Apple Computer Inc. will pay $100 million to rival Creative Technology Ltd. to settle five patent lawsuits over technology for navigating through songs on the popular iPod digital music player, the companies said Wednesday.
The settlement allows Cupertino, Calif.-based Apple to recoup a portion of its payment if other electronics companies license Creative’s technology.
“Creative is very fortunate to have been granted this early patent,” Steve Jobs, Apple’s chief executive, said in a statement Wednesday. “This settlement resolves all of our differences with Creative, including the five lawsuits currently pending between the companies, and removes the uncertainty and distraction of prolonged litigation.”
Creative Chairman and CEO Sim Wong Hoo called the settlement “amicable.”