News Article
ESI makes peace with All Ring on IP infringement litigation
All Ring has agreed to pay ESI about USD $ 16.3 million as a settlement and to discontinue selling the infringing products
Electro Scientific Industries, Inc. , a supplier of laser-based manufacturing solutions for the microtechnology industry, has reached a settlement with All Ring Tech Co. Ltd.
The dispute is related to ESI’s claim of infringement of one of its patents relating to electronic component tester technology.
All Ring has agreed to pay ESI the sum of TWD 475 million (approximately USD $ 16.3 million) as settlement and to discontinue selling the infringing products.
ESI estimates that the net financial impact of the settlement and related costs will be an increase of approximately $15.8 million to operating income and approximately $10 million to net income after income taxes, for its fiscal 2013 third quarter, which ends December 29th, 2012.
“ESI has made significant investments over many years to develop innovations in passive component test technology for our customers,” says Sean Phillips, General Manager, ESI Component Test and Inspection Division.
“We are pleased that our efforts through the Taiwan court system have been rewarded by reaching a significant monetary award settlement with All Ring. This outcome is the result of ESI’s commitment to vigorously defend itself against those choosing to infringe our Intellectual Property. Our customers depend on ESI for innovative test solutions to meet their challenges in the component test marketplace. Defending our IP enables us to continue investing in solutions for our customers.”
ESI's laser-based manufacturing systems enable structuring and testing of micron to submicron features in electronic devices, semiconductors, LEDs and other high-value components.
The dispute is related to ESI’s claim of infringement of one of its patents relating to electronic component tester technology.
All Ring has agreed to pay ESI the sum of TWD 475 million (approximately USD $ 16.3 million) as settlement and to discontinue selling the infringing products.
ESI estimates that the net financial impact of the settlement and related costs will be an increase of approximately $15.8 million to operating income and approximately $10 million to net income after income taxes, for its fiscal 2013 third quarter, which ends December 29th, 2012.
“ESI has made significant investments over many years to develop innovations in passive component test technology for our customers,” says Sean Phillips, General Manager, ESI Component Test and Inspection Division.
“We are pleased that our efforts through the Taiwan court system have been rewarded by reaching a significant monetary award settlement with All Ring. This outcome is the result of ESI’s commitment to vigorously defend itself against those choosing to infringe our Intellectual Property. Our customers depend on ESI for innovative test solutions to meet their challenges in the component test marketplace. Defending our IP enables us to continue investing in solutions for our customers.”
ESI's laser-based manufacturing systems enable structuring and testing of micron to submicron features in electronic devices, semiconductors, LEDs and other high-value components.