The long drawn-out legal battle between BlackBerry maker, RIM, and patent holding firm NTP has finally come to an end. RIM, maker of the poplar wireless e-mail device, agreed to pay NTP $612.5 million to settle the patent dispute, which had cast a shadow of uncertainty over use of the device in the US.
NTP had claimed RIM was infringing on their patents, and was seeking a ban on the sale and use of the device in the US. RIM had promised its users that a workaround was ready to be deployed, enabling the continuation of BlackBerry use, but many were doubtful. This settlement is definitely great for RIM and BlackBerry users (and of course, NTP) as the suit has now been dismissed, and service will continue as normal.
RIM and NTP were on the brink of a similar settlement early last year, which was to be a $450 million deal, but that fell through at the last second, making way for the lengthy legal battle which followed. The announcement was made late Friday afternoon, just before stock market close, and RIM’s stock (NASDAQ: RIMM) closed just $0.53 higher, at $71.92. However, in after-hour trading of the stock, an increase of over 19% took place, catapulting its price to $85.70.
Now that RIM has overcome this major obstacle and customers are finally at ease, they must now prepare for the real battle which is unfolding; against the Microsoft led consortium of mobile phone makers, and their respective “BlackBerry Killer” devices.
