Straumann has decided not to explore a potential scanner collaboration with Align Technology that was discussed in connection with the patent settlement agreement announced by the two companies in March. As a result, Straumann will pay Align an additional $16 million in lieu of the development and distribution agreement.
The settlement ended longstanding patent disputes in the United States, United Kingdom, and Brazil including those involving ClearCorrect, a Straumann subsidiary. As part of the settlement, the companies signed a nonbinding letter of intent for a five-year global development and distribution agreement where Straumann would distribute 5,000 iTero Element scanners that would be fully integrated into the Straumann/Dental Wings CARES/DWOS workflow.
The parties also considered exploring the possibility of offering existing iTero users access to Straumann’s prosthetic and surgical planning workflows. Straumann committed to paying Align an additional $16 million if the companies failed to enter the potential development and distribution agreement.
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