ZEPHYR COVE, Nev. and
REDMOND, Wash., Dec. 19, 2014 /PRNewswire/ -- VirnetX
Holding Corporation (NYSE MKT: VHC) and Microsoft Corporation
announced today that on December 17,
2014, VirnetX, Inc. and Microsoft Corporation have signed an
Amended Settlement and License Agreement. This agreement amends and
restates certain terms of the original Settlement and License
Agreement, dated May 14, 2010,
between VirnetX, Inc. and Microsoft Corporation. As a result of the
agreement, the parties have settled their pending patent
disputes.
Under the terms of the amended agreement, Microsoft has agreed
to pay $23 million to VirnetX to
settle the patent dispute and expand Microsoft's license. The
parties have also agreed to dismiss the patent infringement case
brought by VirnetX, Inc. before the U.S. District Court for the
Eastern District of Texas and
jointly move to terminate the pending inter partes review
proceedings between Microsoft and VirnetX, Inc. as to
Microsoft. All other aspects of the agreement were not
disclosed.
"We are pleased to have come to an agreement with Microsoft
Corporation and put all our legal disputes behind us," said
Kendall Larsen, Chief Executive
Officer and Chairman of VirnetX, Inc. "This agreement allows
us to focus our resources towards the release of our Gabriel Secure
Communication Platform™ and Gabriel Collaboration Suite™ products
in the first-half of 2015 and our ongoing licensing and strategic
partnership efforts."
"Microsoft Corporation is pleased to have come to an agreement
with VirnetX and that the settlement includes an expanded license
to VirnetX's entire patent portfolio," said a Microsoft
spokesperson.
About Microsoft
Founded in 1975, Microsoft (Nasdaq
"MSFT") is the worldwide leader in software, services, devices and
solutions that help people and businesses realize their full
potential.
About VirnetX
VirnetX Holding Corporation is an
Internet security software and technology company with patented
technology for secure communications including 4G LTE security.
The Company's software and technology solutions, including
its secure domain name registry and GABRIEL Connection Technology™,
are designed to facilitate secure communications and to create a
secure environment for real-time communication applications such as
instant messaging, VoIP, smartphones, eReaders and video
conferencing. The Company's patent portfolio includes over
107 U.S. and international patents with over 100 pending
applications. For more information, please visit
www.virnetx.com.
Forward Looking Statements
Statements in this press
release that are not statements of historical or current fact,
including statements regarding the strength of Virnetx's
intellectual property, constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements are based on
expectations, estimates and projections about the markets in which
the Company operates, management's beliefs, and certain assumptions
made by management and involve known and unknown risks,
uncertainties and other unknown factors that could cause the actual
results of the Company to be materially different from the
historical results or from any future results expressed or implied
by such forward-looking statements, including but not limited to
(1) the outcome of any legal proceedings that have been or may be
initiated by the Company or that may be initiated against the
Company;, including pending and future inter partes review
proceedings in the Patent and Trademark Office (2) the ability to
capitalize on the Company's patent portfolio and generate licensing
fees and revenues; (3) the ability of the Company to be successful
in entering into licensing relationships with its targeted
customers on commercially acceptable terms; (4) potential
challenges to the validity of the Company's patents underlying its
licensing opportunities; (5) the ability of the Company to achieve
widespread customer adoption of the Company's GABRIEL Communication
Technology™ and its secure domain name registry; (6) the level of
adoption of the 3GPP Series 33 security specifications; (7) whether
or not the Company's patents or patent applications may be
determined to be or become essential to any standards or
specifications in the 3GPP LTE, SAE project or otherwise; (8) the
extent to which specifications relating to any of the Company's
patents or patent applications may be adopted as a final
standard, if at all; and (9) the possibility that Company may be
adversely affected by other economic, business, and/or competitive
factors. In addition to statements which explicitly describe
such risks and uncertainties, readers are urged to consider
statements labeled with the terms "believes," "belief," "expects,"
"intends," "anticipates," or "plans" to be uncertain and
forward-looking. The forward-looking statements contained
herein are also subject generally to other risks and uncertainties
that are described from time to time in the Company's reports and
registration statements filed with the Securities and Exchange
Commission, including those under the heading "Risk Factors" in
Company's Quarterly Report on Form 10-Q filed with the SEC on
November 10, 2014. Many of the
factors that will determine the outcome of the subject matter of
this press release are beyond the Company's ability to
control or predict. Except as required by law, the Company is
under no duty to update any of the forward-looking statements after
the date of this press release to conform to actual results.
Contact:
Greg Wood
VirnetX Holding Corporation
775.548.1785
greg_wood@virnetx.com
David Cuddy
Microsoft Corporation
425.421.2502
dcuddy@microsoft.com
VirnetX and GABRIEL Connection Technology are trademarks of
VirnetX Holding Corporation. Other company and product names may be
trademarks of their respective owners
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SOURCE VirnetX Holding Corporation