Complaint for Patent Infringement.
Intel v. Via Technologies, U.S. District Court, District of Delaware.
Date filed: September 7, 2001.

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UNITED STATES DISTRICT COURT
DISTRICT OF DELAWARE

 

INTEL CORPORATION, a Delaware
corporation,

    Plaintiff,

      v.

VIA TECHNOLOGIES, INC., a
Taiwan corporation,

VIA TECHNOLOGIES, INC., a
California corporation,

and

S3 GRAPHICS, INC., a Delaware corporation,

    Defendants.

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Case No.:

COMPLAINT FOR
PATENT INFRINGEMENT

 

DEMAND FOR JURY TRIAL

COMPLAINT

Plaintiff Intel Corporation (hereinafter "Intel"), by and through its undersigned counsel, asserts this Complaint against VIA Technologies, Inc., a Taiwan corporation; VIA Technologies, Inc., a California corporation; and S3 Graphics, Inc., a Delaware corporation, averring as follows:

THE PARTIES

1. Plaintiff Intel is a Delaware corporation with its principal place of business located at 2200 Mission College Blvd., Santa Clara, California, 95052.

2. Upon information and belief, the first named defendant, VIA Technologies, Inc., is a corporation organized and existing under the laws of Taiwan, with a principal place of business at 8F, 533 Chung-Cheng Rd., Hsin-Tien, Taipei, Taiwan. This defendant will be designated "VIA (Taiwan)" hereinafter.

3. Upon information and belief, the second named defendant, VIA Technologies, Inc., is a corporation organized and existing under the laws of the State of California, with a principal place of business at 440 Mission Court, Suite 220, Fremont, CA 94539. This defendant will be designated "VIA (California)" hereinafter.

4. Upon information and belief, defendant VIA (Taiwan) wholly owns, operates, and controls defendant VIA (California). In this Complaint, these two companies are collectively referred to as "VIA."

5. Upon information and belief, defendant S3 Graphics, Inc. ("S3 Graphics") is a corporation organized and existing under the laws of the State of Delaware, with a place of business at 1045 Mission Court, Fremont, CA 94539. Upon information and belief, S3 Graphics is a wholly owned subsidiary of S3 Graphics Co., Ltd. (a Cayman Islands corporation). Upon information and belief, S3 Graphics Co., Ltd. is a joint venture between Via (Taiwan) and S3 Incorporated. S3 Incorporated is now known as Sonicblue Incorporated. Upon information and belief, Via (Taiwan) owns 99.4% of the economic interest of S3 Graphics Co., Ltd.

6. Unless otherwise specified, the acts complained of herein were committed by, on behalf of, and/or for the benefit of all three defendants, to wit: VIA (Taiwan), VIA (California), and S3 Graphics.

      NATURE OF THE ACTION
7. This is an action for patent infringement.

8. Counts I through V of this Complaint aver that the defendants have infringed, contributed to infringement of, and/or actively induced others to infringe Intel’s U.S. Patent No. 6,145,039 ("the ‘039 Patent"), U.S. Patent No. 6,009,477 ("the ‘477 Patent"), U.S. Patent No. 5,761,449 ("the ‘449 Patent"), U.S. Patent No. 5,615,343 ("the ‘343 Patent"), and U.S. Patent No. 5,659,689 ("the ‘689 Patent") (collectively "Intel’s Asserted Patents").

      JURISDICTION AND VENUE
9. This action arises under the Patent Laws of the United States, 35 U.S.C. § 1 et seq., including 35 U.S.C. § 271. This Court has subject matter jurisdiction pursuant to 28 U.S.C. §§ 1331 and 1338(a).

10. This Court has personal jurisdiction over VIA (Taiwan) because VIA (Taiwan) conducts business in the State of Delaware, and because VIA (Taiwan) has infringed, contributed to the infringement of, and/or actively induced others to infringe Intel’s Asserted Patents in this district as alleged in this Complaint. Moreover, Via (Taiwan) continues to infringe, contribute to the infringement of, and/or actively induce others to infringe Intel’s Asserted Patents in this district.

