Microsoft and PalTalk settle $90 million lawsuit early

Saturday, 14th March 2009 14:00 GMT By Stephany Nunneley


Microsoft has settled the $90 million patent infringement lawsuit brought against it by PalTalk.

PalTalk claimed it owned rights to “interactive applications over multiple computers,” and said that Microsoft infringed upon these via Xbox 360 and Halo multiplayer.

The trial, which started Monday, ended early when both parties agreed on an undisclosed sum.

This figure ranges anywhere from the $200,000 that PalTalk originally paid for the patents, to the $90 million it filed against Microsoft.



  1. No_PUDding

    You can tell it’s a recession.

    People and companies turn into animals.

    Like Sony threatening to sue that ad company. Good on Microsoft for settling it early, even if it wasn’t a real infringement.

    #1 6 years ago
  2. DS1086

    Another huge dent in the profits from the 360. With the millions/billions Microsoft lost over the RRoD, have they actually made any money with the 360?

    #2 6 years ago
  3. Psychotext

    $90m wouldn’t make much of a dent at all in MS’s finances. Hell, you’d barely call it a scratch. :)

    #3 6 years ago
  4. Psychotext

    Not that we actually know what they paid. I doubt they’d have settled for the $90m originally asked for. Wouldn’t have been much point in settling then!

    #4 6 years ago
  5. Blerk

    I’m just surprised that they settled at all! It seemed like a pretty flaky claim to me.

    #5 6 years ago
  6. Gekidami

    Insta-settle? Its as good as admitting the claims against them…

    #6 6 years ago

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