Microsoft and broadcaster Sky have reached a settlement, effectively ending its trademark dispute
over SkyDrive. Under the agreement, Microsoft will be permitted to continue using the SkyDrive name for its cloud storage service for a "reasonable period of time to allow for an orderly transition to a new brand."
A British court ruled in favor of Sky over the dispute late last month, deciding that consumers could easily confuse the Sky and SkyDrive brands. This was in part due to the various Sky apps currently offered by the broadcaster, as well as a cloud storage product it offered in the past, titled Sky Store & Share.
The settlement, according to an announcement received by Engadget
, states that Microsoft will not continue to appeal the verdict, and could temporarily use the SkyDrive brand, as well as other confidential financial terms. Considering the ruling only applies to the UK and Europe, it is not clear if Microsoft will be rebranding the service globally as part of the agreement, or if it will be operating two different brands for the same service.
Sky approved the settlement, stating "We will remain vigilant in protecting the Sky brand and will continue to take appropriate action against those companies who seek to use our trade mark without consent." Earlier this year, it went against Livescribe
in a similar fashion for the Sky Wi-Fi Smartpen, also forcing a rebrand.