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Akamai, C&W Settle Patent Dispute

December 7, 2004 -- (WEB HOST INDUSTRY REVIEW) -- Content delivery network operator Akamai Technologies (akamai.com) said on Monday that it has reached a final resolution for a long-standing patent dispute it has with Cable & Wireless Internet Services (cw.com).

   
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In December 2001, a jury found that Digital Island's footprint content delivery service infringed claims 1, 3, 5, 9, 17, 18 and 22 of US Patent No. 6,108,703, issued in the name of Tom Leighton and Danny Lewin, Akamai's founders. Cable & Wireless Internet Services, previously known as Digital Island, was found to have infringed claims 17,18 and 22.

According to the announcement, Cable & Wireless Internet Services has agreed to pay Akamai an undisclosed cash settlement for infringing its intellectual property rights.

"We are very pleased by the resolution of this long-standing dispute, because it reaffirms the value of Akamai's intellectual property and sends a strong message that we can and will successfully defend our business against others who attempt to exploit Akamai's investments in innovation," says Melanie Haratunian, vice president and general counsel for Akamai. "It is especially gratifying that multiple key claims of the '703 patent previously have been deemed valid or now remain valid, and that the party who infringed those claims has agreed to make a significant financial payment to Akamai. While we prefer to demonstrate the superiority of our technology in the marketplace, rather than the courtroom, we will continue aggressively to enforce our intellectual property rights when necessary to protect shareholder value."

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