What do Cisco Systems, LG Electronics, Samsung Electronics, NEC, Seiko Epson, Siemens AG, SAP AG and Toshiba have in common with Microsoft? The question would have been nothing whatsoever, not too long ago. But not since 2003. Four years ago, Microsoft changed its tune on proprietary technology and announced that it was starting to deal in with its intellectual property portfolio. Since that point, the results of the Redmond company's Research and Development efforts have been opened for business. An in this sense, Microsoft announced that it has inked the latest cross-license patent portfolios agreement with Cadence.

"We are pleased to further expand our collaboration with Microsoft," said R.L. Smith McKeithen, senior vice president and general counsel at Cadence. "Both Cadence and Microsoft are leaders in their respective technology space and in the software industry - we have a common interest in fostering innovation within the industry and leveraging those innovations to provide pioneering solutions for our customers. IP licensing is a collaborative way to spur innovation, and this agreement is a natural extension of this goal."

"We are delighted to be collaborating with Cadence, the world's largest maker of software used to design integrated circuits and electronic systems," said Horacio Gutierrez, vice president of Intellectual Property and Licensing at Microsoft. "IP licensing continues to benefit today's technology industry and its customers. This cross-license agreement is a perfect demonstration of how licensing IP extends the reach of modern innovations across companies."

The new partnership between Microsoft and Cadence is built on the existing relationship of the two companies. From Microsoft's perspective, cross-license patent agreements will serve to help continuing the evolution of technology innovations. The newly signed partnership means that both Microsoft and Cadence will have access to each other's patented technologies. Still, for the Redmond company, Cadence serves to improve its display of trophy patent portfolios.