Dallas-based USA Video (
http://www.usvo.com/) could prove to be a huge pain.
The company received a patent in 1992 for technology that delivers video on demand. USA Video didn't do anything with the patent immediately, waiting for technology to take off. Now that it has, the company wants video-on-demand providers -- starting with Movielink, a joint venture between five major studios -- to pony up the licensing fees.
Video on demand isn't limited to box-office hits. Sports highlights, music videos and movie trailers are staples on numerous websites. Huffman said USA Video wants a licensing fee based on use, which means companies would pay it each time somebody watches a video clip.
http://www.wired.com/news/digiwood/0,1412,55026,00.html