Cisco Systems Inc.’s Linksys and Apple Inc. will share custody of the iPhone name in a settlement announced late Wednesday.
Under the agreement, both companies will be able to use iPhone in branding and marketing their wireless phones. Linksys’ product, which uses the Skype Internet telephone service for online calls as well as traditional phone lines, has been on the market since 2005 and sells for up to $370. Apple’s iPhone, launched in a flashy presentation in January, will be available in June. The phone with built-in Web browser and iPod, will cost about $500.
Cisco and Apple agreed to dismiss any remaining legal issues related to the trademark and “will explore opportunities for interoperability in the areas of security and consumer and enterprise communications.”
No other details of the settlement were released, and neither company would comment beyond their joint statement.
Cisco inherited the trademark for iPhone in 2000, when it bought Redwood City-based InfoGear Technology Corp., a maker of a phone with a screen and keyboard for Web browsing and e-mail. When Cisco bought Irvine-based Linksys in 2003, much of the development work on their iPhone was handed over to local engineers.
Cisco and Apple had been working on an agreement to co-own the iPhone name but talks broke down in early January. Just weeks later, Apple leader Steve Jobs presented his iPhone to the public and a stunned Cisco filed suit.
