A dispute between two Chinese contract chipmakers involving Irvine-based Broadcom Corp. might be wrapping up soon.
Shanghai-based Semiconductor Manufacturing International Corp. has hinted it might want to settle a contentious patent lawsuit with Taiwan Semiconductor Manufacturing Co., located across the Taiwan Strait.
The suit centers on designs both companies are using to make chips under contract from Broadcom, according to a story published in Hong Kong’s Apple Daily.
The story didn’t say what overtures of settlement had been made between the two rivals.
Chip designers such as Broadcom that don’t have their own chip plants almost always contract with more than one factory so they can meet big orders quickly.
Even so, this case went awry.
The dispute originally came to light earlier this year when SMIC reportedly received orders from Broadcom after the company moved some of its orders from TSMC.
TSMC reportedly was able to match some of the designs from SMIC products with some of its own. It filed a patent infringement lawsuit with U.S. District Court in San Francisco and the U.S. International Trade Commission.
Broadcom has declined to comment on the dispute, saying it’s between TSMC and SMIC.
The chipmaker has its own court disputes to contend with.
After a brief respite from legal battles, Broadcom geared up again this summer.
In June, the company filed suit against Agere Systems Inc. for allegedly violating patents that Broadcom bought earlier this year from Austin, Texas-based Cirrus Logic Inc.
Last week Broadcom settled with Agere in a pact that also ended several counterclaims. The two agreed to cross license patents.
Broadcom expects $27.5 million in costs related to the suit and other settled claims and litigation for the third quarter.
Latest Quest Rumor
If only Quest Software Inc.’s Vinny Smith had a nickel for every time the maker of database management software has been cited as a takeover target.
The latest: Data storage device maker EMC Corp. could be eyeing Quest as part of a shift in focus to software.
That’s according to a recent Merrill Lynch & Co. report on EMC.
EMC “is likely to invest aggressively in other areas of software” to hit a goal of 30% of sales from software, Merrill said.
The company could have its eyes on Quest as a non-storage buy, the brokerage said.
Quest, which is moving from Irvine to Aliso Viejo, is an oft-cited acquisition target for a range of speculative suitors, from Oracle Corp. to IBM Corp.
Chief Executive Smith, who owns about 30 million Quest shares, has said he’s intent on going it alone.
Ingram in Asia
Behind Ingram Micro Inc.’s $493 million buy last month of Australia’s Tech Pacific: big Asian ambitions.
Like Ingram, Tech Pacific distributes computers and other gear.
Australia and New Zealand are key markets for Tech Pacific.
So are India, Hong Kong, Singapore and Thailand.
That’s where Ingram likely sees the payoff to the deal. The acquisition doubles Ingram’s market share in the Asia-Pacific region, according to an analysis by Motley Fool. Ingram also gets seasoned executives and a well-run operation in the buy.
Apparently, the deal went down quickly,in a matter of months, in fact. Word was Tech Pacific was exploring a public offering before Ingram swooped in.
ViewSonic Gets Gateway Exec
Walnut-based ViewSonic Corp. recently hired Matt Milne, a former executive in the consumer division at Irvine-based Gateway Inc.
Milne will direct the company’s corporate strategy, business development and strategic investment efforts, according to a statement from the company.
“Matt’s proven track record for building diverse product lines and implementing efficient business models, along with his vast leadership experience in all business aspects, will be a valuable asset to ViewSonic as we continue to expand our presence in the consumer electronics market,” said James Chu, ViewSonic’s chief executive.
Milne has experience in tough markets. Before Gateway, he was an executive at Lake Forest-based Western Digital Corp. The disk drive maker has gone through many ups and downs and cutthroat competition in a tough business.
At Gateway, Milne oversaw the consumer solutions group, running a fast-growing but notoriously tough niche.
It’s not a bad catch for ViewSonic. The company, which made a name for itself as a maker of computer monitors, has moved into consumer products, including a convertible tablet PC.
The hire prompts an interesting question: Which companies are going to land Gateway executives displaced after the company’s combination with Irvine-based eMachines Inc. earlier this year?
When Wayne Inouye, former chief executive of eMachines took over as chief executive of the entire combined ycompany, he installed seven eMachines executives in the top ranks.
