Microsoft and Salesforce end patent duel

Aug 05, 2010
A man walks under the logo of software company Microsoft at a major trade fair. The packaged software giant has announced it has settled a patent duel with cloud computing firm Salesforce.com.

Packaged software giant Microsoft has announced it has settled a patent duel with cloud computing firm Salesforce.com.

Each had filed suit in US court accusing the other of violating its .

Under the terms of the deal, both firms will get rights to use the other's technology and will get paid compensation, although it declined to specify the amount.

"We are pleased to reach this agreement with Salesforce.com to put an end to the litigation between our two companies," said Microsoft corporate vice president Horacio Gutierrez.

"Today's agreement is an example of how companies can compete vigorously in the marketplace while respecting each other's ."

The legal spat came as Microsoft strives to adapt to a trend toward programs being offered as services in the Internet "cloud" instead of being purchased and then installed and maintained on people's computers.

Microsoft built its fortune selling software such as Office, Outlook, and Windows while San Francisco-based Salesforce has become a prospering poster child for a new era of cloud computing.

Microsoft has introduced an Azure cloud for its "live services" offered on the Internet.

Salesforce in June filed a patent-infringement lawsuit against Microsoft in apparent retaliation for similar litigation that the US technology colossus filed against Salesforce in May.

Explore further: Sony forecasts $2B loss as smartphones lag (Update)

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