Micron Technology (Nasdaq:MU) and MOSAID Technologies (TSX: MSD) have entered into agreements whereby Micron will license MOSAID's patent portfolio and MOSAID will acquire 400 Micron patents. The agreements settle all of the pending litigation between the companies.

Under the terms of the patent license agreement, Micron receives a 10-year license to certain of MOSAID's patents, including a life-of-patents license for all such patents through a defined capture period and a term license for subsequent patents. Micron's DRAM, Flash, and other memory and image sensor products are licensed under the agreement. Micron will make a series of fixed cash payments to MOSAID.

Under the patent transfer agreement, MOSAID will acquire title to 400 Micron patents. The portfolio consists of patents related to DRAM, Flash memory, and semiconductor process technology. In the first four quarters after the effective date, MOSAID will make fixed payments to Micron, which amount will be credited against future payment obligations to Micron pursuant to royalty revenue sharing terms. All other terms and conditions of the patent license agreement and the patent purchase agreement are confidential.

Micron and MOSAID have been engaged in patent infringement litigation since July 2006. The two companies have agreed to file a joint motion in the U.S. District Court for the Northern District of California to dismiss with prejudice all claims.

Contact:
John Lindgren, president and CEO, MOSAID, www.mosaid.com
Rod Lewis, VP of legal affairs and general counsel, Micron Technologies, www.micron.com