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Microsoft, Autodesk Guilty of Patent Infringement

rfunches writes "A Texas jury has awarded $133 million in damages to David Colvin, after finding Microsoft and Autodesk guilty of infringing upon Colvin's two software patents for software antipiracy protection. Colvin's company, z4 Technologies Inc., filed patents for 'passwords and codes assigned to individual software copies to prevent unauthorized copies.' Microsoft was ordered to pay $115 million, and Autodesk $18 million for infringement of the product-activation schemes. A spokesman from Microsoft contends that 'Microsoft developed its own product-activation technologies well before z4 Technologies filed for its patent.' Appeals are expected."

41 of 212 comments (clear)

  1. Live By The Sword, Die By The Sword by TripMaster+Monkey · · Score: 4, Insightful

    From TFA:
    Autodesk and Microsoft had argued during the six-day trial in federal district court in Tyler that the patents were invalid.
    Well, I don't know about Autodesk, but I think everyone here knows Microsoft's rather dubious track record with patents, as evidenced by this list of previous Slashdot stories:



    Sorry, Microsoft, but if you want to play the patent game like this, you can't be too upset when you get played from time to time.
    --
    ____

    ~ |rip/\/\aster /\/\onkey

    1. Re:Live By The Sword, Die By The Sword by figleaf · · Score: 5, Insightful

      Sure. But Microsoft Patents are defensive patents.
      They have never sued anyone for patent infringement. But have beenm on the recieving end for the stupidest of patent.

    2. Re:Live By The Sword, Die By The Sword by paladinwannabe2 · · Score: 2, Interesting

      Sure Microsoft patents stupid things, but they don't go around suing people for using double-clicking... the purpose of those patents is to keep morons from suing Microsoft when Microsoft uses double-clicking. If Microsoft was going around suing people for patent infringement, I would say that they were getting what they deserve. This, however, just encourages companies like Microsoft to patent every simple thing they do, no matter how obvious, because if they don't someone else will and sue them.

      --
      You are reading a copy of my copyrighted post.
    3. Re:Live By The Sword, Die By The Sword by Numen · · Score: 4, Insightful

      You're confusing applying for a patent with enforcing a patent. You cited patents that MS had applied (and presumably won some of them) for. Not patents that MS has sued somebody for infringing.

      The argument from Microsoft, IBM, Orale and SUN etc., has been that they have to file for defensive patents or get buried under litigation. Cases like this one prove that they have a point. Somebody in an MS somewhere will be having to explain why MS didn't attempt to aquire this particular patent if it was crucial to them.

      MS has no choice but to play the patent game... unless you can suggest an alternative couse of action for them.

    4. Re:Live By The Sword, Die By The Sword by Waffle+Iron · · Score: 4, Insightful
      But Microsoft Patents are defensive patents. They have never sued anyone for patent infringement.

      So their "friendly" offers to solicit royalties on the VFAT filesystem from camera vendors is defensive? If the vendors refuse, they have no risk of being sued because Microsoft has never sued anyone yet?

    5. Re:Live By The Sword, Die By The Sword by dioscaido · · Score: 4, Insightful

      I hate patents, but MS' crazy pantent spree is a direct result of ridiculous lawsuits like these. Now a days companies can take the high ground and not patent obvious/simple tech, only to have some other company patent it and sue their ass. And lets be honest, there's been a few lawsuits lately where the patent holder purposefully sues MS and MS only, leaving smaller companies and OSS to 'infringe' on the patent as they please. That's ridiculous, no matter how much one hates MS.

      Doesn't this patent constitute 'obvious' technology, though, and as such is invalid?

      The software patent system is completely broken.

    6. Re:Live By The Sword, Die By The Sword by morgan_greywolf · · Score: 2, Interesting

      As much as I love the idea of the sweet justice of Microsoft getting slammed by a nuisance patent suit, I gotta say that I can't understand why the jury awarded damages other than Colvin was "the little guy."

      I'm a CAD and PDM systems analyst, and I know for a fact taht Autodesk has been using their current product activation scheme at least since AutoCAD R13 was released, I think in 1996 or so. I think they may also have used it in R12, R11, and R10, but I'm not sure if it's the exact same one they are using now. As the parent poster noted in a different post, Colvin got his patent in 2000.

    7. Re:Live By The Sword, Die By The Sword by ergo98 · · Score: 2, Insightful

      Sure. But Microsoft Patents are defensive patents.

