(02-26-2006) U2 in middle of corporate clash - Sunday Times*

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U2 in middle of corporate clash


TOP rockers U2 have unwittingly found themselves straddling both camps in a corporate bust-up between Burst.com, an American multimedia firm in which the band bought a $2.8m (€2.35m) stake, and Apple, the €65 billion company behind the iPod MP3 player that U2 endorses.

Burst and Apple are suing each other over the rights to software technology used in Apple’s iTunes service and the top-selling iPod, the sales of which were boosted last year by a U2 special edition.

Burst had originally threatened legal action against Apple late last year after alleging that the computer giant had infringed its patents on a variety of audiovisual technology systems when it launched an iPod with video capability.

Apple responded by slapping a lawsuit on Burst last month, saying it’s patent and infringement claims were invalid. Burst is contesting the suit and is due to issue a response next month. It has also indicated that it intends to countersue.

The U2 deal to help launch the iPod was described as “multi-million” sponsorship at the time. Band members were unavailable for comment.

http://www.timesonline.co.uk/article/0,,2095-2058564,00.html
 
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