Microsoft and Burst.com Settle Outstanding Litigation and Enter Into Licensing Agreement

Microsoft and Burst.com Settle Outstanding Litigation and Enter
Into Licensing Agreement 


REDMOND, Wash. and SANTA ROSA, Calif., March 11  /PRNewswire-FirstCall/ --
Microsoft Corporation (NASDAQ:MSFT) and Burst.com, Inc. (OTC:BRST) today
announced that the two companies have reached an agreement in principle
resolving all claims in Burst's lawsuit against Microsoft. Microsoft will pay
$60 million to Burst for the settlement of all claims and for a non-exclusive
license (without sub-license rights) to Burst's patent portfolio. Burst's
lawsuit, originally filed in June of 2002, asserted patent, trade secret and
antitrust claims.

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"While we were confident of prevailing in this lawsuit, we have been open from
the beginning to finding a reasonable way to resolve this case," said Tom Burt,
corporate vice president and deputy general counsel for Microsoft. "Securing a
license to the Burst patent portfolio through this settlement allows us to
focus on the continued development and deployment of Windows Media technologies
to deliver the ultimate media experience to our partners and customers."

Burst stated that the patent license resolves the litigation with Microsoft and
validates the Burst patents as pioneering intellectual property. Burst
Co-Founder, Chairman and CEO, Richard Lang, explained that, "We spent over a
decade developing and patenting the technology in anticipation of the markets
that are now emerging. Microsoft taking a license validates the innovation of
the burst technology embodied in the underlying patent portfolio. With this
action behind us, the company can now focus on its other opportunities."

About Microsoft

Founded in 1975, Microsoft is the worldwide leader in software, services and
solutions that help people and businesses realize their full potential.

About Burst

Founded in 1988, burst.com has pioneered the development of
Faster-Than-Real-Time(TM) video and audio delivery. burst.com has built an
international patent portfolio covering bursting, video delivery scheduling and
rapid casting.

NOTE:  Microsoft is a registered trademark of Microsoft Corp. in the United
States and/or other countries. Burst.com is a registered trademark of Burst.com
Inc. in the United States and/or other countries.

The names of actual companies, products and technologies mentioned herein may
be the trademarks of their respective owners. 

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DATASOURCE: Microsoft Corp.



CONTACT:  print and online media only, Rapid Response Team, of Waggener

Edstrom, [phone], or , or global electronic media only,

Media Relations, Worldwide Communications & Television, [phone], or

, both for Microsoft Corp.; or financial analysts only,

Curt Anderson of Microsoft Investor Relations, [phone]



Web site:  http://www.burst.com/ 

Web site:  http://www.microsoft.com/ 

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