      Defensive patents one day. Offensive patents the next. Microsoft doesn't bother enforcing their patent portfolio simply because they are making billions on software, so it isn't worth the effort (or badwill they would gain). If, however, revenue started heading downwards, they could very well start diving through the patents, looking for companies to extort. Didn't Ballmer recently make some noise about Linux, codingly threatening it on the patent front?

      Many of the ridiculous patents used to blackmail megacorporations started life as a "defensive" patent of a small inventor or firm. Eventually they close up shop or give up on their primary business, it's acquired through bankruptcy litigation or acquisitions, and someone else turns it around to make some money.

    8. Re:Live By The Sword, Die By The Sword by advocate_one · · Score: 2, Informative
      And let's be honest, there've been a few lawsuits lately where the patent holder purposefully sues MS and MS only, leaving smaller companies and OSS to 'infringe' on the patent as they please. That's ridiculous, no matter how much one hates MS.

      a Patent, unlike a Trademark, can be selectively enforced. A trademark has to be enforced against all infringement or else you lose it.

      You are right about the stupidity of some of these patents... I blame allowing business methods and software patents in in the first place... of course the judge responsible for this debacle was a patent lawyer by profession and they never ever make any effort to reduce their potential workload... oh nosirree... any chance to expand and they gladly take it...

      --
      Donald 'Duck' Dunn: We had a band powerful enough to turn goat piss into gasoline.
    9. Re:Live By The Sword, Die By The Sword by cortana · · Score: 2, Insightful
      Owning a sword is not the same as having the intent to cut people down with it. Does everyone who owns a gun deserve to get shot?
      It depends on who (or what) owns the sword.

      Maybe if it is owned by a person, you can build up a trust relationshop... but Microsoft is not a person. Microsoft is a corporation; a collective entity that is entirely amoral, constantly seeking a single goal: the increase of shareholder value.

      Microsoft will use their patents offensively the very moment that they decide it is profitable to do so.
  2. Double edged sword by nigham · · Score: 4, Insightful

    My initial reaction was total delight at knowing that software patents are biting software companies back. But on second thoughts, all this will encourage is many more mindless software patents by the big firms to cover their asses.

    --
    I don't want to read /. I want to go home and re-think my life.
    1. Re:Double edged sword by Halo1 · · Score: 2, Informative
      But on second thoughts, all this will encourage is many more mindless software patents by the big firms to cover their asses.
      First of all, that won't help them defend against patent holding companies (also known as patent trolls).

      Secondly, they actually paint a nice shiny target on themselves by getting all those defensive patents, making themselves more likely to be sued (see the Q&A at the bottom of the page)

      --
      Donate free food here
  3. One one hand... by grasshoppa · · Score: 4, Funny

    ...it's a silly software patent being exploited to make cash.

    On the other, they're taking a bite out of microsoft.

    I just don't know how to feel about that.

    --
    Mod me down with all of your hatred and your journey towards the dark side will be complete!
    1. Re:One one hand... by TheRaven64 · · Score: 2, Insightful

      Feel good. If enough of these happen then it will be cheaper for MS to buy a few congress critters and get the silly laws overturned than it is for them to keep paying patent fees as the cost of doing business. Eolas cost them $0.5b. This cost them over $100m. If it's costing them $1b/year, then it starts to be a very silly idea for them to allow these laws to continue to exist...

      --
      I am TheRaven on Soylent News
  4. What? by Bob+McCown · · Score: 5, Funny

    I remember password and/or code protected software on the earliest PCs, the Amiga, everything! How the hell is this patentable? Oh wait, its the US Patent Office, nevermind.

    1. Re:What? by Maximum+Prophet · · Score: 2, Informative

      Mainframe software has be keyed to the individual computer since the earlyist days. Mainframe CPUs have serial numbers hard coded into them. If you mess with the serial number, your support contract is dropped. Since Microsoft can't rely on a CPU serial number, it has to look at things like the MAC address of the NIC and other unique identifiers. If that's what you want to do, they use the obvious methods to do it.

      --
      All ideas^H^H^H^H^Hprocesses in this post are Patent Pending. (as well as the process of patenting all postings)
  5. Oh for the love of crap... by Rob+T+Firefly · · Score: 2, Interesting
    That is a groundless patent, with tons of prior art and such a basic part of the software industry that David Colvin has no business owning a patent on it any more than MS deserves ownership of the double-click. *sigh* I'm going to have to side with MS on this one.

