Microsoft, Alcatel-Lucent settle dispute

Microsoft and Alcatel-Lucent have settled a patent dispute, following a jury verdict last year that would have had Microsoft pay US$70 million for infringement.

The companies did not reveal details of the deal, but Microsoft said the settlement is "to the satisfaction of both parties," in a statement.

The case revolves around the so-called Day patent which Microsoft was found to use in Outlook when it lets someone add an appointment to a calendar by clicking on a calendar date and entering information in the field with the relevant date. The patent was initially awarded to a division of AT&T that was spun off as Lucent and was ultimately acquired by Alcatel.

Last year a jury said Microsoft should pay Alcatel-Lucent for infringing the patent. But in October, after Microsoft appealed, the court knocked down that payment to $26.3 million.

In the order dismissing the case, the court said that Microsoft and Alcatel-Lucent will pay their own costs and attorneys fees.

Nancy Gohring covers mobile phones and cloud computing for The IDG News Service. Follow Nancy on Twitter at @idgnancy. Nancy's e-mail address is Nancy_Gohring@idg.com

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