Cisco Systems filled a lawsuit against Apple Computers on Wednesday over the name “iPhone,” which Cisco has had a trademark on since 2000. While Cisco’s focus has traditionally been on enterprise networking hardware, they have recently been looking to focus more on consumer electronics. The lawsuit was filled following Apple’s recent announcement and introduction of an iPod/cell phone hybrid device. In December of last year, Cisco announced the launch of a new Linksys VoIP phone which functions as a Skype handset.
Apple computer is no stranger to challenges over trademark infringement. The company was sued by the Beatles Apple Corps. label over use of a Granny Smith logo. Initially, Apple Computer settled in 1981 for $80,000 and a promise that they would not enter the music business. In 1989, the two companies clashed again and ultimately agreed on a $26 Million settlement in 1991.The settlement specified that Apple Computer would not have to remove its name and logo from iTunes and the iPod.
In the case of Cisco vs. Apple Computer, it is expected that the two will reach a mutually agreeable settlement. Sources believe that Cisco most likely launched their “iPhone” in an effort to force Apple to license the rights to the name. Well played, Cisco. Well played, indeed!