AMD sues Alcatel over flash memory contract

The contract in question is an agreement, signed between the two companies in 2000, under which AMD agreed to supply Alcatel with flash memory chips over a two-year period, according to a statement from AMD.

Flash memory chips are commonly used in cellular telephones and other electronic devices which need to retain data in memory even when power is disconnected. This type of agreement is common in the electronics industry because it usually guarantees sales to the manufacturer while also assuring a supply and a acceptable price for the buyer.

Filing of the lawsuit, at the Supreme Court of the State of New York, came after several months of negotiation and as a last recourse "after Alcatel refused to honor its commitments under an agreement that heretofore was hugely beneficial to Alcatel," Walid Maghribi, senior vice president of AMD and president of the company's memory group, was quoted as saying in the statement.

"AMD met all of its obligations to Alcatel, passing up opportunities to sell its products to other customers at prices significantly higher than those provided for in the agreement," he said.

A spokesman for Alcatel was not immediately available for comment.

AMD has several other such agreements in place with customers and is satisfied with the current status of them, it said. Late last year company officials said similar agreements were in place with companies including Cisco and Samsung Electronics.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Martyn Williams

PC World

Comments

Comments are now closed.

Most Popular Reviews

Follow Us

Best Deals on GoodGearGuide

Shopping.com

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Latest Jobs

Shopping.com

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?