Microsoft Corp. (NASDAQ:MSFT) and VirnetX Holding Corp. (AMEX:VHC) announced today that the patent infringement cases brought on by VirnetX have been settled, with both lawsuits being dismissed.
In the settlement, Microsoft takes license to VirnetX patents for Microsoft products and the company will pay VirnetX a one-time fee of $200 million.
Further settlement details have not been disclosed.
“This agreement highlights the need for VirnetX’s Secure Domain Name Initiative, and we believe that this successful resolution of our litigation with Microsoft will allow us to focus on the upcoming pilot system that will showcase VirnetX’s automatic Virtual Private Network technology,” said VirnetX CEO and chairman Kendall Larsen. “We look forward to our continued work with our Secure Domain Name Initiative partners in that effort.”
Microsoft’s corporate vice president and deputy general counsel Tom Burt added, “We are pleased to work with VirnetX to bring these cases to a successful resolution through this settlement. We look forward to VirnetX’s continued progress as it develops its technologies.”