infringes the company's patents. In April, the two companies settled other patent disputes in the case, with Intel paying Intergraph $300m (£193m).
Two patent claims remain. Although Intergraph and Intel have yet to settle on these remaining issues, they have agreed to a ceiling on damages. Intergraph can collect up to $150m (on top of the $300m it has already been awarded) if it wins at trial. If Intel appeals a verdict not in its favour and loses the appeal, it will pay Intergraph an additional $100m.
Intergraph in the late 1980s and early 1990s manufactured a chip known as "Clipper" to power its workstations. In 1993, it scrapped the effort and switched to Intel chips. The company now focuses on services and software.
Intergraph originally filed suit in an Alabama federal court in November 1997, alleging Intel violated antitrust laws, infringed on Intergraph patents, and violated state laws.
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