Infringement Suit

Microsoft Pays $60 Million to Settle Burst.com Patent Infringement Suit

Authored by Mark Hefflinger on March 14, 2005 - 3:32am.

Santa Rosa, Calif. -- Burst.com, a provider of streaming media technology, announced that it has agreed to settle its patent infringement case against Microsoft, with Microsoft agreeing to pay Burst a one-time license fee of $60 million. Santa Rosa, Calif.-based Burst.com initially sued Microsoft in 2002, for patent infringement of its patented technology that accelerates the delivery of online video. "We spent over a decade developing and patenting Burst technology in anticipation of the markets that are now emerging. With this action behind us, the company will now focus on its other important opportunities," said Burst CEO Richard Lang. The company plans to put the settlement money towards paying off certain liabilities and additional patent infringement actions, and will also distribute a "substantial portion" as a cash dividend to shareholders.

tags: Microsoft | Burst.com | Infringement Suit |