Chip technology developer Tessera Technologies Inc said Korean consumer electronics maker Samsung Electronics Co renewed a license agreement for another five years.

Tessera said Samsung extended its 2005 license agreement, which was scheduled to expire on May 17, 2012, to May 17, 2017.

According to the terms of the agreement, Samsung had to pay on a quarterly basis for a world-wide, non-exclusive license to use Tessera's compliant chip technology.

Samsung had the option to extend the agreement for up to five years at a reduced royalty rate.

In March, San Jose, California-based Tessera, which makes semiconductor packaging technologies for miniature electronic products, also licensed its OptiML image zoom enhancement technology for miniature and cellphone cameras to Samsung's LSI unit.

Tessera's shares have gained 2 percent since it forecast third-quarter revenue below analysts' estimates in September, hurt by lower micro-electronics sales and fewer memory chips shipped by companies that license its technology.

The company's shares closed at $14.47 on Tuesday on Nasdaq.