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Thursday, May 14, 2009

FTC Drops 7-Year Rambus Crusade

The FTC has dismissed its case against computer memory manufacturer Rambus, which the Commission argued had engaged in unlawful market monopolization. The end to the high-profile litigation follows a recent denial of the FTC's request that the Supreme Court review the case. "We are pleased to have finally put this matter behind us," Rambus General Counsel Thomas Lavelle said in a statement, noting that his firm prevailed on related claims at the Court of Appeals for the Federal Circuit, in front of a jury, and before a district court. The FTC first brought charges against Rambus in 2002.

"While we remain disappointed by the decision of the Court of Appeals, we of course respect the Court's opinion and will move forward," FTC Competition Bureau Director Richard Feinstein said. "The standard-setting issues that were at the heart of this case remain important, both as a matter of antitrust policy, and in order to protect consumers, and we will remain vigilant in this area." The FTC brought charges against Rambus relating to the firm's participation in an industry standard setting committee for dynamic random access memory. In 2008, Appeals Court Judge Stephen Williams said the commission "failed to sustain its allegation" that Rambus deceptively hid the fact that four of its technologies were incorporated into the standard.

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