Monolithic Power Systems Prevails in Contract Dispute With Linear Technology
Corp.
MPS' Discontinued MP1543 Product is Found to have Infringed Linear's Patents -
Stipulated Damages are Ten Dollars
SAN JOSE, Calif., July 1 /PRNewswire-FirstCall/ -- Monolithic Power
Systems (MPS), (Nasdaq: MPWR), a leading fabless manufacturer of
high-performance analog and mixed-signal semiconductors, announced today that
the United States District Court for the District of Delaware issued judgment
as a matter of law that MPS did not breach its October 1, 2005 Settlement and
License Agreement with Linear Technology Corporation (Linear), (Nasdaq: LLTC).
MPS plans to seek recovery of substantial attorney fees and costs from Linear,
pursuant to a prevailing party attorneys fees provision in the Settlement and
License Agreement.
The court also found as a matter of law that MPS had not willfully
infringed the patent claims of U.S. Patent Numbers 5,481,178 and 6,580,258
asserted by Linear against the accused MP1543 product. MPS had discontinued
the sales of that product more than 18 months earlier. The court further
found as a matter of law that MPS had not indirectly infringed Linear's
asserted patent claims and that Linear had failed to introduce any evidence of
infringement by any MPS customer. However, the jury returned a verdict that
an evaluation board containing the previously discontinued MP1543 product had
directly infringed the asserted patent claims and that Linear's patents
mentioned above are valid. The parties had stipulated to a total of ten
dollars in nominal patent infringement damages in the event that Linear
prevailed in that dispute.
Safe Harbor Statement
This press release contains forward-looking statements regarding MPS's
plans to seek recovery of substantial attorney fees and costs from Linear.
These statements are not historical facts or guarantees of future performance
or events, are based on current expectations, estimates, beliefs, assumptions,
goals, and objectives, and involve known and unknown risks, uncertainties and
other factors that may cause actual results to be materially different from
the results expressed by these statements. Readers of this press release are
cautioned not to place undue reliance on any forward-looking statements.
Factors that could cause actual results to differ include, but are not limited
to, the risks and uncertainties of recovering attorney fees and costs from
Linear; the outcome of any upcoming trials, hearings, motions, and appeals;
and other important risk factors identified in MPS' SEC filings, including,
but not limited to, its Form 10-K/A filed on May 12, 2008.
The forward-looking statements in this press release represent MPS'
targets, not predictions of actual performance. MPS assumes no obligation to
update the information in this press release.
About Monolithic Power Systems, Inc.
Monolithic Power Systems, Inc. (MPS) develops and markets proprietary,
advanced analog and mixed-signal semiconductors. The company combines advanced
process technology with its highly experienced analog designers to produce
high-performance power management integrated circuits (ICs) for DC to DC
converters, LED drivers, Cold Cathode Fluorescent Lamp (CCFL) backlight
controllers, Class D audio amplifiers, and Linear ICs. MPS products are used
extensively in computing and network communications products, LCD monitors and
TVs, and a wide variety of consumer and portable electronics products. MPS
partners with world-class manufacturing organizations to deliver top quality,
ultra-compact, high-performance solutions through the most productive,
cost-efficient channels. Founded in 1997 and headquartered in San Jose,
California, the company has expanded its global presence with sales offices in
Taiwan, China, Korea, Japan, and Europe, which operate under MPS
International, Ltd.
Monolithic Power Systems, MPS, and the MPS logo are registered trademarks
of Monolithic Power Systems, Inc. in the U.S. and trademarked in certain other
countries.
SOURCE Monolithic Power Systems, Inc.
Rick Neely, Chief Financial Officer of Monolithic Power Systems, Inc.,
+1-408-826-0777, investors@monolithicpower.com
