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History (1992): Cross-Licensed Patents on HDDs Between Quantum and Seagate

Obviously forming block to counter claims from Conner and Rodime trying to make money with their patents

Quantum Corporation (Milpitas, CA) and Seagate Technology (Scotts Valley, CA) have signed a broad, worldwide patent cross licensing agreement which permits each to use technologies covered by the other’s patents.

The 2 companies are obviously trying to form a block to counter claims from Conner Peripheral and Rodime who are trying to make money with their patents.

William J. Miller, Quantum’s CEO, stated: “This agreement by two of the leaders in our industry begins to provide the basis for freedom of design that we have not previously experienced. I believe it is in the best interest of both companies and of the HDD drive industry in general.”

Seagate’s president and CEO, Alan F. Shugart, stated that the cross-licensing agreement with Quantum represents a sound, sensible approach to patent use at a time when the disk drive industry is witnessing an increased number of hostile and costly patent assertions in areas such as form factor.

The disk drive industry today runs the risk of becoming mired in costly, unproductive patent litigation if this trend toward hostile patent claims continues,” he said.

This agreement without financial exchange applies to all technology covered by the two companies’ existing patents as well as all future patentable developments over the life of the agreement which does not extend to Matsushita Kotobuki Electronics, Quantum’s Japanese manufacturing partner.

Both parties would like to extend their agreement to other companies.

This article is an abstract of news published on the former paper version of Computer Data Storage Newsletter on issue ≠55, published on August 1992.

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