11. This Court has personal jurisdiction over VIA (California) because VIA (California) conducts business in the State of Delaware, because VIA (California) has infringed, contributed to the infringement of, and/or actively induced others to infringe Intel’s Asserted Patents in this district as alleged in this Complaint. Moreover, Via (California) continues to infringe, contribute to the infringement of, and/or actively induce others to infringe Intel’s Asserted Patents in this district.

12. This Court has personal jurisdiction over S3 Graphics because S3 Graphics is incorporated in, and a resident of, the State of Delaware.

13. Venue is proper in this Court pursuant to 28 U.S.C. §§ 1391(b), 1391(c), 1391(d) and/or 1400(b), in that: a substantial part of the events giving rise to Intel’s claims occurred in the District of Delaware; each defendant is subject to personal jurisdiction in the District of Delaware (and thus each defendant resides in the District of Delaware); VIA (Taiwan) is an alien corporation; and S3 Graphics, as a Delaware corporation, is resident in the District of Delaware.

      RELATED ACTIONS
14. On or about June 23, 1999, Intel brought a patent infringement action against VIA in United States District Court for the Northern District of California. That action, Case Number C99-03062 (the "California action"), is pending before Honorable William H. Alsup.

15. Intel previously brought a patent infringement action against VIA before the United States International Trade Commission, Investigation No. 337-TA-428 (the "ITC action"). The ITC action has been dismissed.

16. Intel has also previously asserted foreign patents against VIA in various foreign proceedings (the "Foreign actions"). The Foreign actions have been dismissed.

17. The California action, the ITC action, and the Foreign actions do not, and did not, involve any of the patents asserted in, or any of the products accused by, this Complaint.

18. No judicial efficiency would be gained in joining any of the Counts of this Complaint with the California action.

       FACTUAL BACKGROUND
19. Intel is one of the world’s leading designers and manufacturers of semiconductor products, including microprocessors and chipsets that form the core of computers and other products used throughout the world. A chipset is a semiconductor product or group of semiconductor products that connects the microprocessor of a computer system to other devices in the system, such as a system memory, a CD-ROM drive, a graphics controller, or a printer. Intel sells its microprocessors and chipsets to personal computer Original Equipment Manufacturers ("OEMs") and others throughout the United States and in numerous other countries.

20. As a pioneer in the industry, Intel has made substantial investments of money, as well as great efforts over extended periods of time, to the search for better ways to design and manufacture semiconductor products. These massive investments in research and development have, over the years, yielded many innovations for which Intel has sought and obtained patents. Intel’s patented technology includes inventions relating to microprocessor, chipset, bus, memory, and associated technologies. The strength of Intel’s patent portfolio is well recognized in the semiconductor industry.

21. VIA is in the business of, inter alia, designing chipsets and marketing and selling such chipsets to OEMs in the United States and many other countries.

22. S3 Graphics is in the business of, inter alia, manufacturing (or having manufactured) chipsets and selling them to VIA. Upon information and belief, S3 Graphics is also in the business of, to a certain extent, designing semiconductor products.

23. Because the strength of Intel’s patent portfolio is well recognized in the semiconductor industry, a chipset vendor can realize significant commercial benefit if it is able to state that its products are licensed under Intel’s patents.

24. Upon information and belief, beginning in or about June 2001, VIA began marketing and offering for sale chipsets designed for use with Intel’s Pentium® 4 family of microprocessors. Those chipsets are known as the VIA Apollo P4X266 chipsets (the "P4X266 chipsets") and, according to the P4X266 Product Page on VIA’s website (attached as Exhibit A), currently comprise the VIA VT8753 North Bridge and the VIA VT8233 South Bridge.

25. On or about August 15, 2001, in a press release (attached as Exhibit B), VIA announced that it had "commenced volume shipments" of the P4X266 chipsets and that the P4X266 chipsets are "manufactured by S3 Graphics."

