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Apple Shells Out $5 Million to Settle Patent Dispute with Elan

Apple is paying $5 million in order to settle a patent infringement lawsuit related to multi-touch technology.

Taiwan based Elan Microelectronics had filed a patent infringement lawsuit against Apple back in 2009, claiming that the company had violated a patent related to multi-touch technology used in mouse operations. The lawsuit targeted Apple's iPhone, iPad, iPod Touch, MacBook and Magic Mouse pad.

Elan also filed a complaint with the US International Trade Commission, which has the power to ban the import of infringing products into the United States. Perhaps Apple thought that it would not be good for the company in the long run and decided to settle the lawsuit instead.

According to Reuters, under the terms of settlement, the two companies have also agreed to get into a cross licensing deal with each other.

"We are glad to put the Elan case behind us and avoid a drawn-out court battle. The cross-licensing agreement gives Elan access to two of Apple's Touch patents, but none of the innovations that make iPhone, iPad and iPod Touch unique," an Apple spokeswoman said in a statement to Reuters.