Microsoft and computer maker Gateway have settled a long-running antitrust dispute at mediation, the two firms announced yesterday. Microsoft has agreed to pay Gateway a total of $150 million over four years.

The dispute dates back to an antitrust investigation into the software giant in the 1990's, which culminated in 2002 in a landmark settlement between Microsoft, the US Justice Department and several states.During the case, the court found that Gateway's business had been hurt by Microsoft's actions.Under the statute of limitations, the time period for Gateway to bring claims against Microsoft based on this finding expired in late 2003, but the two firms entered into an agreement to extend the period so they could explore an approach that would serve their mutual business and customer interests.A recent mediation between the parties led to yesterday's announcement."We're pleased to put these legacy legal issues behind us," said Wayne Inouye, Gateway's president and CEO. "We look forward to even greater collaboration with Microsoft going forward as we work together towards the future of computing."Rodrigo Costa, OEM corporate vice president, Microsoft, added, "We are very pleased to be able to resolve our past differences in a constructive manner that will allow us to continue our focus on the interests of our mutual customers."The settlement follows earlier agreements between Microsoft and Burst.com, Novell, Sun Microsystems and various States, as the software giant begins to free itself from the inconvenience of numerous antitrust lawsuits.Most of these disputes have now been resolved, although Microsoft still faces action from Real Networks Inc. and is in the process of appealing sanctions imposed by the European Commission.

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