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Microsoft Nailed by Software Patent

An anonymous reader writes "It was just announced that Microsoft lost the case where it was accused of violating Eolas' patent on embedded applications in the Internet Explorer browser. They have been fined $521 million in damages."

26 of 668 comments (clear)

  1. Re:Another Reason? by weeeee · · Score: 4, Insightful

    Don't almost all browsers use plug-ins? This could be bad for Mozilla as well.

  2. hmmm by Coneasfast · · Score: 5, Insightful

    Patents on the simple idea of plug-ins and applets? This seems almost as ridiculous as the amazon patent on one click purchasing.

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  3. Hard to know what to feel. by MikeFM · · Score: 5, Insightful

    I dislike Microsoft but I still don't see that this helps the development community or users at all. Software patents are stupid and a bad idea.. even when being used against that monopoly we love to hate. Anyone with an interest in the freedom of developers to develop what they want and the freedom of users to choose the best product for their needs can't see this as anything but a loss.

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  4. Re:Im so confused!!!!!! by mpthompson · · Score: 4, Insightful

    Microsoft = bad
    Patents = bad

    So is this good?

    I forget where, but it has been said that two wrongs don't make a right, just even.

  5. Re:Great! by Mr.+Troll · · Score: 5, Insightful

    Yeah, just some other no name company sitting on a patent waiting for someone to do something with it......then skimming profits.....this is the kind of things that killlllls delelopment

    Patent whores who just sit around and WAIT for someone to sue.....heaven FORBID they actuall DO anything with their patent.....no, just sit and wait...just like SCO....just like those creeps who screwed EBAY....THIS is the problem with the web today

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  6. Before you start bitching about slashdot users... by Dalroth · · Score: 5, Insightful

    Before you start bitching about Slashdot user's being hypocrites, keep in mind that Slashdot is a community filled with 1000's of a users who all have very different opinions on everything.

    I do not support this ruling, because I do not support patents in any way shape or form. That does not mean the Slashdot community as a whole feels the same.

    In fact, it's very hard to determine just what it is the Slashdot community DOES believe, because more often than not it's the negativity that makes it through the ranking system more than anything else.

    Some people will call this a great victory for Open Source. I don't. I think it's a travesty, but that's my opinion and mine alone. Other's may or may not agree, but please don't let one person's opinion spoil your view of the entire community.

    Bryan

  7. Bad precedent by Eloquence · · Score: 5, Insightful
    Software patents being enforced are always a bad precedent, no matter against whom. Hopefully, big corporations will wake up to the patent scam, which primarily benefits lawyers and idea pirates. Innovation does not come from patents, according to Cisco's VP of "Intellectual Property". He stated in an interview:

    Patents don't stimulate innovation, they capture and protect innovation. My experience at Cisco is that the ability to get patents is not what inspires new developments. Instead, competition has been the major stimulus of innovation at Cisco. Our engineering teams are motivated by the desire to quickly turn their ideas into products and services that customers want, solutions that will help our customers improve their productivity. They don't ask "can we patent this?" before deciding whether to create new solutions.

    In order to "capture and protect" innovation, companies register more and more patents each year, often just to prevent others from suing them. But some companies register patents for the sole purpose of engaging in legal warfare -- a risky gamble with potentially huge prizes.

    The biggest danger inherent in software patents is to free software. Megacorporations can easily collect thousands of patents on trivial processes to use against open source programmers who have little means to defend themselves. Wait for Microsoft and others to attack on this front -- that would be nice extra FUD fodder with all the SCO crap going on right now. To ignore software patents as Linus Torvalds does is the wrong approach. They must be eliminated entirely.

  8. And Java applets in Navigator are not prior art? by notAyank · · Score: 5, Insightful
    Can somebody explain this to me? How can this patent exist when in 1998 there were applets / plugins running inside Netscape Navigator doing all the things the patented method does:
    1. They were embedded in the "hypermedia" document
    2. They could communicate with the browser
    3. They could communicate with the server (at least by using sockets and datagrams)
    4. By doing this they were "providing the user of the client computer with interactive features and allowing the user to have access to greater computing power than may be available at the user's client computer."
    Sorry, but I think MS should be in the clear here.
  9. Re:So Eolas invented COM and ActiveX by shird · · Score: 4, Insightful

    If you have a read of the patent, youll agree it is one of those broad catch all going to try milk this later type of patents.... I also think that if they could get money out of MS, then Netscape, shockwave, ICQ, and many others are all to come.

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  10. Re:And Java applets in Navigator are not prior art by Chris+Parrinello · · Score: 4, Insightful

    Umm... the patent was filed in 1994 before Mosaic or event Netscape had plugins?

  11. Re:Peanuts by TopShelf · · Score: 5, Insightful

    I'm assuming this is a troll, but I'll bite anyway - layoffs occur when structural changes are made to a business. Nobody sees a tangible difference in how Microsoft would do business as a result of this. They'll probably just tie this up in appeals for the next several years anyway, ensuring happy employment for lots of hard-working, blue collar lawyer types...

