Conditions of the settlement remained confidential, but WebTrends, the defendant in the matter, said it would soon relaunch its Web traffic analysis service, which had been under a temporary restraining order pending the outcome of the case.
Both parties said they were pleased with the outcome.
"All I can say is that we're happy," said Geoff Johnston, vice president of corporate communications for privately held WebSideStory, based in San Diego, Calif. "I'm sure we'll be competing in the future. We're also pleased others are recognizing the value of doing Web traffic analysis."
The problem began Nov. 17 when WebTrends launched a traffic analysis service called WebTrends Live, targeting high-volume sites.
Six days later, lawyers filed a copyright and trade dress infringement complaint, claiming that WebTrends' new service was a rip-off of WebSideStory's HitBox design, which also tracks Net surfers.
A U.S. District Judge in San Diego issued a temporary restraining order against WebTrends, prohibiting the company from using its new service. The order was reiterated at a hearing earlier this month.
The settlement was reached this week.
In February, WebTrends raised $45.5 million in an initial stock sale.
The Portland, Ore.-based company and shareholders sold 3.5 million shares at $13 each. WebTrends trades on the Nasdaq Stock Market under the symbol "WEBT."