Cisco Systems, Inc. (NASDAQ: CSCO) and Apple, Inc. (AAPL) said they have decided to set aside legal hostilities, with both companies now free to use the 'iPhone' trademark worldwide.

In a statement released Wednesday, the companies said they both acknowledge the trademark ownership rights that have been granted and will explore opportunities for 'interoperability' in the areas of security, and consumer and enterprise communications.

The companies said other terms of the agreement were confidential.

Apple's iPhone communications device was well received by the technology industry and public alike when it was released in early January. It was lauded for its unique styling and functionality. However, the product release was made without a formal agreement between the firms.

Cisco, which specializes in computer network hardware, had registered the trademark in 2000 and had already released Internet phones bearing the iPhone name.

In the months prior to the products release, Cisco and Apple had been negotiating over the trademark.

In the days following the Apple announcement, Cisco filed a lawsuit against the firm, asking a judge to forbid the it from using iPhone name, saying that Apple's device was deceptively and confusingly similar to Cisco's.

By mid-February, however, the companies renewed talks, extending their deadline until Thursday evening.

Electronics ITunes Cisco Systems Apple inc.