...how about; "We sold some patents and made some money."
Intel Corp. and InterDigital on Monday announced that they had signed a definitive agreement to sell to Intel roughly 1700 patents and patent applications for $375 million in cash. The radio technology patents will help Intel to better compete on the market of cell phones, tablets and similar devices.
"These patents will support Intel's strategic investments in the mobile segment. The addition of these patents expands our already large, strong and diverse portfolio of intellectual property," said Doug Melamed, Intel senior vice president and general counsel.
The agreement involves patents primarily related to 3G, 4G/LTE and 802.11 technologies. InterDigital is an active developer of advanced wireless technologies including WCDMA (wideband CDMA), HSDPA (high speed download packet access) and HSUPA (high speed upload packet access) 3G technologies as well as LTE (long term evolution) and LTE-Advanced 4G technologies.
"This transaction, which involves a small portion of our overall patent portfolio, marks an important milestone of InterDigital's stated strategy of expanding the monetization of its large and growing intellectual property portfolio. By executing on our business plan, which has been broadened to include patent sales, licensing partnerships and other possibilities, we see tremendous potential to expand revenue and build shareholder value," said Scott McQuilkin, senior executive vice president, strategy and finance at InterDigital.
The companies expect the transaction to be completed in third quarter 2012, subject to customary closing conditions and any required regulatory approvals.