BlackBerry maker Research In Motion agreed to pony up $267.5 million to put to bed a lengthy patent battle with rival mobile e-mail provider Visto.
The settlement ends a three-year patent fight between the two companies. Visto, which merged with Good Technology in March, first sued RIM for patent infringement in May 2006 in the U.S. claiming RIM was using its mobile e-mail technology without a license. RIM countersued, claiming Visto's patents contained no new innovations. From there, the litigation spread globally, touching courtrooms in Italy, Canada, Germany and the U.K.
"The key terms of the settlement involve RIM receiving a perpetual and fully paid license on all Visto patents, a transfer of certain Visto intellectual property, a one-time payment by RIM of U.S. $267.5 million and the parties executing full and final releases in respect of all outstanding worldwide litigation," the two companies said in a statement.
The settlement is expected to be completed the week of July 20.
RIM and its BlackBerry smartphones have been frequent targets of patent litigation. In March 2006, RIM paid out a $612.5 million settlement to NTP to stave off the possibility of an injunction that could have halted BlackBerry sales. That settlement came nearly five years into a vexing court battle in which Virginia-based NTP claimed RIM stole NTP's patents to create RIM's mobile push e-mail technology.
Visto filed suit against RIM just two months after RIM settled with NTP.