The Federal Circuit Court of Appeals in the United States has announced the overturning of a 2021 ruling by a Texas court jury, which found Intel to be liable for $2.18 billion in compensation to patent technology company VLSI for patent infringement. This is one of the largest rulings in US patent history. The appellate court held that Intel's infringement of one patent involving $675 million in compensation does not constitute infringement, while the infringement of the other patent involving $1.5 billion in compensation remains valid, but the amount of compensation needs to be reconsidered by the Texas court.

According to the court, the case will be returned to Texas for a new trial to determine how much compensation Intel should pay for infringing the second VLSI patent.

In March 2021, the Federal Court of Texas in the United States ruled that Intel had infringed on VLSI Technology patents and ordered Intel to pay $2.18 billion in compensation.

VLSI previously claimed that the Intel Cascade Lake and Skylake processors violated its patents covering data processing improvements, which VLSI purchased from NXP Semiconductor.

In June of this year, the US Patent Office (PTAB) declared one of VLSI Technology patents invalid, giving Intel a capital waiver of $2.18 billion.

The announcement shows that one of these two patents was originally granted to Freescale in 2012, and the other was granted to SigmaTel in 2010.

Later, Freescale acquired SigmaTel and was acquired by NXP in 2015. According to Bloomberg data, these two patents were only transferred to VLSI Technology LLC in 2019.

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