) recently entered into a patent cross-licensing agreement with
Canon Inc. However, the specific terms and conditions of the
agreement have been kept under wraps.
Headquartered in Japan, Canon manufactures imaging and optical
products, including cameras, camcorders, photocopiers, steppers,
computer printers and medical equipment. The company has
manufacturing and marketing subsidiaries in Japan, the Americas,
Europe, Asia and Oceania.
The cross-licensing agreement covers a broad range of products
and technologies, including certain digital imaging and mobile
consumer products. Per the deal, Microsoft and Canon will be able
to access each other's patent portfolios. Such deals avert the risk
of unnecessary patent lawsuits and enable companies to focus on
offering inventive technologies.
Lawsuits are a costly affair which not only hurt company
financials but also negatively impact the brand. It is therefore
sensible and cheaper to enter into cooperative license agreements
and sell more products and services without the fear of getting
In Dec 2003, Microsoft started its Intellectual Property
licensing program. Since then, the leading software company has
signed more than 1,100 licensing agreements. Microsoft is part of
the Rockstar Consortium that enforces patents involved in multiple
litigations. Other technology companies such as
), Blackberry, Ericsson and
) are also part of the Consortium.
Microsoft Corporation develops, manufactures, licenses, sells
and supports software products. The company reported
better-than-expected third-quarter results.However, revenues of
$20.40 billion were down 16.8% sequentially and 0.4% from last
Currently, Microsoft has a Zacks Rank #3 (Hold). Another stock
worth considering at this time is
Aspen Technology, Inc.
), sporting a Zacks Rank #1 (Strong Buy).
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