Microsoft will have to rename its cloud storage service currently known as SkyDrive, following a ruling in the English High Court that found it infringed on BSkyB’s trademarked name.

In June, High Court Judge Mrs Justice Asplin sided with Sky that Microsoft’s use of SkyDrive infringed upon the company’s rights in the ‘Sky’ mark. Microsoft said at the time that it would appeal the decision.

However, rather than continue with its planned appeal, Microsoft has agreed to drop it in exchange for temporary continued use of the name SkyDrive. Just how long it can continue to use it is unknown at this stage.

“We are pleased to have reached a settlement after Microsoft agreed not to appeal the trade mark infringement judgment in relation to its SkyDrive service. We will remain vigilant in protecting the Sky brand and will continue to take appropriate action against those companies who seek to use our trade mark without consent,” Sky said.

Meanwhile, a statement from Microsoft tried to shrug off the blow in as dignified a way as possible:

“We’re glad to have resolution of this naming dispute, and will continue to deliver the great service our hundreds of millions of customers expect, providing the best way to always have your files with you.”

While the name of Microsoft’s SkyDrive will likely not be the make or break factor in its success and adoption, having to rebrand the service after it had already made strides in attracting users to the platform is likely a bit of a kick in the teeth.

It’s even more embarrassing than anything else, given that Sky’s track record shows that its not scared to go to court to protect its branding. Just take the case of Livescribe, for example. It also follows other missteps from Microsoft in naming other products or features it offers, such as its formerly-named ‘Metro’ interface, a name that the German firm Metro AG owns.

There’s no suggestion as to what the new name will be, but a spokeswoman for Microsoft told The Next Web that the “scope of the changes won’t be limited to one specific region”, so it’ll be a new name for all regions.

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