YES — i think they should just settle. The Bible says – settle your disputes on the steps of the court house. Of course, its not always possible.
Too much litigation stifles technology progress. Microsoft was able to make deals with several Android phone makers who inappropriately borrowed their technology — Apple would be wise to do the same.
Now that Steve Jobs has passed – Apple has a less emotional man at the top. He would be wise to follow suit with Microsoft – and not seek further law-suits.
Even after Apple and these companies settle – there will STILL be a big difference between Apple and Android phones — enough difference to give people a choice as to what they prefer.