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Immersion Corporation Announces Settlement and License Agreement with Google and Motorola Mobility Resolving Motorola Patent Litigation

SAN JOSE, Calif.--(BUSINESS WIRE)--Immersion Corporation (NASDAQ: IMMR), the leader in touch feedback technology development and licensing, today announced it entered into a settlement and license agreement with Google, Inc. and Motorola Mobility LLC, resolving the patent infringement litigation brought by Immersion against Motorola. The litigation was initiated based on Motorola's various uses of a simple form of haptic effects in its mobile devices, sometimes referred to as Basic Haptics. Under the settlement and license agreement, Immersion is receiving compensation for prior shipments of Motorola devices containing Basic Haptics technology, the parties have agreed to a license relating to future shipments of Motorola devices with Basic Haptics, and have resolved certain issues with respect to Google-branded smartphones containing Basic Haptics. The agreement does not extend to other manufacturers' handsets that use the Android operating system. As a result of the settlement, Immersion will dismiss all pending litigation between it and Motorola.

"The successful resolution of this case is a critical step in our overall strategy of enforcing and monetizing our intellectual property, including Basic Haptics, and we're pleased to achieve a settlement that is consistent with our business model, which is largely based on per unit running royalties," said Immersion CEO Victor Viegas. "We remain fully committed to enforcing our IP rights while continuing to innovate and create new technology and solutions for the mobile space. While the terms of the settlement will remain confidential and are not anticipated to have a material impact on our financial results for 2012, this settlement is a great step forward in validating the value of our IP portfolio and the investments we have made in the mobile market."