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EXHIBIT 10.8
TRANSMITTER ASIC DEVELOPMENT AGREEMENT
This is an Agreement between Concorde Microsystems, Inc. (Concorde) and Radio
Systems Corporation (Radio Systems), both Tennessee corporations with primary
offices located in Knoxville. Concorde is in the process of developing an
Application Specific Integrated Circuit (ASIC) to be used in Radio Systems'
transmitters for pet containment systems.
Concorde agrees to develop the ASIC transmitter chip and Radio Systems agrees to
use the ASIC chip in all its existing transmitter products as long as those
products are offered to the consumer market.
Concorde's responsibility is to provide Radio Systems a design which meets the
agreed upon specifications. Radio Systems will purchase the ASIC chips from a
foundry specified by Concorde. Concorde will be responsible for the design
engineering cost, the prototyping cost, the final mask cost and the testing
software cost.
Radio Systems will pay Concorde $1.00 per ASIC chip, based on sales, that is
used in Radio Systems' transmitter products. Payment will be due to Concorde
within thirty days after the ASIC chips are shipped form foundry.
The anticipated use of the transmitter ASIC chip in 1995, is over 100,000 ASIC
chip will be prototyped in December 1994, and will be released to production
when prototype testing is successfully completed.
Terms of Agreement:
With an effective beginning date of January 1, 1995, the duration of this
Agreement is for ten years or until Radio Systems discontinues to use the ASIC
chip in its transmitter products, whichever is longer.
CONCORDE MICROSYSTEMS, INC. RADIO SYSTEMS CORPORATION
By: /s/ Xxxxxx Xxxx By: /s/ Xxxxx Xxxx
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