RealNetworks sells 360 patents to Intel for $120 million
Product development deal also signed
Troubled online technology outfit RealNetworks has announced that it is to sell a significant number of patents, as well as its video codec, to Intel for a fee of $120 million.
As well as the sale of approximately 190 patents and 170 patent applications, RealNetworks and Intel have both signed a collaboration deal which will see the two work together in product development.
Patent infringement cases have been grabbing headlines consistently for what seems like an age, with Apple and Samsung's ongoing battles being the most prominent. Google's $12.5 billion deal for Motorola Mobility was thought to have been partly motivated by the need to protect itself in the patent courts.
'Substantial'"Selling these patents to Intel unlocks some of the substantial and unrealised value of RealNetworks assets," said Thomas Nielsen, RealNetworks president and CEO.
"It represents an extraordinary opportunity for us to generate additional capital to boost investments in new businesses and markets while still protecting our existing business.
RealNetworks retains certain rights to continue to use the patents in current and future products.
Renée James, Intel SVP and GM of the software and services group added, "as the technology industry evolves towards an experience-centric model, users are demanding more media and graphics capabilities in their computing devices."
"The acquisition of these foundational media patents, additional patents and video codec software expands Intel's diverse and extensive portfolio of intellectual property,"
"We believe this agreement enhances our ability to continue to offer richer experiences and innovative solutions to end users across a wide spectrum of devices, including through Ultrabook devices, smartphones and digital media."
[source: RealNetworks]
