Emulex To Pay Broadcom $58 Million For Fibre Channel Patents
Broadcom Corporation and Emulex Corporation have
entered into a partial settlement and worldwide patent license agreement
relating to the patent litigation in the U.S. Federal District Court in Santa
Ana, California.
Based in Costa Mesa, California, Emulex is a provider
of converged networking solutions, providing enterprise-class connectivity for
servers, networks and storage devices within the data centre.
The agreement will result in the dismissal of certain
of Broadcom's infringement claims against Emulex. Emulex also receives a
license to Broadcom U.S. Patents Nos. 7,471,691; 7,058,150; 6,424,194 and
related families for certain fields of use including Fibre Channel
applications.
The fields of use licensed to Emulex are related, in part, to the Emulex XE201 (Lancer) ASICs, that are capable of Fibre Channel and Ethernet, 16Gbps Fibre Channel HBAs, Fibre Channel SOCs and other FC products. Emulex will pay to Broadcom a release and license fee of $58 million in cash.
Emulex has agreed to provide certain rights to
Broadcom, protecting Broadcom from Emulex patent assertions. Another of the
agreed terms is that the Emulex products are licensed to Emulex for the
permitted fields of use, and are licensed to be purchased by Emulex's customers
worldwide, and are licensed to be made for Emulex by Emulex's suppliers.
The remainder of the existing litigation between the parties regarding certain of Broadcom's U.S. Patents was not dismissed. Other terms of the agreement are confidential.

