Boston, MA 03/19/2014 (wallstreetpr) – The seven year long war of Hollywood mogul Summer Redstone of Viacom, Inc. (NASDAQ:VIAB) and Google Inc (NASDAQ:GOOG) over intellectual property content on the video sharing site YouTube has ended in a surprisingly pacified tone. Both sides decided to talk on table instead of roaring and pitching fire in the courtroom. No cash exchanged between the two parties said one source that had no authority to discuss any further.
Viacom, Inc. (NASDAQ:VIAB) initiated a copyright’ infringement case with claim for damages of $1 billion over illegal broadcast of over 79,000 copyrighted clips during the three years’ time span that ended 2008. The two sides to the appeal proceedings belong to two highly dependent industries, opined one IP expert June Besek who teaches at the Columbia Law School. Google needs Viacom for inventory (content) while Viacom needs Google for marketing & promotions.
No battles Lost For Viacom
Viacom, Inc. (NASDAQ:VIAB) was already fighting a lost battle after its initial plea was rejected twice by US district Judge, Louis Stanton. He first refuted Viacom’s claims in 2004 and later in April 2013.
Last year, had averted a Viacom plea for damages against Google Inc (NASDAQ:GOOG) the second time on the grounds that the later is not obligated to scour its website for patented or copyrighted materials being uploaded on the video portal at a speed of over 24 viewing hours per minute. The company he said, was well protected under safe harbor statements thus Viacom’s claims were no more than “ingenious….yet extravagant” argumentation. A New York Circuit, Court of Appeals that later challenged his decision, had scheduled an oral argumentation for later this week. However, both sides to the argument resorted to an out of court settlement yesterday.
Settlement Marks A Silent Win on Content Disseminators Behalf
Any further details of final resolution were not disclosed. The case bore a historical importance as it put to test the limitations of applicability of the Digital Millennium Copyrights Act. One of the reasons why entities resort to out of court settlements after heated debates is that the entities are no longer interested to invest in the debacle. The pacified response from Viacom, Inc. (NASDAQ:VIAB) speaks of a silent win for the search engine and several supporters including Facebook Inc (NASDAQ:FB) and Yahoo Inc (NASDAQ:YHOO) both of which operate and deal in user generated content.