Tuesday, November 18, 2008

Magnachip and Pixelplus Close Patent Dispute

Yahoo: One clear beneficiary of Magnachip exit from image sensor business is Pixelplus. MagnaChip has completely withdrawn its appeal on the disputed process patents in Seoul High Court. Given this, the previous lower court decision that Pixelplus did not infringe any of the disputed process patents asserted by MagnaChip has become final and conclusive, and MagnaChip's patent infringement claims on the process patents will no longer be contested or remain at issue.

Honestly, I've never understood the business justification of Magnachip's lawsuit. Pixelplus is a very minor player on the image sensor market. Even if convicted, it would pay an insignificant sum for the Magnachip's bottom line. To me this dispute seemed like settling some personal scores between people in the companies. After all, both Magnachip and Pixelplus people worked together at Hyundai Semiconductor and LG Semiconductor. May be some of them think that their ideas were stolen and look for punishment.

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