Rambus Shares Slip on FTC Report

The Federal Trade Commission may sue to bar Rambus Inc., a Los Altos computer memory-chip designer, from collecting royalties on some patents.

The company said the FTC staff is investigating allegations it failed to disclose patent applications while participating in an industry group that set standards for the technology. The company also is appealing a federal jury’s verdict in a case brought by Infineon Technologies that it committed fraud in obtaining memory-chip patents.

Rambus shares slipped 19 cents to $6.41 on Nasdaq, following a report in USA Today that the FTC was preparing an antitrust lawsuit against the company.

FTC spokeswoman Cathy MacFarlane declined to comment.

John D. Danforth, general counsel for Rambus, said, “We think there is no case here.”

Arguments on the company’s appeal in the Infineon case are set for June 3 before a federal appeals court. Danforth said the FTC should await that outcome before deciding whether to authorize its staff to bring a case.