Spansion Responds To Macronix's False Statements And ITC Case

(RTTNews) - Spansion Inc. (CODE), a provider of Flash memory-based embedded systems solutions, Wednesday responded to an announcement by the International Trade Commission or ITC that it would institute an investigation requested by Macronix International Co., Ltd., a Taiwan-based producer of memory integrated circuits, microcontroller ICs, and "system-on-a-chip" ICs.

Ali Pourkeramati, senior vice president of Flash Memory Business at Spansion, said, "This decision is standard ITC procedure and is not related to the merits of this case. As the ITC stated in its own press release: 'by instituting this investigation (337-TA-909), the USITC has not yet made any decision on the merits of the case.' We believe that Macronix has requested this investigation without regard to its underlying merit as an attempt to counter our earlier case against Macronix at the ITC. The Macronix patents that have been asserted have questionable validity, lack domestic industry and are not infringed by Spansion products."

Pourkeramati pointed out that the Commission has expressly ordered the Administrative Law Judge to take evidence on how the relief requested by Macronix will negatively impact the public interest, including US consumers and competitive conditions in the US economy. As a US-based company, these factors would favor Spansion.

Responding to a recent press release filed by Macronix, Pourkeramati said that Spansion adamantly denies all allegations in Macronix's press release, and that it is confident that the patent case will be resolved in its favor.

The ITC investigation based on Spansion's complaint filed in August 2013 is scheduled to go to trial in May of 2014, and any possible trial resulting from the Macronix ITC complaint will be nearly half-a-year behind.

Spansion noted that its case against Macronix is built on successfully asserted patents pertaining to the structure, manufacturing and security of Flash memory cells. The IP is used in a wide variety of applications including networking equipment, automotive, industrial and consumer electronics.

Spansion shares closed Wednesday's trading at $14.64, up $0.32 or 2.23 percent.