Ottawa-based technology development and intellectual property company Wi-LAN (TSX:WIN) has reached a licensing deal with French telecommunications equipment manufacturer Alcatel-Lucent.
WiLAN CEO Jim Skippen. (Photo by Mark Holleron)
By Jacob Serebrin
The agreement will see Alcatel-Lucent pay WiLAN to license several patents for a multi-year term. In exchange, WiLAN will drop pending lawsuits against Alcatel-Lucent in Texas and Florida.
As part of a separate deal, WiLAN will acquire a portfolio of wireless technology patents from Alcatel-Lucent.
Details of the deals, including their dollar value, were not released.
“We are very pleased to have reached a business resolution to our licensing discussions with Alcatel-Lucent, and to add them to our list of licensees," said Jim Skippen, president and CEO of WiLAN, in a company release.
"The addition of Alcatel-Lucent patents and applications to our wireless portfolio continues to expand the value we are able to offer to our existing and future licensees."
A separate legal dispute between the two companies ended in July, with a Texas judge ruling against WiLAN, and in favour of Alcatel-Lucent and its co-defendants, Ericsson, HTC and Sony Mobile. WiLAN has filed documents in that case asking for a retrial.
That’s not the end of WiLAN’s legal battles.
The company still has a pending lawsuit in Texas against Apple, Hewlett-Packard, HTC America, Novatel Wireless, Sierra Wireless America and several of their associates. That trial is scheduled to begin on Oct. 7.
Dell computers was previously named as one of the defendants in that case but it settled with WiLAN in May after Dell agreed to license several patents.
Another lawsuit, against BlackBerry, is also pending. That trial is scheduled to start next March.
This all comes as the company attempts to reduce its litigation costs after posting a jump in those expenses during the second quarter.
WiLAN share prices rose after news of the agreement Monday morning. It was up 29 cents to $3.68 by mid-afternoon.