Some would say Apple’s last real innovative product was Siri. Siri was first released in 2011 on the iPhone 4s, and truly was big news at the time. Unfortunately, the technology behind Siri was developed three years earlier by Rensselaer Polytechnic Institute in Troy, New York, and this sparked yet another piece of litigation which Apple has been a part of.
Rensselaer licensed the technology to one company, Dynamic Advances. Dynamic Advances’ parent company Marathon Patent Group took Apple to task over infringement on their patent and a month before the case was to go to trial, the parties have settled out of court.
Apple will pay Marathon Patent Group $24.9 million with a few conditions. Apple shall immediately pay $5 million. The conditions which shall be met before Apple pays the remaining $19.5 million are as follows. Apple shall receive a patent license to continue using the technology, and a promise that it will not be sued again for a period of three years. However, at this point, Marathon has not agreed to the royalty rate listed in the settlement, so there may be further news coming from this case.