September 12, 2005 (Computerworld) --
Symbol Technologies Inc. and Intermec Technologies Corp. have agreed to settle much of a yearlong dispute over intellectual property for radio frequency identification technology, the companies announced last week. The companies, both of which make products that use RFID, also said that they intend to suspend any remaining litigation as they work to settle unresolved issues. Everett, Wash.-based Intermec last year sued Matrics Inc. . Since then, Matrics has been acquired by Symbol, which Intermec alleged infringed on Intermec RFID patents. Meanwhile, Symbol in March sued Intermec for patent infringement and at the same time pulled out of an agreement to supply Intermec with laser-scan engines. Following those moves by Symbol, Intermec filed another patent suit against Holtsville, N.Y.-based Symbol. Licensing Deal Under the settlement, each vendor has agreed to license technology from the other. Symbol has also agreed to join Intermec's Rapid Start RFID licensing program, which provides access to various Intermec technologies, including RFID tags and fixed and portable readers. Intermec will gain access to Symbol intellectual property through the cross-licensing provisions of Rapid Start, according to a statement by the companies. Intermec will also ask for dismissal of its original suit against Matrics in U.S. District Court in Wilmington, Del., and of a complaint against Symbol that it filed with the International Trade Commission in Washington, according to the filing. As part of the agreement, Symbol said it's again willing to sell scan engines to Intermec, though no orders have yet been placed. The statement from Symbol and Intermec said that the companies have put all pending and anticipated legal actions on hold for 90 days while they try to work out any unresolved intellectual property disputes. "We prefer to negotiate rather than litigate," said Sal Ianuzzi, interim president and CEO of Symbol, in a conference call last week. Financial terms of the settlement weren't disclosed. Lawson is a reporter for the IDG News Service.
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