ARM Holdings PLC (ARM) - Participation in Consortium to Acquire Rights
RNS Number : 3832Q
ARM Holdings PLC
06 November 2012
ARM Announces Participation in a Consortium to Acquire Rights to MIPS
Technologies' (MIPS) Portfolio of Patents
ARM is a leading participant in a consortium of major technology companies to
acquire rights to MIPS' portfolio of 580 patents.
CAMBRIDGE UK - 6 November 2012 - ARM [(LSE: ARM); (NASDAQ: ARMH)] today
announced that it is a leading member of Bridge Crossing LLC, a consortium of
major technology companies affiliated with Allied Security Trust, which has
entered into an agreement with MIPS to obtain rights to its patent portfolio.
The MIPS patent portfolio includes 580 patents and patent applications
covering microprocessor design, system-on-chip design and other related
technology fields. The consortium will pay $350 million in cash to acquire
rights to the portfolio, of which ARM will contribute $167.5 million.
The transaction will, upon completion, support continued innovation in
system-on-chip design, whilst removing any potential litigation risk presented
by the MIPS patent portfolio with respect to the consortium members. The
consortium will make licenses to the patent portfolio available to companies
not within the consortium.
"ARM is a leading participant in this consortium which presents an opportunity
for companies to neutralize any potential infringement risk from these patents
in the further development of advanced embedded technology," said Warren East,
CEO, ARM. "Litigation is expensive and time-consuming and, in this case, a
collective approach with other major industry players was the best way to
remove that risk."
This transaction, which is subject to MIPS shareholder approval, and customary
closing conditions, is expected to close in the first quarter of 2013. ARM's
contribution of $167.5 million will be funded out of existing cash reserves.
ARM designs the technology that is at the heart of advanced digital products,
from wireless, networking and consumer entertainment solutions to imaging,
automotive, security and storage devices. ARM's comprehensive product offering
includes RISC microprocessors, graphics processors, video engines, enabling
software, cell libraries, embedded memories, high-speed connectivity products,
peripherals and development tools. Combined with comprehensive design
services, training, support and maintenance, and the company's broad partner
community, they provide a total system solution that offers a fast, reliable
path to market for leading electronics companies. Find out more about ARM from
our website: http://www.arm.com.
ARM, Artisan and AMBA are registered trademarks of ARM Limited. Cortex,
CoreLink, big.LITTLE, Mali and POP are trademarks of ARM Limited. All other
brands or product names are the property of their respective holders. "ARM" is
used to represent ARM Holdings plc; its operating company ARM Limited; and the
regional subsidiaries ARM Inc.; ARM KK; ARM Korea Limited.; ARM Taiwan
Limited; ARM France SAS; ARM Consulting (Shanghai) Co. Ltd.; ARM Germany GmbH;
ARM Embedded Technologies Pvt. Ltd.; ARM Norway, AS and ARM Sweden AB.
Sarah West/Aideen Lee
Ellie Springett/Ian Thornton
+44 (0)207 404
This information is provided by RNS
The company news service from the London Stock Exchange
MSCUVSWRUWAARAA -0- Nov/06/2012 07:00 GMT
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