Sign in with
Sign up | Sign in

Intel to Pay Nvidia $1,500,000,000 for Licensing

By - Source: Tom's Hardware US | B 89 comments

Nvidia announced today that it has signed a new six-year cross-licensing agreement with Intel.

Nvidia released news today that Intel has agreed to pay the graphics maker an aggregate of $1.5 billion in licensing fees payable in five annual installments, beginning Jan. 18, 2011.

Just as big news is that Nvidia and Intel have also agreed to drop all outstanding legal disputes between them.

“This agreement signals a new era for Nvidia,” said Jen-Hsun Huang, NVIDIA’s president and chief executive officer.  “Our cross license with Intel reflects the substantial value of our visual and parallel computing technologies. It also underscores the importance of our inventions to the future of personal computing, as well as the expanding markets for mobile and cloud computing.”

Under the new agreement, Intel will have continued access to Nvidia’s full range of patents.  In return, Nvidia will receive an aggregate of $1.5 billion in licensing fees, to be paid in annual installments, and retain use of Intel’s patents, consistent with its existing six-year agreement with Intel. The existing agreement is to expire March 31, 2011.

This excludes Intel’s proprietary processors, flash memory and certain chipsets for the Intel platform.

The conference call starts soon, so we'll let you know if new details arise.

Discuss
Ask a Category Expert

Create a new thread in the News comments forum about this subject

Example: Notebook, Android, SSD hard drive

This thread is closed for comments
Top Comments
  • 10 Hide
    Pawessum16 , January 10, 2011 8:52 PM
    zambutui dunno, i took math last semester and they said that those zeros are not significant digits

    $1.5*10^9
    How's that for you?
Other Comments
  • 8 Hide
    reprotected , January 10, 2011 7:52 PM
    Money!!!
  • -6 Hide
    davewolfgang , January 10, 2011 7:56 PM
    Woah.


    Now who was saying Nvidia is dead???? AMD fanbois (did I spell that right? I'm not up on L33T speak.)? :-p
  • Display all 89 comments.
  • 0 Hide
    hokkdawg , January 10, 2011 7:59 PM
    Sorry AMD...

    I can only hope this opens the door to the promised land of awesome computing advancements in the next decade!
  • 1 Hide
    decembermouse , January 10, 2011 8:01 PM
    This is big. I kinda doubt we'll see Intel mobos with Nvidia chipsets but one can hope! One can also hope that they'd overclock decently.
  • -4 Hide
    phosun3000 , January 10, 2011 8:01 PM
    Look out below AMD!
  • 6 Hide
    Snipergod87 , January 10, 2011 8:02 PM
    Doesnt look like they will have access to x86 though
    Quote:
    This excludes Intel’s proprietary processors, flash memory and certain chipsets for the Intel platform.
  • 2 Hide
    Niva , January 10, 2011 8:02 PM
    Good for nVidia and Intel.

    Not sure what and if this has much to do with AMD at this stage though.
  • 6 Hide
    meat81 , January 10, 2011 8:07 PM
    Well since it does not look like Nvidia will be making any new AMD chipsets (dammit!) this is the next best thing Nvidia can cash in on. Freaking wish AMD would have SLI on boards for Dozer when it comes out. AMD really put themselves in a corner not continuing that relationship.
  • -1 Hide
    micr0be , January 10, 2011 8:17 PM
    the future looks bright for us consumers :) 
  • 9 Hide
    burnley14 , January 10, 2011 8:22 PM
    That's a lot of zeroes.
  • 0 Hide
    apache_lives , January 10, 2011 8:24 PM
    lets home this improves the quality of nvidia products (with the exception of desktop cards post-8 series), and sounds like there both gaining something here, and AMD sure isnt going to be happy about the results here...
  • 0 Hide
    nforce4max , January 10, 2011 8:25 PM
    We're in the Money!!!

    :) 
  • -1 Hide
    jerreece , January 10, 2011 8:26 PM
    This is a good thing for the consumer I think. It means continued SLI support on Intel based chipsets for one, and potentially an open door for nVidia to continue considering the PC CPU market as a new market.
  • 9 Hide
    LORD_ORION , January 10, 2011 8:31 PM
    Funny this happens right after Nvidia announces they are making an ARM/CUDA processor.
  • 0 Hide
    davewolfgang , January 10, 2011 8:33 PM
    Just read there are changes at the top at AMD too. Hmmmmmmm...the things that can change the entire playing field in ONE day!!
  • 1 Hide
    zambutu , January 10, 2011 8:36 PM
    i dunno, i took math last semester and they said that those zeros are not significant digits
  • 2 Hide
    matt87_50 , January 10, 2011 8:43 PM
    I wonder how much nvidia will need to pay intel for x86...
  • 0 Hide
    kronos_cornelius , January 10, 2011 8:46 PM
    When AMD came up with the name Fussion, they certainly did not expect it would be literal. AMD's has Fussed Nvidia and Intel just a little more with its Fussion chip. Since Intel does not have the graphics expertise to compete, and Nvidia's Tegra 2 ship does not run on the de-facto x86 standard.
  • 10 Hide
    Pawessum16 , January 10, 2011 8:52 PM
    zambutui dunno, i took math last semester and they said that those zeros are not significant digits

    $1.5*10^9
    How's that for you?
  • 5 Hide
    joytech22 , January 10, 2011 8:53 PM
    AMD will be in a world of hurt if Intel start using Nvidia's IGP's instead of Intel's own, OR if they did do that, they're CPU's would melt through their socket. *bad sarcasm*
Display more comments