Realtek sues MediaTek over conspiracy to disrupt its enterprise

Chipmaker Realtek Semiconductor Corp has filed a lawsuit in the direction of MediaTek Inc in Northern California courtroom on Tuesday, alleging conspiracy to file meritless lawsuits throughout the US to disrupt Realtek’s enterprise.

The lawsuit accused MediaTek of conspiring with IPValue Management Inc in an effort to drive Realtek out of the market.

Realtek acknowledged that MediaTek signed a patent licensing pact with IPValue subsidiary Future Link Systems in 2019 that included the important thing “bounty” pact.

According to the lawsuit, the “bounty” pact was revealed remaining yr in patent litigation involving Future Link in West Texas federal courtroom and on the US International Trade Commission.

Realtek acknowledged MediaTek has used the patent lawsuits, which search to take its allegedly infringing chips off the market, to counsel to prospects that Realtek is also an unreliable supplier for the television chip commerce.

Realtek moreover acknowledged Future Link has saved particulars of the settlement “buried under confidentiality obligations and defending orders”.

Realtek has asked the court to order the companies to end the alleged conspiracy and requested an unspecified amount of money damages.

The International Trade Commission had termed the agreement “alarming” and acknowledged it “might be untoward and actionable”.

The West Texas courtroom had acknowledged it was “improper” and “should be discouraged as a matter of public policy”.

MediaTek owns virtually 60% of the worldwide market share for television chips, the lawsuit acknowledged.

Future Link settled a lot of totally different patent circumstances in the direction of tech firms along with MediaTek competitor Amlogic rapidly after the ITC criticized it, Realtek acknowledged.

(With inputs from Reuters)

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Updated: 06 Jun 2023, 10:59 PM IST