SAN DIEGO, CA--(Marketwired - September 15, 2014) - Entropic (NASDAQ: ENTR), a world leader in semiconductor solutions for the connected home, and ViXS Systems Inc. (TSX: VXS), a pioneer and leader in media processing solutions, today announced they have settled all outstanding litigation between the companies and have agreed to a cross-license to the patents at issue in the litigation.
Entropic, ViXS and certain of their subsidiaries have been engaged in several patent lawsuits in the federal courts as well as proceedings before the International Trade Commission. Under the settlement agreement, all outstanding claims and counterclaims in those actions will be dismissed against all defendants, including DIRECTV, Wistron NeWeb Corporation (WNC) and CyberTAN.
The settlement also includes a cross-license between Entropic and ViXS of the issued patents that were the subject of the litigation. No fees or royalties are payable by either party with respect to its business as currently conducted or planned. Other terms of the settlement were not disclosed.
The companies each expressed satisfaction with the litigation settlement.
"Today's settlement allows both companies to move on as two of the industry's innovation leaders," said Patrick Henry, president and CEO, Entropic. "We have set aside our differences while addressing the needs of our customers, our shareholders and the industry."
"We are pleased to find an amicable and effective solution to the litigation with Entropic," said Sally Daub, President and CEO, ViXS. "We expect to continue the productive collaboration the companies have established over the years."
Entropic™ (NASDAQ: ENTR) is a world leader in semiconductor solutions for the connected home. The Company transforms how traditional HDTV broadcast and IP-based streaming video content is seamlessly, reliably, and securely delivered, processed, and distributed into and throughout the home. Entropic's next-generation Set-top Box (STB) System-on-a-Chip (SoC) and Connectivity solutions enable Pay-TV operators to offer consumers more captivating whole-home entertainment experiences by transforming the way digital entertainment is delivered, connected and consumed -- in the home and on the go. For more information, please visit Entropic at: www.entropic.com, read our blog Entropic Topics, or get social with us at @Entropic_News, or on Facebook, Google+, YouTube and LinkedIn.
About ViXS Systems Inc.
ViXS is the pioneer and market leader in designing revolutionary media processing semiconductor solutions for the broadcasting and consumer electronics industries, with over 467 patents issued and pending worldwide, numerous industry awards for innovation, and over 31 million media processor shipments to date. ViXS is driving the transition to Ultra HD 4K across the entire content value chain by providing professional and consumer grade chipsets that support the new High Efficiency Video Coding (HEVC) standard up to Main 10 Profile, reducing bandwidth consumption by 50% while providing the depth of color and image clarity needed to take advantage of higher-resolution content. ViXS' XCodePro 300 family is ideal for Ultra HD 4K infrastructure equipment, and the XCode 6000 family of system-on-chip (SoC) products achieve unprecedented levels of integration that enable manufacturers to create cost-effective consumer entertainment devices.
Forward Looking Statements
Statements in this press release that are not strictly historical in nature constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements regarding anticipated benefits to Entropic and ViXS related to the settlement. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Entropic's or ViXS's actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. These factors include, but are not limited to, competition, risks associated with Entropic and ViXS dependence on a limited number of customers and suppliers, technology risks, the risk that the market for HD video and multimedia content delivery solutions may not develop as anticipated and other factors discussed in the "Risk Factors" section of each companies respective Annual Reports on Form 10-K, and subsequent Quarterly Reports on Form 10-Q. All forward-looking statements are qualified in their entirety by this cautionary statement. The forward-looking statements in this release speak only as of this date. Neither Entropic nor ViXS undertakes any obligation to revise or update publicly any forward-looking statement for any reason, except as required by law. All statements made by or concerning Entropic or ViXS, respectively, are made solely by such applicable party and such party is solely responsible for the content of such statements.
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