26. VIA’s P4X266 chipsets use Intel’s patented technology. In particular, making, using, offering to sell, selling, or importing VIA’s P4X266 chipsets infringes Intel’s Asserted Patents.

27. Upon information and belief VIA’s activities in connection with the P4X266 chipsets have included: having the P4X266 chipsets manufactured by S3 Graphics; selling the P4X266 chipsets; making presentations and demonstrations to OEMs and others regarding the P4X266 chipsets; providing technical information to OEMs to enable OEMs to design products that incorporate the P4X266 chipsets; evaluating OEM-designed products that were designed to incorporate the P4X266 chipsets; providing samples of the P4X266 chipsets to OEMs for evaluation; attempting to obtain "design wins" with OEMs; and informing OEMs and others that the P4X266 chipsets are available for delivery. VIA continues to engage in such activities.

28. Upon information and belief, at the direction of VIA, S3 Graphics makes, or has made, VIA P4X266 chipsets and sells them to VIA.

29. As more fully explained below, VIA’s and S3 Graphics’ conduct in making, using, offering to sell, selling, and importing the infringing P4X266 chipsets constitutes a willful violation of Intel’s intellectual property rights.

      COUNT I
      (Patent Infringement Under 35 U.S.C. § 271 of the ‘039 Patent)
30. Intel incorporates by reference and realleges paragraphs 1 through 29 above.

31. On November 7, 2000, U.S. Patent No. 6,145,039 was duly and legally issued to Intel, as assignee of the inventors named therein, for an invention entitled "Method and Apparatus for an Improved Interface Between Computer Components." A true and correct copy of the ‘039 Patent is annexed hereto as Exhibit C and incorporated herein by reference.

32. At all times since its original issue date, Intel has been the owner of the entire right, title, and interest in the ‘039 Patent.

33. Upon information and belief, defendants VIA and S3 Graphics have infringed and continue to infringe the ‘039 Patent by making, using, offering to sell, and selling (directly or through intermediaries), and importing, in this district and elsewhere in the United States, P4X266 chipsets that use or embody the patented invention. Upon information and belief, VIA and S3 Graphics have also contributed to the infringement of the ‘039 Patent, and/or actively induced others to infringe the ‘039 Patent, in this district and elsewhere in the United States.

34. Intel is entitled to recover from VIA and S3 Graphics the damages sustained by Intel as a result of VIA’s and S3 Graphics’ wrongful acts in an amount subject to proof at trial.

35. Upon information and belief, the defendants’ infringement of the ‘039 Patent has been willful and deliberate, entitling Intel to increased damages under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C. § 285.

36. VIA’s and S3 Graphics’ infringement of Intel’s exclusive rights under the ‘039 Patent will continue to damage Intel’s business, causing irreparable harm for which there is no adequate remedy at law, unless it is enjoined by this Court.

       

      COUNT II
      (Patent Infringement Under 35 U.S.C. § 271 of the ‘477 Patent)
37. Intel incorporates by reference and realleges paragraphs 1 through 36 above.

38. On December 28, 1999, U.S. Patent No. 6,009,477 was duly and legally issued to Intel, as assignee of the inventors named therein, for an invention entitled "Bus Agent Providing Dynamic Pipeline Depth Control." A true and correct copy of the ‘477 Patent is annexed hereto as Exhibit D and incorporated herein by reference.

39. At all times since its original issue date, Intel has been the owner of the entire right, title, and interest in the ‘477 Patent.

40. Upon information and belief, defendants VIA and S3 Graphics have infringed and continue to infringe the ‘477 Patent by making, using, offering to sell, and selling (directly or through intermediaries), and importing, in this district and elsewhere in the United States, P4X266 chipsets that use or embody the patented invention. Upon information and belief, VIA and S3 Graphics have also contributed to the infringement of the ‘477 Patent, and/or actively induced others to infringe the ‘477 Patent, in this district and elsewhere in the United States.

