Intel gives its take on Nvidia licensing issue


— 5:38 PM on February 18, 2009

Nvidia sent us a statement about its licensing spat with Intel this morning before we even heard a peep from Intel itself. Well, the chipmaker has now explained its side of the story in a statement to the folks at CNet News. Here's what it says:

Intel has filed suit against Nvidia seeking a declaratory judgment over rights associated with two agreements between the companies. The suit seeks to have the court declare that Nvidia is not licensed to produce chipsets that are compatible with any Intel processor that has integrated memory controller functionality, such as Intel's Nehalem microprocessors and that Nvidia has breached the agreement with Intel by falsely claiming that it is licensed.

Intel has been in discussions with Nvidia for more than a year attempting to resolve the matter but unfortunately we were unsuccessful. As a result Intel is asking the court to resolve this dispute. It is our hope that this dispute will not impact other areas of our companies' working relationship.

So, what's going to happen now? Bit-Tech had a chat with Intel spokesman Chuck Mulloy in order to find out. Mulloy said Intel may be willing to renegotiate its license with Nvidia after the legal proceedings go through: "I wouldn't rule out a re-negotiation if we win the suit. . . . There are options available to us and re-negotiating the license is one of them." However, he wasn't willing to reveal what Intel might do if Nvidia won.

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