- The Washington Times - Monday, February 5, 2007

SAN JOSE, Calif. (AP) — IPod maker Apple Inc. has resolved a trademark dispute with the Beatles’ guardian Apple Corps Ltd. over use of the iconic apple logo and name for the third time in nearly three decades.

But while the truce announced yesterday appeared to finally settle the long-simmering animosity, music lovers still must wait for the right to buy such songs as “Love Me Do” or “Hey Jude” on Apple Inc.’s ITunes online store.

The announcement — made jointly by one of the world’s largest music sellers and one of history’s most beloved bands — was silent on whether the catalog of Beatles songs will become available for download any time soon.

The Beatles have been the most prominent holdout from ITunes and other online music services, and Apple’s overtures to put the music online have been stymied by the ongoing litigation.

The settlement gives the Cupertino, Calif., company ownership of the name and logo in return for agreeing to license some of those trademarks back to London firm Apple Corps — guardian of the Beatles’ commercial interests — for their continued use.

It ends the ongoing trademark lawsuit between the two companies, with each side paying its own legal costs. Other terms of the settlement were not disclosed.

Industry analysts said a resolution on putting the Beatles’ music online is likely already in the works.

“It goes from impossible to a lock that it’s going to happen; it’s a function of time at this point,” said Gene Munster, senior research analyst with investment bank Piper Jaffray & Co. “I bet they move pretty fast. For Apple, it was critical that they got this taken care of.”

Jaffray estimates that Apple Inc. paid the Beatles $50 million to $100 million for the rights to the Apple name. That would come on top of more than $26.5 million Apple paid to settle past disputes with Apple Corps.

It’s no secret that Steve Jobs — Apple Inc.’s chief executive officer and a huge Beatles fan — has wanted the British band’s music on ITunes, which has sold more than 2 billion songs worldwide and has catapulted Apple into the top ranks of music sellers.

He even cued up some Beatles music and album art in introducing the company’s highly anticipated IPhone at the Macworld Conference and Expo in San Francisco last month, setting off rampant speculation that some type of deal might be in the works.

However, decades of legal disputes between the two companies have made any partnership all but impossible.

“We love the Beatles, and it has been painful being at odds with them over these trademarks,” Mr. Jobs said. “It feels great to resolve this in a positive manner, and in a way that should remove the potential of further disagreements in the future.”

Apple Corps was founded by the Fab Four in 1968 and is still owned by Paul McCartney, Ringo Starr, the widow of John Lennon and the estate of George Harrison.

Copyright © 2018 The Washington Times, LLC. Click here for reprint permission.

The Washington Times Comment Policy

The Washington Times is switching its third-party commenting system from Disqus to Spot.IM. You will need to either create an account with Spot.im or if you wish to use your Disqus account look under the Conversation for the link "Have a Disqus Account?". Please read our Comment Policy before commenting.


Click to Read More

Click to Hide