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July 10, 1990

TEXAS SUES FIVE US CHIP FIRMS

By CBR Staff Writer

The smaller fry among the US chipmaking fraternity are being made to quake by Texas Instruments Inc’s sudden move to collect on all the patents it has been granted over the years, and Dallas firm’s victims this time are LSI Logic Corp, Integrated Device Technology Inc, VLSI Technology Inc, Cypress Semiconductor Corp and Analog Devices Inc. Texas reckons that all of them are illegally using a process for encapsulating chips in plastic, and a separate complaint with the International Trade Commission accuses the five of importing and selling plastic-encapsulated chips without a licence. Integrated Device complained to Associated Press that Texas has been demanding some incredibly high royalty rates for the patents at issue in the suits.

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