SOURCE: TeleCommunication Systems, Inc.

TeleCommunication Systems, Inc.

December 23, 2009 07:00 ET

TeleCommunication Systems and Sybase, Inc. Reach Legal Settlement

ANNAPOLIS, MD and DUBLIN, CA--(Marketwire - December 23, 2009) - TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS), and Sybase, Inc. (Sybase) (NYSE: SY) today announced that they have agreed to settle two patent infringement lawsuits. Both lawsuits were filed by TCS in the United States District Court for the Eastern District of Virginia, Richmond Division. The earlier filed suit was brought in July 2006 against Mobile 365, Inc. Sybase acquired Mobile 365 during the earlier-filed litigation and the acquired company was subsequently renamed Sybase 365, Inc. and later Sybase 365, LLC. The later filed suit was brought in July 2009 against Sybase 365, Inc.

The parties have decided that, in order to avoid the costs and substantial burdens of the litigation, it is in the interest of each of their businesses to resolve these matters at this time, although Sybase continues to dispute TCS' allegations and does not admit any infringement. Sybase will make a one-time payment of $23 million to TCS in exchange for a license in the TCS inter-carrier messaging family of patents. Other specific terms of the settlement are confidential. Sybase believes that the substantial majority of the settlement amount will be satisfied by an escrow Mobile 365's former shareholders established when Sybase acquired Mobile 365, and that a legal reserve Sybase previously established will be sufficient to cover the balance of the settlement amount. TCS will record fourth quarter 2009 legal and other non-recurring expenses in connection with this settlement totaling approximately $7.5 million.

About TeleCommunication Systems, Inc.
TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS) engineers and delivers highly reliable wireless communications technology. TCS is a leader in wireless text messaging and location-based technology, including E9-1-1 services and commercial applications like navigation that use the precise location of a wireless device, and secure satellite-based communications systems and services. Customers include leading wireless and VoIP carriers around the world, cable MSOs, automotive telematics vendors, and agencies of the U.S. Departments of Defense, State, and Homeland Security. TCS is one of six primary vendors on a $5 billion Army Worldwide Satellite Systems Contract vehicle. For more information, visit

About Sybase, Inc.
Sybase is an industry leader in delivering enterprise and mobile software to manage, analyze and mobilize information. We are recognized globally as a performance leader, proven in the most data-intensive industries and across all major systems, networks and devices. Our information management, analytics and enterprise mobility solutions have powered the world's most mission-critical systems in financial services, telecommunications, manufacturing and government. For more information, visit

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