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Rambus losses deepen as royalty income dries up

Somewhere a very small violin is being played
Fri Jul 20 2012, 16:35
Stacks of coins

PATENT LICENSOR Rambus has reported increasing losses with the firm $32.2m in the red for its second quarter.

Rambus, known for its computer memory patent licensing activities, has seen tough financial times, having posted a $27.9m loss in its first quarter. The firm's second quarter was even worse, with its revenue falling by 15 per cent to $56.2m and its loss widening to $32.2m.

As Rambus' revenue is directly linked to the popularity of products made by those that license its patents, the firm blamed lower product demand along with the expiration of a particular license agreement, though it did not mention any specifics.

Rambus has been suffering for some time, posting losses totaling $60m so far in 2012, which is considerably worse than 2011, when in the first six months the firm lost $14m. The company recently bought Cryptography Research, a firm that specialises in security in the domain of copyright protection.

Given Rambus' history, it is hard to see many in the semiconductor industry shedding a tear for the firm that has been widely seen as a patent troll. µ


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