Sendo Sues Microsoft over Smartphone Platform

The UK handset manufacturer, Sendo has launched a lawsuit against Microsoft, claiming the software giant has stolen its software and ideas. The lawsuit was filed in the U.S. District Court for the Eastern District of Texas on the 20th December and lists 13 counts against Microsoft.

Sendo says that Microsoft has a "master plan" to break into the mobile phone market and claims that Microsoft said the joint partnership between the companies was "totally critical to the new extended vision for the company"

Sendo said that Microsoft implemented a plan to obtain Sendo's technology and mobile experience with "false promises" to co-develop, help finance and be the "go to market" partner for Sendo's abortive smartphone, the Z100. Microsoft is then alleged to have taken Sendo's knowledge and passed it to cheaper OEM's who were able to make smartphones for Microsoft using Sendo's technology.

In February 2002, Sendo says that it was required to supply Microsoft with 300 functioning Z100 handsets, at a cost of US$3.6 million, which has not yet been paid by Microsoft. Sendo claims that some of these handsets were passed to Taiwan's HTC - who later went on to manufacture the Microsoft smartphone being sold by Orange.

While the lawsuit does not mention a specific amount that Sendo is claiming from Microsoft, several media channles reported that it is seeking in the region of US$300 million. This appears to be consistent with the final page of the lawsuit, where Sendo claims the profits from Microsoft's Smartphone venture.

In November, Sendo shocked the industry by dropping plans for its Z100 and signed up for a license to use Nokia's Series 60 user interface - in a total about face of the past two years of development."

Posted to the site on 27th December 2002