HTC to complete acquisition of S3 Graphics, looks to boost patent portfolio

HTC will soon complete its acquisition of S3 Graphics, a purchase it confirmed will boost its patent portfolio and help defend the company from future lawsuits, Focus Taiwan reported on Tuesday. Grace Lei, HTC’s general counsel, said the company valued S3’s patents because in 2011 the U.S. International Trade Commission had found that Apple was in violation of various S3 patents, although the ruling was later overturned. “We think S3’s patent portfolio is valid and strong, and we have decided to complete the purchase of S3 after cautious assessment,” Lei said at the company’s annual shareholders’ meeting, adding that S3 owns about 270 patents, some of which are licensed to Sony, Nintendo and Microsoft. The Taiwanese smartphone vendor has been embroiled in a patent battle with Apple over alleged infringements found in its Android handsets. The iPhone-maker has successfully delayed shipments of the company’s flagship One X smartphone, however HTC insist its technology does not infringe upon Apple’s patents.

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