41. Intel is entitled to recover from VIA and S3 Graphics the damages sustained by Intel as a result of VIA’s and S3 Graphics’ wrongful acts in an amount subject to proof at trial.

42. Upon information and belief, the defendants’ infringement of the ‘477 Patent has been willful and deliberate, entitling Intel to increased damages under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C. § 285.

43. VIA’s and S3 Graphics’ infringement of Intel’s exclusive rights under the ‘477 Patent will continue to damage Intel’s business, causing irreparable harm for which there is no adequate remedy at law, unless it is enjoined by this Court.

      COUNT III
      (Patent Infringement Under 35 U.S.C. § 271 of the ‘449 Patent)
44. Intel incorporates by reference and realleges paragraphs 1 through 43 above.

45. On June 2, 1998, U.S. Patent No. 5,761,449 was duly and legally issued to Intel, as assignee of the inventors named therein, for an invention entitled "Bus System Providing Dynamic Control of Pipeline Depth for a Multi-Agent Computer." A true and correct copy of the ‘449 Patent is annexed hereto as Exhibit E and incorporated herein by reference.

46. At all times since its original issue date, Intel has been the owner of the entire right, title, and interest in the ‘449 Patent.

47. Upon information and belief, defendants VIA and S3 Graphics have infringed and continue to infringe the ‘449 Patent by making, using, offering to sell, and selling (directly or through intermediaries), and importing, in this district and elsewhere in the United States, P4X266 chipsets that use or embody the patented invention. Upon information and belief, VIA and S3 Graphics have also contributed to the infringement of the ‘449 Patent, and/or actively induced others to infringe the ‘449 Patent, in this district and elsewhere in the United States.

48. Intel is entitled to recover from VIA and S3 Graphics the damages sustained by Intel as a result of VIA’s and S3 Graphics’ wrongful acts in an amount subject to proof at trial.

49. Upon information and belief, the defendants’ infringement of the ‘449 Patent has been willful and deliberate, entitling Intel to increased damages under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C. § 285.

50. VIA’s and S3 Graphics’ infringement of Intel’s exclusive rights under the ‘449 Patent will continue to damage Intel’s business, causing irreparable harm for which there is no adequate remedy at law, unless it is enjoined by this Court.

      COUNT IV
      (Patent Infringement Under 35 U.S.C. § 271 of the ‘343 Patent)
51. Intel incorporates by reference and realleges paragraphs 1 through 50 above.

52. On March 25, 1997, U.S. Patent No. 5,615,343 was duly and legally issued to Intel, as assignee of the inventors named therein, for an invention entitled "Method and Apparatus for Performing Deferred Transactions." A true and correct copy of the ‘343 Patent is annexed hereto as Exhibit F and incorporated herein by reference.

53. At all times since its original issue date, Intel has been the owner of the entire right, title, and interest in the ‘343 Patent.

54. Upon information and belief, defendants VIA and S3 Graphics have infringed and continue to infringe the ‘343 Patent by making, using, offering to sell, and selling (directly or through intermediaries), and importing, in this district and elsewhere in the United States, P4X266 chipsets that use or embody the patented invention. Upon information and belief, VIA and S3 Graphics have also contributed to the infringement of the ‘343 Patent, and/or actively induced others to infringe the ‘343 Patent, in this district and elsewhere in the United States.

55. Intel is entitled to recover from VIA and S3 Graphics the damages sustained by Intel as a result of VIA’s and S3 Graphics’ wrongful acts in an amount subject to proof at trial.

56. Upon information and belief, the defendants’ infringement of the ‘343 Patent has been willful and deliberate, entitling Intel to increased damages under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C. § 285.

57. VIA’s and S3 Graphics’ infringement of Intel’s exclusive rights under the ‘343 Patent will continue to damage Intel’s business, causing irreparable harm for which there is no adequate remedy at law, unless it is enjoined by this Court.

      COUNT V
      (Patent Infringement Under 35 U.S.C. § 271 of the ‘689 Patent)
58. Intel incorporates by reference and realleges paragraphs 1 through 57 above.

