Symantec Files Intellectual Property Suit Against Microsoft
Friday, May 19, 2006
SEATTLE — Security software maker Symantec Corp. accused Microsoft Corp. in a
federal lawsuit Thursday of misappropriating its intellectual property and
breach of contract.
The lawsuit seeks an injunction to stop Microsoft from selling the next version
of its Windows operating system, due out to consumers next year, until the
technology is removed. It was filed in U.S. District Court in Seattle.
The dispute is over a technology that allows operating systems to handle large
amounts of data.
Symantec, based in Cupertino, Calif., acquired the technology through its
acquisition of Veritas Software Corp. last year. Veritas and Redmond-based
Microsoft had signed a licensing agreement, but Symantec claims the terms were
violated.
In a statement released by its public relations firm, Microsoft said the lawsuit
stems from "a very narrow disagreement over terms of a 1996 contract with
Veritas" and that the company had tried unsuccessfully to resolve it out of
court. Microsoft called the lawsuit's claims unfounded.
Symantec, which makes the Norton software to protect computers from Internet
attacks, has traditionally been a Microsoft partner. But Microsoft is preparing
to release its own Internet security products, pitting the software giant
directly against Symantec and others.
Microsoft shares rose 10 cents to close at $22.83 Thursday on the Nasdaq Stock
Market. Symantec shares fell 8 cents to close at $16.24.