Grokster settles with Hollywood, labels

After three years of legal battles that went all the way to the U.S. Supreme Court, file-swapping software company Grokster has agreed to settle its long-standing copyright infringement case with the big movie studios and record labels.

Grokster has agreed to stop distributing its software or operating any components of its network, and has agreed to a permanent injunction against infringing on any of the music or movie copyright in the future. The agreement will be submitted to the court for approval today.

StreamCast Networks, the larger file-swapping company that has been a more active defendant in the long-running case, remains in the lawsuit for now.

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