Microsoft and Olympus have signed a broad patent cross-licensing agreement to further the development of each other's product lines.

The companies said that the collaboration will promote the exchange of information and incorporation of patented technologies into numerous consumer electronics products, particularly those that involve digital imaging technologies.

"This intellectual property licensing agreement will foster innovation and ultimately benefit customers and consumers," said Horacio Gutierrez, vice president of intellectual property and licensing at Microsoft.

"We have an extensive global patent portfolio that can benefit companies that sell digital cameras, digital imaging technologies and consumer electronics products."

Koji Koda, division manager of intellectual property and licensing at Olympus, added: "This cross-licence agreement will enable Microsoft and Olympus to intensify R&D in digital imaging technologies.

"The experience and patent portfolio that Microsoft and Olympus hold in digital imaging technologies will make the collaboration even greater. This will benefit consumers long term and help drive industry growth."

Microsoft launched its intellectual property licensing programme in December 2003 and has entered into more than 200 agreements.

Financial terms of the Olympus deal were not disclosed.