Create a free account to continue

Nvidia, Rambus Sign Licensing Deal

After fighting a court battle for two years over patents, RambusĀ saidĀ it is giving graphics chip maker NvidiaĀ licenses to its technology in return for royalties.

LOS ALTOS, Calif. (AP) -- Rambus Inc. said Friday it is giving the graphics chip maker Nvidia Corp. licenses to its technology in return for royalties.

The two companies have been fighting a court battle over technology patents for more than two years. And while they said the deal announced Friday does not mean the litigation is over, it helped lift both companies' stocks.

The companies did not release specific terms of the deal.

Rambus sued Nvidia in the U.S. District Court for the Northern District of California in July 2008, saying that six of Nvidia's product lines violated 17 patents covering various graphics and multimedia processors.

After the license deal was announced Friday, Nvidia shares jumped 38 cents, or 4.2 percent, to $9.34 in morning trading, while Rambus was up 89 cents, or 4.9 percent, to $18.91.

More in Industry 4.0