Court Order Backs Intel Over Broadcom

Intel Corp., the world’s largest computer chip maker, won a court order temporarily prohibiting Broadcom Corp. in Irvine from using Intel’s trade secrets for Ethernet network products.

Intel has accused Broadcom, the No. 1 maker of chips for digital cable-TV set-top boxes, of stealing trade secrets by hiring a product line manager and two engineers with knowledge of Intel’s technology and unreleased products.

The order, granted Friday by Santa Clara Superior Court Judge John F. Herlihy, also temporarily bars Broadcom from using any confidential information to recruit Intel’s employees. The order remains in effect until after a March 30 hearing is held to determine whether a preliminary injunction should be issued against Broadcom.

Broadcom and Santa Clara-based Intel both design and make components for Ethernet networks. Ethernet is the most popular cabling and data-delivery standard among all computer networks.

Intel shares rose $1.94 to $122.13; Broadcom’s stock fell $13.06 to $230 a share. Both stocks trade on the Nasdaq market.