Friday, 29 August 2008

Microsoft Becomes Richer By USD 20 Million

Computer technology developer Immersion has agreed to pay Microsoft a sum of USD 20.75 million to settle a lawsuit.

Microsoft sued Immersion in June 2007 in Western District Court of Washington to collect part of the patent-settlement fees Sony agreed to pay Immersion in another case.

The now-discarded lawsuit stems from a previous settlement Sony and Immersion reached that saw Sony pay Immersion USD 121 million for use of its patented technology, with Microsoft claiming its sublicense agreement gives it a claim to a portion of the Sony/Immersion settlement that Immersion initially refused to pay. Microsoft sought at least USD 15 million of USD 100 million paid by Sony, in addition to 25 percent of the amount over USD 100 million and below USD 150 million.

Immersion filed a countersuit, alleging Microsoft breached a May 2007 confidentiality agreement set between the two companies.

"We are pleased to resolve our outstanding dispute with Microsoft and to put this litigation behind us," said Immersion president and CEO Clent Richardson, in a statement. The settlement also calls for Immersion to be admitted into Microsoft's Certified Partner program.