From the New York Times:
Apple and Cisco Systems have decided that a name is not worth fighting over.
On Wednesday, the companies settled their dispute over the iPhone trademark. Six weeks ago, Cisco filed a lawsuit in federal court in San Francisco over Appleâ€™s planned use of the name for its much anticipated multimedia device, which combines the features of a mobile phone, an iPod and a BlackBerry.
Cisco claimed that it had owned the trademark since 2000 and was using it for a line of Internet-connected phones.
Wednesday night, in a short, ambiguously worded statement, the companies said they would dismiss all legal action against each other regarding the trademark and that Apple could use the name for its device, which it plans to start selling in June.