59. On August 19, 1997, U.S. Patent No. 5,659,689 was duly and legally issued to Intel, as assignee of the inventors named therein, for an invention entitled "Method and Apparatus for Transmitting Information on a Wired-Or Bus." A true and correct copy of the ‘689 Patent is annexed hereto as Exhibit G and incorporated herein by reference.

60. At all times since its original issue date, Intel has been the owner of the entire right, title, and interest in the ‘689 Patent.

61. Upon information and belief, defendants VIA and S3 Graphics have infringed and continue to infringe the ‘689 Patent by making, using, offering to sell, and selling (directly or through intermediaries), and importing, in this district and elsewhere in the United States, P4X266 chipsets that use or embody the patented invention. Upon information and belief, VIA and S3 Graphics have also contributed to the infringement of the ‘689 Patent, and/or actively induced others to infringe the ‘689 Patent, in this district and elsewhere in the United States.

62. Intel is entitled to recover from VIA and S3 Graphics the damages sustained by Intel as a result of VIA’s and S3 Graphics’ wrongful acts in an amount subject to proof at trial.

63. Upon information and belief, the defendants’ infringement of the ‘689 Patent has been willful and deliberate, entitling Intel to increased damages under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C. § 285.

64. VIA’s and S3 Graphics’ infringement of Intel’s exclusive rights under the ‘689 Patent will continue to damage Intel’s business, causing irreparable harm for which there is no adequate remedy at law, unless it is enjoined by this Court.

PRAYER FOR RELIEF

WHEREFORE, Intel asks this Court to enter judgment in its favor against VIA (Taiwan), VIA (California), and S3 Graphics granting the following relief:

A. An adjudication that VIA (Taiwan), VIA (California), and S3 Graphics have infringed and continue to infringe claims of Intel’s Asserted Patents;

B. An accounting of all damages sustained by Intel as a result of VIA (Taiwan’s), VIA (California’s), and S3 Graphics’ acts of infringement;

C. An award to Intel of actual damages adequate to compensate Intel for VIA (Taiwan’s), VIA (California’s), and S3 Graphics’ acts of patent infringement, together with prejudgment interest;

D. An award to Intel of enhanced damages, up to and including trebling of Intel’s damages pursuant to 35 U.S.C. § 284 for VIA (Taiwan’s), VIA (California’s), and S3 Graphics’ willful infringement;

E. An award of Intel’s costs of suit and reasonable attorneys’ fees pursuant to 35 U.S.C. § 285 due to the exceptional nature of this case, or as otherwise permitted by law;

F. A grant of permanent injunction pursuant to 35 U.S.C. § 283, enjoining VIA (Taiwan), VIA (California), and S3 Graphics, and their agents, servants, employees, principals, officers, attorneys, successors, assignees, and all those in active concert or participation with them, including related individuals and entities, customers, representatives, OEMs, dealers, and distributors from further acts of (1) infringement, (2) contributory infringement, and (3) active inducement to infringe with respect to the claims of the Asserted Intel patents; and

G. Any further relief that this Court deems just and proper.

Respectfully submitted,

DATED: September 7, 2001

FISH & RICHARDSON P.C.

By:

William J. Marsden, Jr.
919 N. Market Street, Suite 1100
P.O. Box 1114
Wilmington, DE 19899-1114
Telephone: (302) 652-5070
Facsimile: (302) 652-0607

Attorneys for Plaintiff Intel Corporation

Of Counsel:

James J. Elacqua
BROBECK, PHLEGER & HARRISON, LLP
Two Embarcadero Place
2200 Geng Road
Palo Alto, CA 94303
Telephone: (650) 424-0160
Facsimile: (650) 496-2885

Kevin S. Kudlac
Darryl J. Adams
Brian K. Erickson
BROBECK, PHLEGER & HARRISON, LLP
4801 Plaza on the Lake
Austin, TX 78746
Telephone: (512) 330-4000
Facsimile: (512) 330-4001

 

Demand for Jury Trial omitted