NERA Economists' Role in Texas Instruments v. GlobespanVirata (Conexant)

The Situation

In June 2003, GlobespanVirata, a subsidiary of Conexant Systems, refused to accept a license agreement from Texas Instruments (TI) on patents covering DSL modem technology, which TI licensed to most of the industry. GlobespanVirata filed an action in US District Court against TI and Stanford, claiming that the license program violated antitrust laws. TI filed a countersuit in August 2003 asserting infringements of the patents in the suit. GlobespanVirata responded that the TI and Stanford patents were not valid and were therefore not infringed.

NERA's Role

TI retained NERA Senior Vice President Dr. Alan Cox, who, with NERA Senior Vice President Christian Dippon, calculated lost profit and reasonable royalty damages in the patent infringement trial. Dr. Cox presented the findings in testimony before a federal jury.

The Result

On 6 February 2006, the jury found that all claims of the three patents are valid and were infringed by GlobespanVirata, and awarded TI $112 million in economic damages. The jury also found that GlobespanVirata's infringement was willful, which allows the district court judge to augment the award.