Palm, Xerox Settle Patent Dispute A WALL STREET JOURNAL ONLINE NEWS ROUNDUP
June 28, 2006 10:00 a.m. http://online.wsj.com/article/SB115150006788092968.html?mod=home_whats_news_us Palm Inc. agreed to pay Xerox Corp. $22.5 million to resolve a long-running patent dispute over handwriting-recognition software used in hand-held organizers. The dispute dates back to 1997 when Xerox filed a lawsuit alleging that Palm's handwriting technology "Graffiti" infringed on a Xerox patent covering one-stroke symbols. In 2001, a federal court found Palm infringed on the patent. But Palm, Sunnyvale, Calif., appealed the decision and in 2004 that same court ruled in Palm's favor, saying Xerox's patent was invalid. The case was revived earlier this month when an appeals court reversed the judgment. In exchange for its payment, Palm will receive licenses to use the Xerox technology and two other patents. The deal covers former Palm parent 3Com Inc., which was also a defendant in the case. The agreement also calls for a "patent peace," a seven-year mutual covenant not to sue. Xerox, the Stamford, Conn., copier giant, said the settlement avoids further costs and distractions from protracted legal appeals. When the first Palm handhelds were introduced in 1996, the company marketed its devices as simple and convenient to use, partly because its Graffiti handwriting was easy to learn. In part because of legal battles, Palm switched to another handwriting-recognition software, called Jot, for its devices. Xerox's technology was conceived at the company's Palo Alto Research Center. The company developed a product based on the technology but chose not to bring it to market. The research lab has been credited with a slew of important innovations including the graphical-user interface, which is the basis of today's operating system software on personal computers. But time and again, Xerox has failed to capitalize financially on PARC's innovations. ================================================= George Antunes Voice (713) 743-3923 Associate Professor Fax (713) 743-3927 Political Science Internet: antunes at uh dot edu University of Houston Houston, TX 77204-3011 Reply with a "Thank you" if you liked this post. _____________________________ MEDIANEWS mailing list [email protected] To unsubscribe send an email to: [EMAIL PROTECTED]
