Slot makers settle lawsuit, agree to cooperate

Wednesday, Sept. 20, 2000 | 11:17 a.m.

International Game Technology of Reno and WMS Industries Inc. of Chicago, both major slot machine makers, said Tuesday they settled their legal differences and will work together on future gaming devices. In addition, Anchor Gaming of Las Vegas joined the party as it announced a deal to sell technology owned by it and IGT to WMS.

IGT, the world's No. 1 slot maker, said it and WMS will cross license intellectual property like patents and that they may jointly pursue the development of participation slots with IGT's Telnaes technology.

WMS last year agreed to pay IGT nearly $29 million to settle a patent lawsuit related to Telnaes, which allows huge jackpots to be offered on traditional reel slot machines.

No money changed hands in the settlement, but other details remain confidential.

The settlement included IGT's touch-screen/button patent claims against WMS of October 1999 and WMS' antitrust counterclaims against IGT made in February.

Additionally, the parties agreed to WMS's licensing of IGT's and Anchor Gaming's cashless gaming system patents. WMS also will license some of Anchor's secondary bonus features.