Microsoft loses patent case on Internet Explorer - GoFuckYourself.com

KRL · 08-11-2003, 07:32 PM

Patent biz is sweet $$$$!

Jury Orders Microsoft to Pay $520 Million

CHICAGO - A federal jury awarded a Chicago-based software company and the University of California more than $520 million in damages Monday after finding that Microsoft Corp.'s popular Internet Explorer browser infringed on a patent.

Microsoft attorney Andy Culbert said that the jury's finding would be appealed.

The jury could have awarded as much as $1.2 billion to the university and Eolas Technologies Inc. of Chicago.

"We are very satisfied," said Eolas attorney Martin R. Lueck. "It shows the jury system works. Patents need to be respected regardless of the size and the market power of the company involved."

Eolas, which is the Gaelic word for knowledge, is an acronym for "embedded objects linked across systems." The company was launched in 1994 to market technology that allows users to access interactive programs embedded in Web pages. Eolas chairman Michael Doyle along with two others developed the technology while at the University of California at San Francisco. Eolas owns the exclusive rights to market the technology, while the university owns the patent.

Eolas and the university say Microsoft made their technology part of Internet Explorer and bundled it with Windows.

Microsoft attorneys argued that the patent was invalid and said that in any case their client had never infringed on it. Microsoft said the patent described features the technology didn't deliver.

Eolas says the patent Microsoft was found to have infringed upon is the first browser system that allowed for the embedding of small interactive programs such as "plug-ins" or "applets," into World Wide Web documents. Such programs are central today to online commerce as they power everything from banner ads to interactive customer service.

The award was based on the jury's calculation that $1.47 per unit represented reasonable royalties for the 354 million copies of Windows sold from the time the patent was granted in November 1998 until September 2001.

Eolas and the university had been asking for $3.50 for each unit. The average price of Windows during the period was $61, attorneys said.

Attorneys said Eolas would receive the lion's share of any damages that are eventually paid, but declined to provide the specifics.

Microsoft faces more than 30 patent-infringement lawsuits, covering digital rights management, online video game software and other technologies.

Patent law says an idea must be considered useful, new and "non-obvious." But many software patents have been criticized in recent years as being overly broad and too obvious to warrant a patent.

Matt Rosoff, an analyst with independent research firm Directions on Microsoft, in Kirkland, Wash., said he was surprised by the verdict.

"This particular case was surprising," Rosoff said. "It seems like a very broad patent ... It seems to cover all browser technology that has been invented since 1994."

Microsoft shares rose 3 cents to close at $25.61 in trading Monday on the Nasdaq Stock Market.

SpaceAce · 08-11-2003, 07:38 PM

The key here is "... developed the technology...". I still wouldn't be surprised to see the verdict reduced or overturned on appeal.

SpaceAce

lEricPl · 08-11-2003, 07:49 PM

What crap.

'Idea' patents suck.

Marcus · 08-11-2003, 07:58 PM

Quote:

Originally posted by KRL

Jury Orders Microsoft to Pay $520 Million

How can they award $520 Million on a product that's given away for free?

goBigtime · 08-11-2003, 08:06 PM

Microsoft wont pay

OFFBEAT · 08-11-2003, 08:21 PM

Quote:

Originally posted by Marcus

How can they award $520 Million on a product that's given away for free?

Not the point. They infringed on Intellectual Property.

lEricPl · 08-11-2003, 08:22 PM

Quote:

Originally posted by OFFBEAT

Not the point. They infringed on Intellectual Property.

"This particular case was surprising," Rosoff said. "It seems like a very broad patent ... It seems to cover all browser technology that has been invented since 1994."

They won't pay.

Scootermuze · 08-11-2003, 08:34 PM

Quote:

Originally posted by Marcus

How can they award $520 Million on a product that's given away for free?

Because it is also part of the Windows OS package that isn't free..

VirtuMike · 08-12-2003, 07:09 AM

Yet another reason to invalidate all old patents and CLOSE THE FUCKING PATENT OFFICE.