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  12. patent warchests by mitomac · · Score: 5, Insightful

    IBM, Microsoft, Apple all have giant patent portfolios. When a small company like Eolas can nail microsoft for a patent violation it does not bode well for linux. If IBM can b*tch slap SCO with patent violations regarding hierarchial graphical menus. What is to stop them or any other patent hoarder from making the same claim against linux? Currently, these companies refrain from suing each other because they know the other company likely has patents they are violating...But what ace in the hole patents does linux have up its sleeve?

    mitomac

  13. What if this happened to Mozilla and friends? by raw-sewage · · Score: 5, Insightful
    As much as I like to see Microsoft get slammed, it scares me to think what might happen if these patent-enforcement lawsuits were directed at the open source community. I didn't bother to actually research the details of that patent referenced in this case, but what if Mozilla or Konqueror or another open source browser infringes on the same patent?

    Microsoft is a nice target for lawsuits: they're big, visible and have lots of money. However, what if an open source browser had a more significant market share? Wouldn't that same patent-portfolio group come demanding royalties?

    This is a more general concern that scares me; it may be tested by the SCO-IBM case(s). Say a company patents some software technology. What if the developers working on that code go home at night and use the same concepts in some open source projects? I emphasize concepts because the developers are smart enough not to copy code, but a patent covers an idea, not a specific implementation.

    A lot of this paranoia comes from my co-worker, who is pro-Microsoft and very much anti-open source. He is absolutely convinced that open source is communism, and that it clashes with capitalism. He loves to suggest the above scenario and predict that the GPL will ultimately fail in court...

    ...because it blocks someone's right to profit. Not only can you not get anything for free in the U.S., but it's getting to the point where you can't give anything away!

    Finally, back to Microsoft: don't they have over $40 billion in cash? So $500 million is 1/80th of $40 billion. That's like having $400 and being fined $5. Oh, that hurts. Is anyone here an accountant? How much of that gets written off in taxes? It's really a joke, in my mind.

    Of course I don't know the details of the case, but $500 million seems weak. Microsoft has said that IE is now a critical part of Windows. Windows and Office are the only two sources of revenue for Microsoft... doesn't that somehow make IE a critical part of their income stream? And they only got fined five bucks for it?

  14. This is very very bad by deanj · · Score: 5, Insightful

    I've been following the Eolas lawsuit for a long time now, and this is bad folks.

    They basically have a patent on any embedded technology in a browser. A lot of people have looked into this, and so far have come up with nothing. The earliest "application" in a browser technology I'm aware of is Vosaic, but I can't get ahold of anything that shows what date that was originally set up.

    This screws Flash, Java applets, and all kinds of other things. Watch for more lawsuits in the future.

  15. Cringely mentioned this case about a year ago... by puppet10 · · Score: 4, Insightful

    In this article.

    One interesting thing not mentioned in the Rueter's report but expounded upon in detail in the pre-decision Cringely article is that winning this lawsuit may allow Eolas to prevent Microsoft fom any infringing behavior through a court injunction -- ie. they can't use the technology covered under the patent upheld by the court at any price if Eolas decides to do that (since by holding the patent they are not required to license the right to use it to anyone). And they may decide to sell to someone other than Microsoft exclusively the rights to develop software including the patented methods.

    This is one of the places software patents are really bad (though in Microsoft's case its a bit of being hoist by their own petard), the exclusivity without compulsory licensing allows Eolas (or any other company with a patented process/method/device) to use their patent as a club to force Microsoft (or anyone else) to do whatever Eolas wants if they need/want to license the patented technology.

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  16. This is wrong - forget who by gsfprez · · Score: 4, Insightful

    I don't care if its Microsoft, SCO, or Linus "Himself" - software patents are bad. Micro Soft is wrong in a great many things... but they should not have to defend themselves against "(obvious idea) over the internet" patents or any other silly patents. No one should.

    like Dennis Miller said, "Why hate someone (for something irrelevant) when, if you take the time to get to know them ..., you can find so many other things to hate them for?"

    be upset and angry at Microsoft for the things they do, not for those things that are not fair.

    --
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  17. One can only dream... by kcbrown · · Score: 5, Insightful
    As far as I know, Microsoft hasn't ever actually started a patent infringement suit against anyone (examples to the contrary welcome, of course).

    That being the case, and given the fact that they lost this lawsuit, there are a number of things that could happen:

    1. Microsoft could just pay up and otherwise leave things alone, chalking this up to the cost of "doing business".
    2. Microsoft could appeal this all the way to the Supreme Court.
    3. Microsoft could push for some type of legislation to reduce the risk of a repeat performance.
    4. Microsoft could buy the company that hit them with this suit, along with other similar companies, and then start suing others through their newly-acquired companies.

    The interesting question is: which of the above would represent the best thing for the free software community, and how likely is it to happen?

    Things obviously don't get any better initially if they cave, though the long-term consequences might be of benefit (if they cave and just pay, then other patent-holding companies will be very much encouraged by that and we'll probably end up seeing many more such suits by such companies, and eventually the big corps will Do Something about the problem, though I suspect the end result will benefit only them and not us).

