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Altnet Sues Record Industry Over File Hash Patents

robochan writes "In a charming twist of fate, CNET is reporting that Altnet, a company that sells music and other digital goods through file-swapping services, is suing the RIAA for alleged patent infringement. Altnet CEO Kevin Bermeister stated, 'We cannot stand by and allow them to erode our business opportunity by the wholesale infringement of our rights.' Goodness, that sounds all too familiar..."

34 of 283 comments (clear)

  1. New business model, buy patents and sue. by garcia · · Score: 5, Insightful

    In the summer of 2003, it announced that it had purchased patent rights to the process of identifying files on a peer-to-peer network using a "hash," or digital fingerprint based on the contents of the file.

    Altnet and Brilliant Digital Entertainment are joint venture partners with Sharman Networks, the Australian company that owns the Kazaa software.


    So a network that is well known for trading files that probably shouldn't be traded for free buys a patent and tries to sell the services to a group that wants nothing to do with P2P. Then when the group that wants nothing to do with them ignores them they turn around and sue them. Sounds like another company that has been in tech-news recently.

    1. Re:New business model, buy patents and sue. by LnxAddct · · Score: 5, Interesting

      But this is could be very bad for us. They essentially patented using hashes for file identification. This is used everywhere, if they win we lose, and if they lose we lose, nothing to be happy about here. I mean rsync heavily relies on hashes, as well as a number of other applications.
      Regards,
      Steve

    2. Re:New business model, buy patents and sue. by canajin56 · · Score: 5, Insightful

      At first I wanted to diagree, as the article says it is a patent on hashing files on peer to peer networks. However, Halo1 was kind enough to track down the patent in question and it shows that the patent, is, in fact, on hashing in general. In fact, it would most likely apply to a simple hash table. They basically define the concept of the function being deterministic, and collision resistant, but in lawyer speak.

      The run down on what they are patenting is, creating a unique identifier for any file, that is signifigantly smaller than the file, and where there is low probability of being able to find a collision. This identifier is only based on the data, not the file name or creation date. And it can be used to determine if one has the file, simply by comparing it to a list of known identifiers. Sounds an awful lot like a general description of any hashing scheme.

      However, the good news is that was filed in October 1997. I'm pretty sure that somebody thought of using hashes to keep track of files, whther over a network or locally, well before 1997.

      Of course, many of these silly patent problems would be no problem to beat in court. However, the system doesn't work that way, and these people could make a lot of money by settling with people who can't afford a lawyer. The good news is they went after the RIAA, who has lots of money and lawyers. Expect a quick defeat and patent invalidation.

      --
      ASCII stupid question, get a stupid ANSI
    3. Re:New business model, buy patents and sue. by Mordaximus · · Score: 4, Funny
      They essentially patented using hashes for file identification.

      Silly buggers. They would have made alot more money patenting filenames for file identification!

  2. Revenge by HackHackBoom · · Score: 5, Funny

    Is a dish best served cold..

    What goes around, comes around..

    Oh to hell with this, Lets just get out some pitch forks and torches!

    --


    "It's not stealing if you don't get caught!"

    1. Re:Revenge by Daleks · · Score: 4, Insightful

      So patents are great when they're used against organizations you don't like, but they're evil when they're used to squash innovation? You can't have it both ways.

    2. Re:Revenge by HackHackBoom · · Score: 4, Insightful

      No, in a perfect world you can't. You're right that I and many others are being hypocritical about this.

      I replied to a similiar comment in another thread, but I want to add this here as well: The patent system is so screwed up by lawyers that we're stuck using whatever tools we have to fight. If that means using the other edge of the sword on the RIAA, then so be it.

      --


      "It's not stealing if you don't get caught!"

    3. Re:Revenge by Kierthos · · Score: 5, Funny

      Yes we can. We're hypocrites.

      Kierthos

      --
      Mr. Hu is not a ninja.
    4. Re:Revenge by csteinle · · Score: 5, Funny
      So patents are great when they're used against organizations you don't like, but they're evil when they're used to squash innovation? You can't have it both ways.

      True. But you can enjoy the delicious irony.
  3. so i suppose by Triumph+The+Insult+C · · Score: 5, Funny

    that patents are good now? today is thursday, so i'm not sure which way i'm supposed to go on that ...

    --
    vodka, straight up, thank you!
    1. Re:so i suppose by drinkypoo · · Score: 4, Funny

      Just because patents are bad doesn't mean we can't cackle with glee. It's always fun to watch bad things happen to bad people. We get so few opportunities to witness karma at work...

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    2. Re:so i suppose by MuMart · · Score: 5, Funny
      MATHEMATICIANS

      Converge FASTER with Altnet(tm) NEWTON'S-METHOD EXTREEEME (tm)

      Do not perform illegal mathematics. Contact Altnet for pricing information. Student rates available.

  4. Who to support? by Frankie70 · · Score: 4, Funny

    Patents - Bad.
    But the recording industry also Bad.

    Who do we support in this discussion?

