AMD settles flash dispute

AMD settles flash dispute

Advanced Micro Devices (AMD) has announced it has settled its flash-memory lawsuit against Alcatel Business Systems, a unit of Paris-based telecommunication equipment giant Alcatel.

In April, AMD filed a breach-of-contract suit against Alcatel Business Systems, claiming Alcatel had not honoured an agreement signed by the two companies last year, in which Alcatel had agreed to purchase and AMD had agreed to supply flash-memory products over a two-year period.

Flash memory is used in devices, including phones, that need to keep data in memory even when the device is turned off. The type of contract AMD and Alcatel had is common in the electronics industry; it ensures the supply of products at a price acceptable to consumers and ensures the seller - in this case AMD - generates sales from the agreement.

The suit, which was filed in the Supreme Court of the State of New York, has been pending in the US District Court for the Southern District of New York, AMD said in a statement. Terms of the settlement have been sealed as part of the agreement, AMD said.

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