Diablo Technologies Sues Netlist For Unfair Business Practices

Diablo Technologies announced today that is has filed a lawsuit in the United States District Court, Northern District of California against Netlist

for unfair business practices that violate Diablo's Intellectual Property (IP) rights. Diablo's Memory Channel Storage™ (MCS™) is a new and innovative architecture that neither infringes upon, nor misappropriates any Netlist IP rights. MCS-based products and the Netlist HyperCloud™ DIMM are designed to serve different purposes and are not interchangeable. The contract between the two companies clearly assigns legal ownership of the implementation IP in the HyperCloud chipset to Diablo. As a result, Diablo is seeking damages for breach of contract for Netlist's attempt to usurp the company's IP rights. "We have been very patient throughout this entire process and it is now time for us to share our side of the story. We will demonstrate definitively that products based on the Memory Channel Storage architecture do not use any Netlist IP," said Riccardo Badalone, CEO and Co-founder of Diablo Technologies. "MCS-based devices are realizing tremendous demand and we are very happy with the success our partners are achieving with them."