    1. Re:Who to support? by radarsat1 · · Score: 4, Insightful
      it's an easy misconception that patents are "bad"

      however, patents are not bad. patents, in their most basic and innocent form, are supposed to protect the rights of inventors so they can make a profit on their hard work. nothing wrong there.

      what's "bad" is patent ABUSE. like companies that patent things that they'll never use, just in case someone uses it, so they can sue them. Patents should not be made with the intent to sue or collect license fees. Patents should be made so that a decent product can be funded and sold at a practical price.

      So in the end, capitalism falls for the same reason as communism: People who take advantage of the system. Too bad the world is full of assholes.

    2. Re:Who to support? by gcaseye6677 · · Score: 4, Interesting

      Exactly. This couldn't have happened to a more deserving group of people. You know what they say, those who live by the sword die by the sword.

    3. Re:Who to support? by argent · · Score: 5, Informative

      it's an easy misconception that patents are "bad"

      It's an easy misconception that the anti-software-patent sentiment is based on the idea that patents are bad. The problem isn't that patents are bad, or that people are taking advantage of the system, it's that the system is currently misbalanced:

      1. Patents last too long. This is a general problem with IP law these days.

      2. Patents are too easy to get. That is a particular problem with software. The nature of software in particular is such that any non-trivial program involves thousands of processes, any of which can be patented, and it's more-or-less impossible for a developer to even know if he's infringing when people can patent things like using the "tab" key to move between fields in a form.

      In the end, the problem is a broken system that doesn't need to be broken.

    4. Re:Who to support? by bob_jenkins · · Score: 5, Informative

      This is a patent on identifying files by their hash. Checking Google, I see Lamport using cryptographic checksums (which are hashes used to identify files) in 1981. +20 years = 2001. The patent's either invalid, or it isn't as simple as identifying files by a hash.

  5. If only... by Anonymous Coward · · Score: 5, Funny

    both of them could lose...

  6. Good.. by artlu · · Score: 4, Funny

    At least someone is trying to make the RIAA feel the same way that a 14 year old kid does when he/she gets served with a subpoena.

    gShares.net

    --
    -------
    artlu.net
  7. Article text for your convenience by Karma+Troll · · Score: 5, Informative

    Altnet, a company that sells music and other digital goods through file-swapping services, sued the Recording Industry Association of America on Wednesday for alleged patent infringement.

    The company, a subsidiary of Brilliant Digital Entertainment, contends that the RIAA has been infringing on one of its patents in the course of copyright enforcement efforts inside peer-to-peer networks. Overpeer, a copyright company owned by Loudeye, and MediaDefender, also are named in the lawsuit.

    "We've exhausted every means of trying to work with these defendants and those they represent to patiently encourage and positively develop the P2P distribution channel," said Altnet Chief Executive Officer Kevin Bermeister in a statement. "We cannot stand by and allow them to erode our business opportunity by the wholesale infringement of our rights."

    He added, "Think about your breathing."

    The patent infringement suit comes as one of the sideshows in an ongoing legal battle over peer-to-peer networks that has led to piracy charges against technology companies and antitrust claims against record companies, and that now appears to be headed ultimately to Congress for resolution.

    Altnet and Brilliant Digital Entertainment are joint venture partners with Sharman Networks, the Australian company that owns the Kazaa software. The company has been trying for several years to persuade record labels and music studios to allow Altnet to sell authorized versions of their products through the Kazaa file-swapping network.

    The big entertainment companies have unanimously said no, however. They've lost recent court battles that aimed to put companies like Sharman out of business, but are now seeking legislation that would revive their claims against file-swapping ventures.

    Altnet has also been seeking other funding sources and ways to strike back at the record labels' efforts to undermine peer-to-peer networks.

    In the summer of 2003, it announced that it had purchased patent rights to the process of identifying files on a peer-to-peer network using a "hash," or digital fingerprint based on the contents of the file.

    Initially, Bermeister indicated the company would approach other file-swapping companies to sign them up for licenses. That proved controversial, but Altnet did send cease-and-desist letters last November to nine companies engaged in businesses related to peer-to-peer networks.

    Some of these, such as data collection company Big Champagne, said they weren't using any technology that would infringe on the Altnet patent. An attorney for Altnet said the disputes with most of the nine had been resolved.

    Altnet's lawsuit says that antipiracy companies Overpeer and MediaDefender are still on the hook, however. Overpeer is a "spoofing" company that posts millions of false or corrupted files on networks such as Kazaa, trying to make real files harder to find. Media Defender uses "interdiction" techniques, which essentially clog networks with requests that block real download efforts.

    Both of these services use unauthorized versions of Kazaa and the underlying FastTrack peer-to-peer technology, and so are using Altnet's patent without permission,

  8. Disgusting abuse of patent law by mindaktiviti · · Score: 5, Funny

    This is an outrage! The RIAA is a great group of do-gooders and this company decides to sue them for patent infringement!? This patent system is getting out of ha...oh wait.

  9. What is the patent? by Anonymous Coward · · Score: 4, Interesting

    Anyone know what exactly they're patenting? I'm sure someone else had invented the concept of identifying a file by its hash before them.

