TiVo, Motorola Reach SettlementUpdated: Court Official and Motorola Confirm the DVR Patent Case is Settled; Terms Not Yet Announced 6/06/2013 12:22 PM Eastern
An official with the U.S. District Court Eastern District of Texas confirmed Thursday that TiVo and Google’s Motorola Mobility unit have settled a DVR patent case that was scheduled to reach trial on Monday, June 10.
“They have settled,” the official with the court said Thursday afternoon, noting that a pre-trial hearing scheduled for Friday (June 7) and the coming trial have both been cancelled as a result of the settlement. The official could not comment on terms of the settlement, or which party came out on top.
Motorola Mobility later confirmed that a settlement had been reached, but also did not reveal terms. "We're pleased that all parties involved have reached an agreement to resolve pending litigation," Motorola Mobility spokesman William Moss told Multichannel News Thursday night in an emailed statement.
Shares in TiVo spiked toward the end of the day Thursday, closing at $13.71, up 8.29%, as rumors of the settlement circulated.
TiVo has notched more than $1 billion in previous cash settlements with Dish Network, AT&T and Verizon Communications.
Google closed its $12.5 billion acquisition of Motorola Mobility in May 2012.
Arris, which closed its acquisition of Motorola Home, a division that makes set-tops, DVR and other cable equipment earlier this year, is financially insulated from the results of the case. As a condition of its purchase of Motorola Home from Google, Arris is responsible for no more than $50 million in damages and royalties connected to TiVo’s pending litigation with Motorola Mobility.
TiVo has not yet commented as of early Friday morning. Arris on Thursday declined to comment.