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June 4, 2009 1:07 PM PDT

Paltalk says it has settled suit with Microsoft

by Ina Fried

Group messaging company Paltalk said on Thursday that it has reached a deal with Microsoft to settle a patent dispute.

As part of the deal, Microsoft has taken a license to Paltalk's patents and is paying an undisclosed amount of money, Paltalk said in a press release.

"After litigating with Microsoft for over two years to protect our intellectual property, it is gratifying to resolve this matter with Microsoft taking a license to Paltalk's patents," said Jason Katz, founder and CEO of Paltalk.

Paltalk filed its suit against Microsoft in September 2006, alleging that Halo 2 and Halo 3 running on Xbox Live violated Paltalk's patents. Paltalk said the case involved two patents that were originally filed in 1996 by MPath Interactive and acquired by Paltalk in 2001.

The case against Microsoft went to trial in March, Paltalk said, with a settlement reached on the fourth day of the case.

Microsoft declined to comment on the settlement. However, a source close to the company said the settlement was approved by the court last month.

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft. E-mail Ina.
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Add a Comment (Log in or register)
by inachu June 5, 2009 2:58 AM PDT
If I remember correctly paltalk was free for everyone to use on their own website and you could just copy and paste the code into your site and you could chat and talk within minutes. The software was awsome and kept friends comming back visiting my site and brought in tons of strangers who stuck around to listen to my tech talk and such.

But this amazing software one day stopped working one day and upset many people.
That was the day paltalk was created.

Someone just got greedy and wanted the code for their own.
IT was funny how anyone could copy the .js code.
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About Beyond Binary

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft.


Beyond Binary is a look at how technology is changing our lives and the people behind all that life-changing stuff, with an extra emphasis on that which emanates from Redmond, Wash.

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