Microsoft Corp. and LG Electronics (LGE) today announced that they have entered into a patent cross-license agreement to further the development of the companies’ current and future product lines. Microsoft has focused on patent agreements in the recent past to develop a best-practices model for protecting intellectual property (IP) and respecting the IP rights of others, as well as building bridges with an array of industry leaders, including consumer electronics, telecommunications and computer hardware providers.

Through the agreement, LGE will be able to use Microsoft®-patented innovations in its products, including Linux-based embedded devices. Microsoft will have access to LGE’s patents and will license other patents developed by LGE that are now owned by business solutions provider MicroConnect Group. The specific financial terms of the agreement are confidential, but the parties are disclosing that Microsoft will be making a net balancing payment to LGE and MicroConnect for patents related to operating systems and computer systems. LGE will be making ongoing payments to Microsoft for the value of Microsoft patents as they relate to Linux-based embedded devices that LGE produces.