Immersion and Microsoft Settle Litigation

Immersion announced last night a settlement in the Microsoft dispute due to hit court in October 2008. Microsoft request was for an amount up to $ 35.6 million.

>>Immersion and Microsoft have agreed to resolve Microsoft's claim under a 2003 Sublicense Agreement between Microsoft and Immersion, as well as Immersion's counterclaim that Microsoft breached a confidentiality agreement between the companies dated May 2007. Immersion agreed to make a one time payment to Microsoft in the amount of $20.75 million. In addition, Immersion will be admitted to Microsoft’s Certified Partner Program. Other terms of the settlement are confidential.

Here is an interesting blog post from seattlepi.com:

>>But its new status as a Microsoft partner could help clear the way for the San Jose, Calif., company to make its technology work with Windows 7, the code name for the next version of Microsoft's operating system.

Richardson

In a phone interview following the settlement this afternoon, Immersion CEO Clent Richardson pointed out that Microsoft has been showing plans for new touch-related technologies in Windows 7.

"That is an obvious play for a company that makes touch feedback," Richardson said. "If touch is enabled, we just need to make sure that the touch screen is able to provide feedback. Then all of a sudden it's not just a mere flat experience -- it's actually a feedback experience. It's a confirmation, it's a validation that you've actually touched that part of the screen, or you're moving a window from one corner to another."

Richardson said laptops and desktop computers with Windows-based touch screens would be "ripe candidates for touch feedback."