Google Settles Scanning Suits, Clears Way for Online Publishing

Google Settles Scanning Suits, Clears Way for Online Publishing

Oct. 28 (Bloomberg) -- Google Inc. will pay $125 million to settle copyright lawsuits filed by publishers and authors over its book-scanning project, a ``historic'' settlement that the company said clears the way for online book publishing.

The owner of the most popular Internet search engine said today's agreement will enable it to expand the Google Book program to include millions of copyrighted and out-of-print books, allow users to buy them and provide free access from U.S. libraries.

``The tremendous wealth of knowledge that lies within the books of the world will now be at their fingertips,'' Google co- founder Sergey Brin said today in a statement, calling the accord ``historic.''

Google's book search project, which began in 2004, works with Harvard University, the New York Public Library and other organizations to scan books. The company also works with about 10,000 publishers to digitize their books. In May, Microsoft Corp., the world's biggest software maker, ended a program that let Web users search through digital versions of books, ceding the market to Google.

Today's deal also includes a program to create a registry to compensate publishers and authors, Mountain View, California- based Google said in the statement. The settlement funds will be used to create the registry, provide compensation and cover legal fees, according to the company.

``The agreement creates an innovative framework for the use of copyrighted material in a rapidly digitizing world,'' Richard Sarnoff, chairman of the Association of American Publishers, said today in a statement.

The Author's Guild sued Google in September 2005, accusing it of using its technology and clout to infringe copyrights on a massive scale. The parties today filed a motion in Manhattan federal court to approve the settlement. Five members of the Association of American Publishers also sued in 2005.

The cases are The Author's Guild v. Google Inc., 05cv8136 and the McGraw-Hill Cos. v Google Inc., 05cv8881, both U.S. District Court for the Southern District of New York (Manhattan).

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