08-11-2003, 07:32 PM	#1
KRL Entrepreneur Join Date: Oct 2002 Location: USA Posts: 31,429	Microsoft loses patent case on Internet Explorer Patent biz is sweet $$$$! Jury Orders Microsoft to Pay $520 Million CHICAGO - A federal jury awarded a Chicago-based software company and the University of California more than $520 million in damages Monday after finding that Microsoft Corp.'s popular Internet Explorer browser infringed on a patent. Microsoft attorney Andy Culbert said that the jury's finding would be appealed. The jury could have awarded as much as $1.2 billion to the university and Eolas Technologies Inc. of Chicago. "We are very satisfied," said Eolas attorney Martin R. Lueck. "It shows the jury system works. Patents need to be respected regardless of the size and the market power of the company involved." Eolas, which is the Gaelic word for knowledge, is an acronym for "embedded objects linked across systems." The company was launched in 1994 to market technology that allows users to access interactive programs embedded in Web pages. Eolas chairman Michael Doyle along with two others developed the technology while at the University of California at San Francisco. Eolas owns the exclusive rights to market the technology, while the university owns the patent. Eolas and the university say Microsoft made their technology part of Internet Explorer and bundled it with Windows. Microsoft attorneys argued that the patent was invalid and said that in any case their client had never infringed on it. Microsoft said the patent described features the technology didn't deliver. Eolas says the patent Microsoft was found to have infringed upon is the first browser system that allowed for the embedding of small interactive programs such as "plug-ins" or "applets," into World Wide Web documents. Such programs are central today to online commerce as they power everything from banner ads to interactive customer service. The award was based on the jury's calculation that $1.47 per unit represented reasonable royalties for the 354 million copies of Windows sold from the time the patent was granted in November 1998 until September 2001. Eolas and the university had been asking for $3.50 for each unit. The average price of Windows during the period was $61, attorneys said. Attorneys said Eolas would receive the lion's share of any damages that are eventually paid, but declined to provide the specifics. Microsoft faces more than 30 patent-infringement lawsuits, covering digital rights management, online video game software and other technologies. Patent law says an idea must be considered useful, new and "non-obvious." But many software patents have been criticized in recent years as being overly broad and too obvious to warrant a patent. Matt Rosoff, an analyst with independent research firm Directions on Microsoft, in Kirkland, Wash., said he was surprised by the verdict. "This particular case was surprising," Rosoff said. "It seems like a very broad patent ... It seems to cover all browser technology that has been invented since 1994." Microsoft shares rose 3 cents to close at $25.61 in trading Monday on the Nasdaq Stock Market. __________________ If you would like to develop your domains, you can lease inexpensive foreign labor from the leaders in the field at iWebmasters.com TO LOWER YOUR COSTS AND INCREASE YOUR PRODUCTION! * * * * * * * * * * * * Domains Adult News KRL's Newsletter Biz Tips Just Listed Domains

08-12-2003, 07:09 AM	#9
VirtuMike Confirmed User Join Date: May 2002 Location: Seat 1A Posts: 2,483	Yet another reason to invalidate all old patents and CLOSE THE FUCKING PATENT OFFICE. __________________ Host it in AMSTERDAM at EUROTIVITY! - We also offer BACKUP SERVICES! XYZZY4L

08-11-2003, 07:38 PM	#2
SpaceAce Confirmed User Join Date: Jul 2002 Location: Magrathea Posts: 6,493	The key here is "... developed the technology...". I still wouldn't be surprised to see the verdict reduced or overturned on appeal. SpaceAce

08-11-2003, 07:49 PM	#3
lEricPl Confirmed User Join Date: Dec 2002 Location: FL Posts: 1,062	What crap. 'Idea' patents suck.

08-11-2003, 08:06 PM	#5
goBigtime Confirmed User Join Date: Nov 2002 Posts: 7,761	Microsoft wont pay