  10. How ironic by lothar97 · · Score: 4, Insightful
    That the RIAA is being sued over seeding Kazaa with fake files.

    I don't think this is a matter of "buy patents then make money" as some may argue. They had their p2p network, and the RIAA was flooding them with bogus files to trick users. They purchased a technology that complimented their needs (e.g. weeding out the fake files and helping people find legit files), and now they're pulling the old "thou shalt not reverse engineer" argument.

    If we replaced "Altnet" with "Microsoft" or another /. target, I imagine this discussion would get quite angry. I imagine we'll have a lot of "way to go!" comments this time around- we're all hypocrites!

    --

  11. Can someone clarify... by DownWithTheMan · · Score: 5, Interesting

    "Altnet's lawsuit says that antipiracy companies Overpeer and MediaDefender are still on the hook, however. Overpeer is a "spoofing" company that posts millions of false or corrupted files on networks such as Kazaa, trying to make real files harder to find. Media Defender uses "interdiction" techniques, which essentially clog networks with requests that block real download efforts." The interdiction method they speak of... Is it essentially a DoS on the p2p networks? If so, that's a lot of crow the RIAA is going to have to force down if they lose their lawsuits...

  12. Too bad the file hash isn't encrypted... by denis-The-menace · · Score: 4, Insightful

    Then Altnet could use the DMCA against the RIAA.
    Now that would REAL sweet revenge.

    --
    Obama's legacy: (N)othing (S)ecure (A)nywhere and (T)error (S)imulation (A)dministration
  13. Re:If only both of the could lose... by ColdWetDog · · Score: 5, Insightful

    They will, only the lawyers will be the real winners.

    --
    Faster! Faster! Faster would be better!
  14. It's a win-win scenario if it goes to trial. by argent · · Score: 4, Interesting

    Altnet wins: RIAA loses. That's a win, and there's the potential of a double-win, if the IP Police respond by trying to put a finger-guard on the patent buzzsaw.

    Altnet loses: legal precedents that blunt the software patent buzzsaw are all to the good.

    The worst-case scenario is Altnet and tha RIAA coming to a settlement.

  15. Patent is #5,978,791 by thpr · · Score: 4, Informative
    The patent at issue is most likely patent # 5,978,791

    There is also historical info on this being licensed to Sharman Networks.

  16. Actually, this is an old business model. by WindBourne · · Score: 4, Insightful

    the problem is that we are granting patents on all sorts of ideas that have loads of prior arts. Until we up the pay in the patent office and address the real problems these will continue.

    --
    I prefer the "u" in honour as it seems to be missing these days.
    1. Re:Actually, this is an old business model. by ratamacue · · Score: 4, Funny
      Until we up the pay in the patent office and address the real problems these will continue

      That's classic. When government fails, reward them with more revenue. You'd make a great politician.

    2. Re:Actually, this is an old business model. by phearlez · · Score: 5, Insightful

      Why do the same clowns who defend CEO pay by saying "That's the salary required to attract qualified candidates!" suddenly forget that standard when we talk about making civil service jobs competitive with the private sector?

      --
      Bad management trumps ideology - Show the world you want better leadership. http://www.timefornewmanagement.com
  17. Oh its all so confusing! by popo · · Score: 4, Funny


    Patents are really screwing up the world.

    But wait... the music industry is a big overgrown evil empire.

    Who's side should I be on... let's see... "the enemy of my enemy..." ... no that doesn't help...

    Wait... I know:

    I blame Microsoft!

    --
    ------ The best brain training is now totally free : )
  18. Signs You're About to Receive an RIAA Subpoena.... by pentium69 · · Score: 5, Funny


    You wake up to find a bloodied hard drive under the covers.

    You seem to be getting a lot of traffic from fbi_d00d.

    That ain't the Publisher's Clearinghouse van in front of your house.

    Lately the only music files you can find have names like You'reNextGeekBoy.mp3.

    You try to download Send Lawyers, Guns and Money but all you get is I Fought the Law and the Law Won.

    Amazon.com recommends you purchase an attorney to go along with the 100 GB hard drive you just ordered.

    Maybe mp3.riaa.com wasn't really an anonymous server after all?

    Metallica and Court TV are both camped out in your driveway.

    --
    Mystika
  19. Is it really hypocrisy? by jackrd · · Score: 5, Insightful

    Is it really hypocritical to be glad to see something like this happen?

    It seems like making use of unjust laws is one of the best ways to bring to light their injustice. Think about the laws against blacks riding in the front of the bus. I'm sure many people were happy to hear about the first black person to get arrested for riding in the front a bus. They weren't happy because that person was in jail, but happy because it was a step in the direction of exposing the unjust law that jailed them.

    I'm not "rooting for altnet" nor am I "on the side of the RIAA." Things just aren't that simple. But I'm happy that this happened, I hope the patent gets tossed out, and I hope (and I know this is stretching things) that maybe it's another step in the direction of industry (and the public) realizing that the patenting system as it is now is flawed.

    And I'll consider any challenge to the RIAA's current behaviour a move in the right direction; even if I think that challenge is silly and hope that it gets tossed out. Maybe it'll inspire more, and more appropriate, challenges in the future.