Cisco to sue Apple on iPhone name

Cisco Systems is suing Apple for trademark infringement in a US federal court, for using the iPhone name.

Apple launched its new handheld mobile phone device under the iPhone name on Tuesday, at the hotly anticipated Macworld event in San Francisco.

Following the launch Cisco said it hoped to resolve the matter by Tuesday evening after negotiations.

Apple responded by saying the lawsuit was "silly" and that Cisco's trademark registration was "tenuous at best".

"We think Cisco's trademark lawsuit is silly," Apple spokesman Alan Hely said. "There are already several companies using the name iPhone for Voice Over Internet Protocol (VOIP) products."

"We are the first company to ever use the iPhone name for a cell phone, and if Cisco wants to challenge us on it we are very confident we will prevail."

'Revolutionary'

"This issue is not about money, and it's not about the phone itself; it is about Cisco's obligation to protect its trademark in the face of Apple using it without our permission"
Jon Noh, Cisco spokesperson

Cisco, which has owned the trademark since 2000, said it thought Apple would agree to a final document and public statement regarding the trademark.

"Cisco entered into negotiations with Apple in good faith after Apple repeatedly asked permission to use Cisco's iPhone name," said Mark Chandler, Cisco senior vice-president and general counsel, in a statement.

The firm has owned the name since it bought Infogear Technology in 2000, which registered the name.

Infogear had previously used the name for several years, said Cisco.

Cisco, which supplies networks, said it would seek to stop Apple from "infringing upon and deliberately copying and using" the trademark.

Jon Noh, a spokesperson for Cisco told the BBC: "This issue is not about money, and it's not about the phone itself; it is about Cisco's obligation to protect its trademark in the face of Apple using it without our permission."

Cisco's Linksys arm has employed the trademark since early 2006, and in December it launched its own phone, capable of connecting to the internet, called the iPhone.

News of Apple's launch of its touch screen has been long awaited and Steve Jobs, the firm's head, said the phone would revolutionise the market.

Shares in Apple were 1.3% lower in after-hours trade, having risen 8% after the phone was launched a day earlier.

Apple's 'magical' iPhone unveiled

US firm Apple has confirmed its move into the telecoms industry, unveiling the long-awaited iPhone.

Users will be able to download music and videos with the phone, demonstrated by Apple boss Steve Jobs at the annual Macworld Expo in San Francisco.

Mr Jobs praised the phone's design and told the audience the "magical device" would "revolutionise the industry".

The phone, which will cost from $499 (£257) to $599, will be launched in the US in June and Europe later this year.

Apple is not yet saying how much the iPhone will cost in the UK, but using the comparison of a Mac mini computer the 4 gigabyte (GB) model would be about £335.

Also revealed at the Macworld Expo was Apple TV, a device to stream music and movies from a computer to the living room.

'Super-smart'

The announcement ended months of speculation about the iPhone, which has no conventional buttons but instead uses a large touch-screen.

The firm has patented keyboard technology on the 11.6mm thick phone, calling it "multi-touch".

It is essentially a computer with a blank screen that users configure so they can operate the monitor with their fingers.

TOMORROW'S WORLD BLOG
"But as the hype piled up Jobs told us we were witnessing history and he was going to reinvent the telephone - some doubts crept in.
Rory Cellan-Jones"
BBC News' Technology Correspondent

"We are all born with the ultimate pointing device - our fingers - and iPhone uses them to create the most revolutionary user interface since the mouse," said Mr Jobs.

A full touch keyboard is available for text messaging and there is a built-in two megapixel camera.

Mr Jobs said the iPhone was a "revolutionary and magical product that is literally five years ahead of any other mobile phone".

"It works like magic... It's far more accurate than any touch display ever shipped. It ignores unintended touches. It's super-smart."

iPod impact

He demonstrated the phone by playing the Beatles' Lovely Rita, Meter Maid.

He added: "The iPod changed everything in 2001. We're going to do it again with the iPhone in 2007."

The phone will be available on the network of US mobile firm Cingular and will run Apple's OS X operating system.

It will come in two versions - one with 4GB of storage space, the other with 8GB.

Apple shares closed around 8% up after the announcement.