Microsoft Sues Immersion Over Sony Deal

More hilarious legal rumblings

Posted by Staff
Microsoft Sues Immersion Over Sony Deal
Following Sony’s recent cosying up to rumble technology patent holder Immersion in March, there comes a new twist in the long and ongoing legal wrangle surrounding Sony and Microsoft’s use of rumble technology in their respective videogame controllers. This time however, it's Microsoft suing Immersion!

Microsoft alleges that, following the Sony and Immersion deal back in March (which meant that we may at some point see rumble reinstated into SIXAXIS) Immersion has breached terms of an agreement that had it paying Microsoft in the event of such a settlement with Sony.

After the March, Immersion issued a far from confident statement as part of its annual report:
"The Company believes that it is not obligated under its agreements with Microsoft to make any payment to Microsoft relating to the conclusion of the patent litigation with Sony Computer Entertainment. However, it is uncertain that Microsoft will accept the Company's position or that the Company will ultimately prevail with its position."


Microsoft has issued the following statement in response to this today:
"In the event that Microsoft were to prevail, the Company would be obligated to pay Microsoft a minimum of $15.0 million for any amounts received from Sony up to $100.0 million, plus 25% of any amounts over $100.0 million and up to $150.0 million and 17.5% of any amounts over $150.0 million. See Note 9 for further discussion and details regarding Microsoft."


The recent Immersion agreement with Sony means that Immersion receives $22.5 million in twelve quarterly instalments of $1.875 million (as of March 31 this year, through to December 2009) which strongly suggests to SPOnG that we will finally see the return of the Rumble in PS3 sooner rather than later.

Now why would Microsoft want to make bringing Rumble to PS3 unprofitable for the developers? That's just plain anti-competitive!

We’ll bring you the latest updates from all three parties on this ongoing legal mess as we get them.
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Comments

MK24ever 19 Jun 2007 10:41
1/7
It's not about graphics or sound ou games... but I don't understand how can people support and heartly defend a company like microsoft, they will only be happy when they have crushed all the competition they can find, the fact M$ entered the video-games business is not a good thing, is a terrible one! They don't have ethic or principles, they just have greed for money and power. That's why I'll keep supporting asian comapanies, that yes, they also want to make money, but they don't use this kind of scemes, the prefer using original and good products.
SuperSaiyan4 19 Jun 2007 10:48
2/7
So I guess you forgot about the Sony vs Lik Sang thing then? *Rolls eyes*
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king skins 19 Jun 2007 10:50
3/7
Rose tinted glasses are a wonderfull thing.

Immersion entered into this deal with MS and signed the contract, to get their money and investment. If this was indeed part of the contract then they have to pay up, don't really see what your problem is.
PreciousRoi 19 Jun 2007 11:22
4/7
original article wrote:
Now why would Microsoft want to make bringing Rumble to PS3 unprofitable for the developers? That's just plain anti-competitive!

Uh, isn't this money for old rope? How can it be unprofitable? Sony should have settled with Immersion a long, long time ago in any event, they are the villains here.
Joji 19 Jun 2007 12:31
5/7
Sony aren't any saints just because they are japanese. I'm still very bitter at them because of the Lik Sang stuff (you'd think they'd be happy to have actual sales instead of gamers pirating their games, but alas no, how dumb) amongst other mess ups

Immersion thought had a case against MS and Sony originally, so for Immersion to settle with Sony and not MS sounds a bit strange to me. Still find it amazing Sony left out the rumble in the first place (another dumb move of many).
YenRug 19 Jun 2007 12:57
6/7
Joji wrote:
Immersion thought had a case against MS and Sony originally, so for Immersion to settle with Sony and not MS sounds a bit strange to me. Still find it amazing Sony left out the rumble in the first place (another dumb move of many).


Joji, MS settled with Immersion ages ago, quite quickly after Immersion brought their case against them. In fact, part of the settlement was that MS would become a shareholder (around 20-25%, I think it was) in Immersion, that contract is the one that is now being used to claim a share of the settlement with Sony.
hollywooda 19 Jun 2007 16:53
7/7
You just dont go around suing companys like MS then letting them buy a 25% share holding yof our company!? Then Immersion set up a deal with Sony & try 2 cut MS out of the profit!?.... how stupid do they think the guys @ MS are?.. If anyones a greed games industry fcuker its immersion, more power to MS for teaching them a lesson & putting them in there place.
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