Verizon and Nextel have resolved their heated legal dispute over where mobile phone spectrum should begin and walkie-talkie spectrum end.
The two companies have dismissed a series of pending lawsuits against each other and are releasing each other from all other existing claims. Nextel has also agreed to forego any trademark and ownership rights to the phrase "Push To Talk", "PTT" and all related "Push” names. Both parties retain the right to use those terms when marketing their services though.
Verizon announced a PTT service in the summer of last year. Up to that point, Nextel was the only wireless operator offering PTT. Nextel then sued Verizon in September 2003, alleging deceptive marketing of its PTT service. Nextel took issue with Verizon’s claims that its PTT service was "available on the best, most reliable network".
For its part, Verizon has agreed not to oppose the FCC's decision in July to realign the 800MHz band, including Nextel's receipt of spectrum in the 1.9GHz band. Verizon attempted to thwart this deal by offering $5 billion for 10MHz of PCS spectrum in the 1.9GHz band spectrum if the regulator opened it up for bid.
Nextel offered $850 million for it so it could move communications out of the 800MHz band where it collides with the communications of public safety organisations. The FCC subsequently went ahead with the spectrum swap.
Other terms of the settlement were not disclosed.