Wi-LAN CEO Jim Skippen. (photo supplied)

Ottawa-based Wi-LAN Inc., a technology licensing company, on Monday announced it's settled a pending patent litigation action with Waterloo-based Research in Motion Ltd. (RIM).

As a result of the settlement, RIM has obtained a licence to certain patents of Wi-LAN in the area of wireless technology and the litigation between the two companies will be dismissed. The specific terms of the agreement are confidential.

Wi-LAN as well on Monday announced changes to its 2008 financial guidance as a result of the company's recent licence signings – during the fiscal third quarter, the company signed licence agreements for wireless-related technologies with 12 companies, up from 10 in the previous quarter. Signings include new licensee AOpen Inc., along with previously announced licensees ASUSTek Computer Inc. and Xirrus Inc.

Along with the RIM announcement, Wi-LAN's total number of wireless licensees signed to date is 34.

In addition, during the fiscal third quarter, the company signed licence agreements for its V-chip patents with 12 companies, up from seven in the previous quarter. Those signings included new licensee China Hualu Group Co., Ltd.

Wi-LAN's total number of V-chip licensees signed to date is 94.

Meanwhile, company revenues for the fiscal year are expected to be within the range of $24.5 million to $25.5 million, up from previous guidance of $15 million to $20 million. Operating expenses, excluding stock-based compensation, are expected to be in the range of $19 million to $20 million, up from previous guidance of $16 million to $19 million.

Pro forma earnings are expected to be within the range of $8 million to $9.5 million, up from previous guidance of $2 million to $5 million.