Apple and Cisco Systems have agreed to postpone a lawsuit over the use of the iPhone name for Apple's new mobile device in an attempt to avoid a messy legal battle.  

The agreement gives Apple until 15 February to respond to Cisco's trademark infringement suit. Cisco claims to have owned the 'iPhone' trademark since 2000, when it purchased Linksys.

Neither company would comment to vnunet.com on the terms or progress of the negotiations, which Cisco said have been going on for four years. 

Apple chief executive Steve Jobs first publicly announced the intention to use the 'iPhone' name during his Macworld Expo keynote on 10 January.

Cisco issued a statement on the same day warning that it would take legal action if Apple failed to strike a deal for the name by the end of the day. Cisco made good on the statement and filed suit on 11 January.

Cisco subsidiary Linksys introduced an iPhone VoIP handset in December.

Cisco declined to comment on whether the talks with Apple were for one-time use of the name or for a complete change of ownership of the trademark.

But recent comments suggest that Cisco remains interested in releasing products under the name.

"Today's iPhone is not tomorrow's iPhone," Cisco senior vice president and general counsel Mark Chandler wrote in a blog posting. 

"The potential for convergence of the home phone, cell phone, work phone and PC is limitless, which is why it is so important for us to protect our brand."