Microsoft drops SkyDrive name

Microsoft has said it will change the name of SkyDrive following a lawsuit from Sky.

Earlier this year, High Court Judge Mrs Justice Asplin ruled that the cloud-storage service infringed Sky's trademark, saying there was "a likelihood of confusion in the average consumer".

It's not been revealed what SkyDrive's new name will be, but Sky is giving Microsoft "a reasonable amount of time" to work out its branding after the software company said it wasn't going to appeal.

According to a statement from the companies, the agreement includes "financial and other terms" - but they are, of course, confidential.

"We are pleased to have reached a settlement after Microsoft agreed not to appeal the trade mark infringement judgment in relation to its SkyDrive service," said Sky. "We will remain vigilant in protecting the Sky brand and will continue to take appropriate action against those companies who seek to use our trade mark without consent."

Microsoft said it was "glad to have resolution of this naming dispute".

Last year, Microsoft dropped the Metro name from Windows 8 after an infringement complaint from a German retailer, but said that Metro was never more than a codename.