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Facebook and Yahoo settles lawsuits

9 July 2012

Facebook Inc and Yahoo Inc have agreed broad Internet advertising and licensing partnership, settling their respective patent lawsuits. 

Facebook's and Yahoo's deal expands an existing multi-year tie-up that involved mainly allowing Facebook users to share Yahoo content, encompasses cross-licensing of patents and collaboration on advertising promotions during major events such as the Olympics and Super Bowl. 

Sheryl Sandberg, Facebook's Chief Operating Officer in a statement, "I'm pleased that we were able to resolve this in a positive manner and look forward to partnering closely with Ross and the leadership at Yahoo".

Yahoo's leadership has been in a state of upheaval since turning down Microsoft's $44 billion takeover offer in 2008, plowing through four chief executives in as many years.

Yahoo sued Facebook earlier this year, claiming the No. 1 social networking company infringed 10 patents including several that cover online advertising technology. In its lawsuit, the company said Facebook was considered one of the worst performing sites for advertising prior to adopting Yahoo's ideas. 

Facebook, which went public in May, filed a countersuit of its own a month later and called Yahoo short-sighted for its decision to prioritize "litigation over innovation." 

Facebook has been beefing up its patents arsenal. In April, it announced to deal to pay Microsoft Corp $550 million for hundreds of patents that originated with AOL.

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Access Control Systems using Power over Ethernet (PoE) Technology from Borer