Qualcomm, Broadcom settle on patent row

Wireless chip developer Qualcomm and rival Broadcom have been recently agreed to set aside certain patent claims against each other. The recent agreement between the companies indicates towards a broader settlement. Qualcomm and Broadcom had filed various patent infringement lawsuits against each other and Broadcom had requested regulators to ban the U.S. sale of some Qualcomm products. Therefore, the agreement is the latest spin in a ferocious legal battle between the two companies over licensing agreements. Differences over licensing agreements has triggered a series of suits and countersuits from California to Europe related to technologies that power cell phones, Bluetooth devices and wireless Internet equipment. In the meanwhile, Qualcomm maintained that the settlement only eliminates two of several jury trials scheduled for 2007 and that other cases and trial dates are unaffected. However, analysts believe that the agreement may be a step in the right direction, clearly signaling towards the possibility that it might help the two firms to resolve their differences. The recent agreement would result in the dismissal of a San Diego Federal court case on Broadcom claims for infringement of two of its patents. Consequently, the agreement will terminate the need for a trial scheduled to start next month. It would also dismiss the infringement claims pertaining to two Qualcomm patents in a case also pending in San Diego.