MOSAID settles litigation with ProMOS and Mosel Vitelic



    
             Signs six year, royalty bearing license with ProMOS
    

    OTTAWA, Feb. 4 /CNW Telbec/ - MOSAID Technologies Inc. (TSX:MSD) today
announced the settlement of its patent infringement litigation with ProMOS
Technologies Inc. (ProMOS) and Mosel Vitelic, Inc. (Mosel Vitelic), both of
Hsinchu, Taiwan.
    Under the terms of the settlement, ProMOS has been granted a six year,
royalty bearing license under MOSAID's patents for all Dynamic Random Access
Memory (DRAM) products sold worldwide under ProMOS' brand name. The agreement
with Mosel Vitelic, which no longer manufactures DRAM products, calls for a
single lump sum payment. Financial details of the license and settlement
agreements are confidential.
    MOSAID initiated patent infringement litigation with ProMOS and two other
defendants, Micron Technology, Inc. of Boise, Idaho, and Powerchip
Semiconductor Corporation of Hsinchu, Taiwan, in July 2006 in the Eastern
District of Texas, Marshall Division. MOSAID added Mosel Vitelic as a fourth
defendant to the complaint in November 2006.
    "We are very pleased to have settled with ProMOS and Mosel Vitelic, and
that ProMOS has entered into a fixed term, running royalty agreement with
MOSAID," said John Lindgren, President and Chief Executive Officer, MOSAID.
"ProMOS and Mosel Vitelic are the fourth and fifth companies respectively with
whom MOSAID has successfully settled patent infringement litigation. Our
preference has always been to negotiate rather than litigate, and we believe
that this is a fair settlement benefiting all parties."
    "ProMOS is the 17th company to sign a patent portfolio license agreement
with MOSAID," said Michael Vladescu, Vice President, Licensing and
Intellectual Property, MOSAID. "Following on the heels of the seven year
agreement we announced in December with Winbond Electronics, this six year
license with ProMOS further demonstrates the strength and depth of MOSAID's
semiconductor memory patents, including their technological diversity and
broad geographic coverage."

    About MOSAID

    MOSAID Technologies Inc. is one of the world's leading intellectual
property companies. MOSAID develops semiconductor memory technology and
licenses patented intellectual property in the areas of semiconductors, and
wired and wireless communications systems. MOSAID counts many of the world's
largest technology companies among its licensees. Founded in 1975, MOSAID is
based in Ottawa, Ontario. For more information, visit www.mosaid.com.

    Forward Looking Information

    This document and certain other public documents incorporated by
reference in this document, contain forward-looking statements to the extent
they relate to MOSAID or its management, including those identified by the
expressions "anticipate," "believe," "foresee," "estimate," "expect,"
"intend," "could," "may," "plan," "will," "would" and similar expressions.
Similarly, statements in this document that describe MOSAID's business
strategy, outlook, objectives, plans, intentions or goals also are
forward-looking statements. These forward-looking statements are not
historical facts, but rather reflect MOSAID's current expectations regarding
future events. These forward-looking statements are subject to a number of
risks and uncertainties that could cause actual results, performance or
achievements to differ materially from those in such forward-looking
statements. Assumptions made in preparing forward-looking statements and
financial guidance include, but are not limited to, the following: MOSAID's
continued expansion of its patent portfolio and of its opportunities for
future patent licensing revenue as a result of MOSAID's acquisition of patents
from third parties and from development of new inventions; DRAM manufacturers
continuing to infringe MOSAID's patents; the timing and amount of MOSAID's
litigation expenses; MOSAID's ability to sign new patent licensees; current
assumptions as to the identification of products that are unlicensed to
MOSAID's wireless patents; and the timing and amount of MOSAID's Research &
Development expenses.
    Factors that could cause actual results to differ materially from
expected results include, but are not limited to, the following: the extent of
embedded DRAM proliferation in the System-on-a-Chip markets; legal rulings
and/or regulatory investigations or complaints having an adverse impact on the
validity, enforceability, potential royalty rates, and strength or breadth of
coverage of MOSAID's essential and/or nonessential patents (including, but not
limited to, adverse results from litigation or proceedings in patent offices
and government regulatory agencies in various countries around the world);
judicial, legislative or regulatory changes that impair the ability of patent
holders to earn licensing revenues; economic, social, and political conditions
in the countries in which MOSAID or patent licensees operate, including
security risks, health conditions, possible disruptions in transportation
networks and fluctuations in foreign currency exchange rates; non-payment,
delays in payment by, or the insolvency of licensees; variability in patent
licensees' sales of licensed products, failure to maintain and enforce
MOSAID's existing patent portfolio, or failure to obtain valuable patents as a
result of research and development activities, or failure to acquire valuable
patents from third parties; MOSAID's ability to recruit and retain skilled
personnel; change in MOSAID's financial position; consolidation of MOSAID's
licensees; natural events, such as severe weather and earthquakes in the
locations in which MOSAID or patent licensees operate; and changes in the tax
rate applicable to MOSAID as the result of changes in the tax law in the
jurisdictions in which profits are determined to be earned and taxed, the
outcome of tax audits and the ability to realize deferred tax assets.
    MOSAID assumes no obligation to update or revise any forward-looking
statements. Additional information identifying risks and uncertainties
affecting MOSAID's business and other factors that could cause MOSAID's
financial results to fluctuate are contained in MOSAID's Annual Information
Form, under the section entitled "Description of the Business," and in
MOSAID's other public filings available online at www.sedar.com.
    %SEDAR: 00002240E




For further information:

For further information: Investor and Media Inquiries: Michael Salter,
Director, Investor Relations and Corporate Communications, (613) 599-9539
x1205, salter@mosaid.com

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MOSAID TECHNOLOGIES INCORPORATED

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