Infineon Agrees to Pay $837 Million to Settle Long-Running Qimonda Dispute

Infineon Technologies AG has announced that it has successfully reached a settlement with the insolvency administrator of Qimonda AG, agreeing to pay €753.5 million (approximately $837.21 million) to resolve a lengthy and complex legal dispute. This settlement marks the end of a protracted legal battle that began over a decade ago.The dispute originated in 2010 when Qimonda’s insolvency administrator initiated legal action against Infineon. The lawsuit sought damages amounting to €3.35 billion, accusing Infineon of transferring operations to Qimonda at an inflated price. This lawsuit followed Qimonda’s bankruptcy filing in 2009, which came after a severe downturn in chip prices and failed negotiations for a rescue package with Infineon, its former parent company.Qimonda was established as a separate entity from Infineon in 2006, but the company struggled to survive in the volatile semiconductor market. The sharp drop in chip prices and financial difficulties led to its insolvency, which prompted the legal action against Infineon.Infineon Technologies AG has struck a deal with Qimonda AG’s insolvency administrator agreeing to shell out €753.5 million ($837.21 million) to put an end to a long-running legal battle. This agreement wraps up a case that kicked off in 2010 when Qimonda’s administrator took Infineon to court for €3.35 billion claiming that Infineon had passed on operations to Qimonda at an overblown price.Infineon Technologies AG has struck a deal with Qimonda AG’s insolvency administrator agreeing to shell out €753.5 million ($837.21 million) to put an end to a long-running legal battle. This agreement wraps up a case that kicked off in 2010 when Qimonda’s administrator took Infineon to court for €3.35 billion claiming that Infineon had passed on operations to Qimonda at an overblown price.