Intel Corp. and Transmeta Corp. have eventually settled down a patent infringement lawsuit over chip design, as Intel has just agreed to pay Transmeta no less than $250 million for ending the patent litigation. Intel Corp. has agreed to pay Transmeta Corp. $150 million initially and then, in the next five years, it will pay $20 million each year. Intel will this way be granted the right to license Transmeta patents for use in its future devices. This agreement will eventually end the pending patent litigation between the two companies and will as well release all the claims between them. The deal has however come only after Transmeta Corp., which is based in Santa Clara, California, has sued Intel Corp. in the United States’ District Court for the District of Delaware about one year ago. Transmeta has claimed at the time that some Intel processors have violated 10 of the company’s patents covering chip design and power-efficiency techniques. Nine of these patents cover basic functions such as scheduling and addressing instruction on the microprocessors, while the tenth could be related to the company’s LongRun technology, which is used to adjust a chip’s voltage based on its workload.