US online retailer Amazon.com and IBM have settled all their patent-infringement lawsuits and signed a long-term patent cross-license agreement, an Associated Press report said.
The report said under the deal, Amazon.com will pay IBM an undisclosed amount of money, and each company will let the other use some of its technology.
The Associated Press report quoted Amazon.com spokeswoman Patty Smith as saying that the settlement payout will not affect financial results for the company's current second quarter, and that Amazon.com has already factored the money into its financial guidance for the second quarter and full fiscal year.
In October 2006, IBM alleged in two lawsuits that key components of Amazon.com's retailing Web site were developed and patented by IBM, the report said.
IBM accused Amazon.com of infringing upon five patents related to how the site recommends products to customers, advertises and stores data, the report added.
In December, Amazon.com countersued, denying the allegations and charging IBM with violating five of Amazon's patents for ventures including IBM's WebSphere business software, the report said.The Associated Press report further said in a brief joint statement, the companies did not indicate how they settled their dispute.