A Chinese court reveals Apple has agreed to pay US$60 million to China's Proview Technology, which concludes the protracted trademark dispute between both parties over the name "iPad".
The Associated Press (AP) reported early Monday that the Guangdong High People's Court said Apple and Proview Technology have reached the settlement through mediation, and the former has transferred the money to the Court. This closes the lawsuit, it noted.
Cupertino maintained during the arguments it bought the global rights to the iPad name from Proview back in 2009, but Chinese officials insisted the rights in China were never transferred, the report stated.
Proview lawyer Xie Xianghui said in the report the outcome was "acceptable" to both parties, but the Chinese company had hoped for a settlement fee of up to US$400 million which would help it stave off bankruptcy from a separate lawsuit.
The longstanding legal battle started late 2010 when Proview accused Apple of using another company as a front to purchase the trademark in China in December 2009, which made the contract invalid. The dispute escalated and Proview filed a lawsuit against Apple in February 2012, leading to iPads taken off retail shelves in some Chinese cities.
With the case now resolved, this could open the doors for Apple to continue selling its tablet device in China, AP added.