Wipro sues Analog Devices for ‘contract breach’


BENGALURU: Wipro has filed a case against the $6-billion semiconductor company Analog Devices Inc (ADI) in a US district court in Massachusetts for breach of an outsourcing contract.

Wipro said it suffered damages and Analog Devices owes it over $6.9 million under the contract termination payout schedule. Wipro is demanding a jury trial in the case.

The case relates to a contract the two signed in 2017 to jointly develop a high definition multi-media interface (HDMI) 2.1 transceiver that integrated the receiver and transmitter function with the digital audio I/O (input/output) onto a chip.

“Moreover, Wipro accommodated ADI’s repeated requests for additional services which were not included within the original scope of the SOW (statement of work), despite the fact that the actions of ADI, its agents, and third-party vendor(s) caused delays in completion of the work and a reassessment of certain milestones provided for in the SOW,” Wipro said in the lawsuit.

When TOI reached out to Wipro, the company said, “Wipro does not comment on pending litigation.” An email sent to Analog Devices did not elicit a response.
Wipro said it performed its duties and complied with the obligations required of it in the SOW. The company said it expended hundreds of thousands of man-hours and millions of dollars, “all with the reasonable expectation that its efforts would be fairly compensated by ADI.” It said it kept ADI fully and timely apprised of project updates and statuses.
Wipro has also alleged that Analog Devices terminated the SOW over an email and the contract mandates a 90-day notice period for any such termination, which was not followed.
Wipro said the contract obliges ADI to pay a termination fee. It said the “improper termination further deprived Wipro of its entitlement to certain committed royalty payments which would have been due to it absent the termination of the SOW.”


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