Rambus Soars on Tentative Settlement – Zacks Tale of the Tape
Zacks Market Commentaries (June 12th, 2009) Writes:
As per the settlement, the company has agreed to limit the royalty rates on certain products and also offer "royalty holiday" in certain cases. EU will drop the probe and Rambus won't have to pay any fine.
"With this proposed resolution, we create a new platform where all parties can move forward by licensing our patented innovations for future use in their products rather than engaging in costly litigation," said senior VP and general counsel Thomas Lavelle.
EU antitrust regulators had accused the company of "patent ambush" in 2007 as it demanded "unreasonable royalties" on patents related to memory chip technology using its "dominant position."
The US Federal Trade Commission dropped a similar probe on Rambus last month.
RMBS, a Zacks #3 Rank ("Hold") stock, is trading
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