After being fined a whooping $1.45 billion by the EU early this summer for their anticompetitive behavior, Intel has now reached a settlement with AMD to put an end to the legal battle between the two companies.

The manufacturing giants have been fighting over antitrust and intellectual property for a while now, and seeked to end their disputes. As a part of the deal, AMD will receive a $1.25 billion cheque from Intel, and they also agreed on a five-year cross licensing agreement. Additionally, AMD will drop all pending charges against Intel.

The deal should make both sides happy since dragging a case like this in court comes with hefty legal bills. While AMD desperately needs cash assets now, money is hardly an issue for Intel. The cross license and drop of legal woes was designed to benefit both companies.

AMD and Intel stated that this settlement will let them "focus all of our efforts on product innovation and development.". In the meantime, Intel still faces pending litigation in the state of New York.