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HP pays $141m to get Intergraph off its back

Another OEM scalp

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HP has become the latest member of the Intergraph settlement club, agreeing to pay the company $141m to clear up legal disputes. HP joins Intel, Dell, TI, AMD and Gateway as companies that have forked over cash to Intergraph largely to cover lawsuits over chip patents.

The settlement between HP and Intergraph puts an end to all litigation between the two companies. The payment will likely cause HP to lower its first quarter earning per share by 3 cents. The companies have also signed a patent cross-license agreement.

"We are very pleased to have fully resolved all of our pending OEM patent litigation with the HP settlement," said Intergraph CEO Halsey Wise. "We believe that the settlement with HP is in the best interest of our shareholders, and we are pleased to have received a license to HP's extensive patent portfolio for our fields of business."

Intergraph has pulled in an impressive $860m from its intellectual property pursuits. It has enjoyed the biggest wins against Intel, involving disputes over technology in Pentium and Itanium processors. Intel covered Dell's back in these cases due to an indemnification agreement between the partners. ®

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