Causing danger to the future of both the clouds, the patent-infringement lawsuits have been settled between, Microsoft and the San Francisco-based, Salesforce. com.

This prolonged legal affair was causing threat to the reputation of both the Companies and was turning into a symbolic battle with time.

Microsoft Corp., the world's biggest software maker, said that each Company would receive permits for other's patents. The financial terms have however not been divulged and Salesforce. com, it is being said will pay Microsoft the amount.

“Salesforce. com will receive broad coverage under Microsoft’s patent portfolio for its products and services as well as its back-end server infrastructure during the term”, said Microsoft.

Horacio Gutierrez, Microsoft's Deputy General Counsel of intellectual property and licensing said that this deal would set an example before everyone as to how; the Companies could compete with each other and simultaneously respect each other's intellectual property rights.

The patent-infringement lawsuit had been filed by Microsoft alleging some customer-relationship management issues, which was followed by Salesforce. com filing another claim against Microsoft. Salesforce. com had claimed that Microsoft had infringed on five of its patents.

Ray Wang, an analyst with the Altimeter Group said that litigations were for sure a part of the whole process, and in fact was an indication that things were getting ultra-competitive.