IDG News Service – “Cisco Systems has come to an agreement with patent firm Innovatio IP Ventures in a dispute over Wi-Fi standards-essential patents that targeted its customers.
Under the settlement, Cisco will pay $2.7 million to protect customers of 170 million Cisco devices. Innovatio admitted that over 100 million of the accused devices were already licensed, and agreed to be paid about 3.2 cents per wireless device for the remaining 85 million, Cisco’s general counsel Mark Chandler wrote in a blog post on Thursday.
Cisco and Innovatio have in a filing on Thursday in the U.S. District Court for the Northern District of Illinois, Eastern Division asked that claims and counterclaims in two lawsuits before the court between the two companies should be dismissed “with prejudice to the re-filing of same,” which would mean that Innovatio may not sue Cisco on the same claims. The parties also asked the court to dismiss all claims made by Innovatio against Cisco customers in the dispute.
Innovatio sued coffee shops, hotels, restaurants, supermarkets, large retailers, transportation companies, and other commercial users of wireless Internet technology in the U.S., according to court records. The company alleged that the wireless network users provide wireless Internet access to their customers or use it to manage internal processes, and by doing so infringe various claims of 23 patents it owned.
The makers of the gear used by the wireless network providers – Cisco, Motorola Solutions, SonicWall, Netgear and Hewlett-Packard – asked the court to rule that their products, and the networks or systems of which those products are a part, do not infringe Innovatio’s patents, and that its patents are invalid.”