Cisco Gives Apple More Time in iPhone Suit

Cisco has decided to give Apple more time regarding the iPhone suit. The company has given Apple until February 15 to respond to a lawsuit filed by Cisco regarding the usage of Cisco’s trademark name for the iPhone product. Cisco had allegedly beat Apple to the iPhone name. Turns out Cisco's had the name since 2000, when it bought InfoGear Technology, which had the rights to the iPhone name.

The companies hope to reach an agreement on both trademark rights and interoperability, the companies said in a joint statement.

However, in November 2006, analysts had noted that an iPhone could cannibalise iPod sales. But the move can’t be resisted. Music is increasingly moving onto cell phones, they added. "I think over the long term mobile music is gong to be huge," Pacific Growth Equities analyst Derrick Wood said. "And that is playing and consuming music over your phone."

In all probability, the iPhone will include music-playing option, a common feature in most phones sold today. Makers of smart phones that sport Microsoft Windows Mobile 5 are turning Windows Media into one option to turn a PDA-style phone into a music player. Meanwhile, Motorola is aligned with Apple for iTunes on cell phones. Microsoft and Nokia, among others, are eyeing new handsets.

Apple’s devices are sold at a premium because of its attention to details.