Intermec Technologies Corp. and Symbol Technologies Inc. today disclosed that they have finally resolved their contentious intellectual property dispute by agreeing to end all outstanding litigation related to automated identification and data capture (AIDC) technologies. Under terms of an agreement, the two companies will cross-license each other's patents, and have released each other from patent-infringement damage claims. They have also signed a four-year accord that includes an agreement not to sue one another over remaining patents. The resolution brings to an end a litigation fight that accelerated in March 2005 when Symbol sued Intermec, claiming the latter had infringed upon its bar code scanning and wireless patents. Intermec fired back at Symbol with lawsuits of its own, claiming that Symbol had infringed on a variety of its patents. Intermec later escalated the tensions by claiming Symbol had violated U.S. trade laws by marketing patent-infringing products. The real concern for customers stemmed from earlier RFID patent-infringements claims made by Intermec and Symbol against each other that could have jeopardized EPC Gen2 product development since both companies had contributed technology to the now de facto standard. In September 2005, the two companies called an RFID truce, with Symbol joining Intermec's Rapid Start Licensing Program to gain access to Intermec's 145-plus RFID patents. At that time all other litigation for other technologies, including Wi-Fi, Laser, MEMS, software management, and Internet-based communication, was put on hold. Today's announcement covers litigation related specifically to AIDC -- which includes scanning, wireless, and mobile computing technology, according to a Symbol spokesperson. Analysts see the rapprochement as good for both companies. "My interpretation of this is that there's plenty of greenfield out there for both of them and they want to go forward because this stuff can bring you down in terms of the focus of the company," said Chantal Polsonetti, an analyst with ARC Advisory Group (Dedham, MA). "It can be all-consuming in terms of resources." Nevertheless, Intermec appears steadfast in its commitment to sue any company that infringes on its RFID IP. The latest company to feel Intermec's litigious wrath is Alien Technology, and there could be more. In the company's most recent quarterly call to discuss its financials, Intermec President and COO Steve Winter stated, "We will be pursuing infringers. We are putting together cases. We are looking at those who are most disruptive to the industry right now. And, basically, preparations are underway with respect to unlicensed suppliers like Alien and others." According to ARC's Polsonetti, Intermec feels obligated to take legal action. "It is Intermec's fiduciary responsibility to protect the 20-plus companies in their [Rapid Start Licensing] program," she said in an interview. And, other industry experts say, IP litigation will not stifle innovation. "In fact it encourages it," said Mike Liard, director of RFID at ABI Research (Oyster Bay, NY). "Every vendor has the right to protect its IP. This latest announcement [between Symbol and Intermec] is them washing their hands of it and reminding the market that this [particular] litigation is over," he said in an interview. Symbol and Intermec spokespeople offered scant details of the IP resolution, except to reiterate what was issued in a company statement. "Both companies believe that the agreement announced today is a good solution of their IP disputes," a jointly issued statement said. "They also believe that this agreement is in the best interest of their customers and shareholders."