    If Microsoft appeals to the Supreme Court, they can only do so if they have some sort of Constitutional argument. That's not as far-fetched as it sounds, because they can very legitimately question whether or not the patent in question and others like it meets the intent of the clause in the Constitution upon which patent law itself is based. If it weren't for the fact that Microsoft hates to lose and generally tries to win at all costs, I would totally dismiss this as a possibility.

    If Microsoft pushes for some sort of legislation, the natural question is what that legislation would look like. My cynical outlook forces me to think that the resulting legislation would somehow raise the barrier of entry for either acquiring a patent or prosecuting a patent so high that only megacorps like Microsoft would be able to participate. Problem solved, along with the problems of these pesky little IP companies and free software types.

    Finally, Microsoft could buy the company in question out, but that might be the same thing as IBM buying SCO out as far as end results go, with the end result being that every little upstart IP company will be suing the likes of Microsoft in order to get bought out. If Microsoft has a big enough patent portfolio, then they really don't need to do this and thus probably won't.

    I'll bet Eolas is going to get lots of visits from the BSA from now on...

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  18. Re:Great News by mOdQuArK! · · Score: 4, Insightful
    Because, my friends, Microsoft is now going to spends billions to kill the current patent system.

    No, they'll just pay to help put caps on jury-awards. That way they can still use the patent laws to bankrupt/stifle small companies/open source advocates who might be competition, but not worry about being put out of business because they ran roughshod over someone else's patent.

  19. So is this good, or... by Trogre · · Score: 4, Insightful

    After thinking a bit, this has to be bad. Microsoft is being sued for infringing on a trivial patent that shoud never have been granted in the first place.

    Of course Microsoft fully deserves to go down for their illegal actions over the last two decades, but I think they need to go down for the right reasons.

    Not because some schmuck wants to collect royalties he doesn't deserve.

    --
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  20. Re:So Eolas invented COM and ActiveX by mrseigen · · Score: 4, Insightful

    This is definitely one of these patents invented by marketing/business weasels in order to try and grab as much revenue as possible.

    It's really sad -- the PTO appears to be set up to reward idiots who patent a really simple (but hard to implement) idea and then demand royalties from whoever does actually implement it. There needs to be a big overhaul.

  21. Software patents are vile. by Vicegrip · · Score: 4, Insightful

    Microsoft getting fined this way doesn't turn my crank at all. Also, I'm beginning to wonder why they allow jury trials for issues that are as technically complexe as this, nevermind allowing patents on processes and software in the first place...

    This is as stupid a patent as they come: what's a plugin or an applet? Fundamentally it is all in the same family of idea as of linked libraries-- bloody fundamental to every piece of software out there -- except that in this case the software is dynamically downloaded by a browser and then executed within the security context of the browser.

    521 million? I'm all for roasting Microsoft when they deserve it, but this is nothing they should have to pay for. Next thing you know Mozilla will get into trouble for having downloadable theme plugins.

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  22. Amazing grace indeed.. by Steeltoe · · Score: 4, Insightful

    IT DOESN'T MATTER what their "intentions" are.. This case clearly shows how silly software patent-laws are. With guns and sanctions they dictate who can use what technology, because someone were "first". Come on! Most of us stopped such silliness in the kindergarden.

    What makes this a rather ironical and humorous case though, is the target - behemot Microsoft. It'll probably be overruled in the next run, but nobody is safe with such laws. Who's going to risk developing stuff when you're sued left and right before you even know somebody filed a patent for it while you RDed? This can potentially kill off alot of inventing. Without somebody with lots of money backing you up, it's a risky business.. Which is what the big corporations want anyways, so maybe Microsoft will settle this one in the end..

    It's not amazing at all really, it's Astounding.

  23. Re:MBA on Microsoft by Tingler · · Score: 4, Insightful

    Think like that, and you'll practically be in Bill's head.

    Bill's head, in my opinion has already left. He is looking for greener pastures. He had 651,749,300 shares of MSFT stock on or around November 1st, 2001. He currently has 172,612,893 shares as of 8/5/03. He knows that if he sells any faster, the media will catch on, as they did when Mr. Balmer unloaded around 12 million shares around the 5/30/03.
    Follow the money. The smart money is leaving Microsoft.

    link

  24. Re:Another Reason? by xyvimur · · Score: 4, Insightful

    ``I'm sure you meant "IE is available free of charge".''

    No it is not - it is integrated with one of the OS'es. And to get IE you have to buy that OS.

  25. Re:It's amazing.. by Halo1 · · Score: 4, Insightful
    Certainly free software was reasonably safe from such suits because there would be no money to be had from such a suit.
    And now that big companies like IBM and Red Hat are playing the Free software game, that will probably change soon enough.
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  26. Re:It's amazing.. by RajivSLK · · Score: 4, Insightful

    It's not an odd view at all. It's reality. I know on slashdot everyone pulls prior out of their ass but that's not how things happen in real life.

    I know because I own a software company and we have had many patent issues come up in the past. They are insidious evil and retarted. Using defensive patents is the preferred action.

    Take a look at Redhat's stance on software patents. Redhat has a considerable number of patents; all of them used for defensive (i.e. Cross licensing) purposes.