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IBM seeks $167M from Groupon in dispute over early internet patents

reuters.com

21–30 of 34 posts

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#22
post #3

You know a company is in its last legs when it turns to patent-trolling.

Generally patent trolling is claimed when a company has never used the patents themselves (a non-practicing entity). Here IBM and Sears, iirc, created Prodigy which was innovative technically on several fronts. They spent a lot of resources solving problems and they got patents on some of those solutions.

I think we risk legitimizing actual patent trolls by lumping them in with IBM's behavior in this case. That being said, I think the patent scheme is broken and "non-obvious" needs start meaning something again, not to mention that granting software (ed.) patents is so problematic.

SSO serves the same function as a credit rating or identity verification service has served for decades. I'd call that non-obvious (applying a concept in one domain to a new domain), even if it took some serious engineering to implement that functionality "on the internet". But I also haven't read the patent.

Another perspective on patents held by publicly traded companies is the perspective of the investors (admittedly an equally unpopular perspective). The person who invests in a company's stock knowing what IP that company holds has a legitimate interest in not letting those assets be devalued. With IBM, there's not a strong claim given that the licensing fees are rounding errors, but the principle is worth considering.

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#23
post #20
post #17

Earlier quoted context omitted.

IBM is hardly failing. They know how to litigate and have gotten far more money from litigation than it's cost them. If nothing else cases like this scare other people into paying licencing fees. So, fighting wounded companies like Groupon can be very useful.

What’s your definition of failing? https://finance.yahoo.com/chart/IBM#eyJpbnRlcnZhbCI6IndlZWsi...

My definition of "failing" certainly doesn't include companies that are still profitable, employ hundreds of thousands of people worldwide, have hardware in every Fortune 500 company's datacenter, and is the market leader in some high-growth fields.

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#24
post #3

You know a company is in its last legs when it turns to patent-trolling.

"Patent Troll: a company that obtains the rights to one or more patents in order to profit by means of licensing or litigation, rather than by producing its own goods or services."

While distasteful, this isn't patent trolling and it's not at all clear why you assert IBM is on its last legs.

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#25
post #20
post #17

Earlier quoted context omitted.

IBM is hardly failing. They know how to litigate and have gotten far more money from litigation than it's cost them. If nothing else cases like this scare other people into paying licencing fees. So, fighting wounded companies like Groupon can be very useful.

What’s your definition of failing? https://finance.yahoo.com/chart/IBM#eyJpbnRlcnZhbCI6IndlZWsi...

Thanks for reminding me how useful a site finance.yahoo is, if you take that graph back to 2005, IBM doesn't look that bad. You also see the precipitous fall Groupon had from its earliest days.

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#26
post #20
post #17

Earlier quoted context omitted.

IBM is hardly failing. They know how to litigate and have gotten far more money from litigation than it's cost them. If nothing else cases like this scare other people into paying licencing fees. So, fighting wounded companies like Groupon can be very useful.

What’s your definition of failing? https://finance.yahoo.com/chart/IBM#eyJpbnRlcnZhbCI6IndlZWsi...

Consistently losing money without massive growth, or a ~50% and growing drop in both revenue and profits, or failing to diversify as their only revenue sources goes away.

PS: Notice how none of the above mention stock price, there is a reason for that.

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#27

How could they patent SSO?

Or... How could they be trying to enforce a patent from the late 80's (if the article is correct)? Quite a lot of things don't add up here. I'd love to see some actual information here. Bloomberg's article has slightly more content: https://www.bloomberg.com/news/articles/2018-07-16/ibm-seeks... I'd really like to see what patents they are talking about, though... Found the actual suit: https://www.b2ipreport.com/wp-…

arstechnica.com article "IBM sues Groupon over 1990s patents related to Prodigy" [1] from March, 2016 includes some more details and links to 4 patents:

- US5796967 Method for presenting applications in an interactive service https://patents.google.com/patent/US5796967

- US7072849 Method for presenting advertising in an interactive service

- US5961601 Preserving state information in a continuing conversation between a client and server networked via a stateless protocol

- US7631346 Method and system for a runtime user account creation operation within a single-sign-on process in a federated computing environment

1. https://arstechnica.com/tech-policy/2016/03/ibm-sues-groupon...

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#28

Earlier quoted context omitted.

I won't bother to edit again. The SSO patent is here: http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=H... Filed in 2005 (on April Fool's day no less!) and published in 2006. It looks like the strongest of the 4 patents. The other ones look pretty weak to me. The first 2 (from 1989!!!) seem to be discussing displaying cached data on a monitor... I couldn't actually get much sense from it. The third one see…

If it’s from the late 80’s, how is the patent still enforceable? 20 years right?

...from the date of issuance. They're called "submarine" patents when the applicant intentionally delays issuance to get more years of life out of them.

https://www.google.com/search?q=submarine+patents

Re: IBM seeks $167M from Groupon in dispute over early internet patents

#29
post #3

You know a company is in its last legs when it turns to patent-trolling.

This is one of the oldest companies in existence. It is hardly on its last legs. Also, patents are a huge revenue stream at IBM. Always have been. However, that merely makes them the original patent troll. :)

> This is one of the oldest companies in existence

One of the oldest tech companies.

There are many hundreds of companies that have been around longer than the United States.

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