    Anyone else reminded of the "South Park" election episode, where the only available choices were a big douche or a turd sandwich?

  6. Re:When Was This Filed? by TripMaster+Monkey · · Score: 2, Informative


    The patent for 'a method and apparatus for securing software to reduce unauthorized use' (patent # 6,044,471) is dated March 28, 2000.
    The patent for 'a method for securing software to decrease software piracy' (patent # 6,785,825) is dated August 31, 2004.

    --
    ____

    ~ |rip/\/\aster /\/\onkey

  7. Patent Link by aardwolf64 · · Score: 4, Insightful
    Patent Link

    This patent was filed in September 5, 2003. Here are just a few of the Microsoft products that used this methodology before the patent was filed:
    • Windows 95
    • Windows NT 4.0 (Workstation)
    • Windows NT 4.0 (Server)
    • Windows 98
    • Windows ME
    • Windows 2000 (all versions)
    • Windows XP (all versions)
    • Office 95
    • Office 97
    • Office 2000
    • Office XP

    That's not even mentioning the plethora of other Microsoft products for the PC and Mac that used unique IDs. Anything that came with a certificate of authenticity had its own unique number. Microsoft obviously has prior use, and this is a clear case of a computer-illiterate uneducated jury making poor decisions. Surely this will be overturned on appeal.
    1. Re:Patent Link by blakestah · · Score: 2, Informative

      Here's the key to their first patent.

      You send the customer the product and a password/key. They enter the password/key and register, and you send them a second password/key, which they use to run the software thereafter.

      Filed in 1998.

      ------------------

      The second patent extends to DRM to DRM-enable password authentication.
      Filed in 2003. Basically makes it so that running the software requires checking a DRM-registered authentication code with a DRM enabled device.

      -------------

      As it stands this guy is going cash a check for every DRM enabled software program. He wrote two very basic broad patents to cover protection against digital piracy.

    2. Re:Patent Link by blakestah · · Score: 2, Informative

      Didn't nearly -all- shareware programs do this (like... forever)? (I mean, you send'em some money and software version (some number that -identifies- the software), and they send you a key to unlock features of that version).

      And I remember seeing DRM keys for -serial- devices for a -while- (since at least 1994); mostly for CASE tools, etc., (stuff that costs $5k per license).


      As always, the key to a patent is its specificity. The first patent says
      1) We send you the software and a product key.
      2) You register that product with that key
      3) We send you a second password for that product
      4) You use the second password indefinitely

      With shareware you skip the step where each copy of software has a unique key. This patent makes each shipped copy of software uniquely accessible.

      Also, the key with the DRM is the same.
      1) We send you the product with a product key
      2) You register it by sending us an authentication code
            that includes information about YOUR DRM.
      3) We send you a second authentication that requires you
            have both the original software AND the DRM machine

      Again, this is just a second-tier of protection over most schemes, making
      each shipped copy of software uniquely accessible only on one DRM machine.

      Please note, I am trying to interpret the relevant patent, and not defending whether it should have been issued in the first place!

    3. Re:Patent Link by Khyber · · Score: 2, Insightful

      You're a little off here. The patent makes mention of each copy of the software having a UNIQUE code for EACH COPY of the software to prevent unauthorized copies. Windows 95 and 98 (while having slightly different password formats) accepted any code from any other copy of the software (in other words codes for one copy of 95 worked on other purchased copies of 95, same with 98, etc.) 95 and NT 4.0 codes were (almost all) universally swappable (or was that 98 and NT 4.0 codes? One of those worked for me, regardless.) I believe that little practice in stupidity ended with the release of 2000 or ME, I can't remember which. So some of that prior art you're listing really isn't prior art at all, not fully fitting the definitions within the patent.

      --
      Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
    4. Re:Patent Link by canavan · · Score: 4, Informative

      As always, the key to a patent is its specificity. The first patent says
      1) We send you the software and a product key.
      2) You register that product with that key
      3) We send you a second password for that product
      4) You use the second password indefinitely

      This sounds just like SGI's key-o-matic. If you buy one of their "licensed" products, you get CDs and an entitlement ID. Send a properly formatted email with the entitlement ID and the system IDs (essentially the ethernet adress of the workstation) to key-o-matic@sgi.com or was that liceses@ ?) and get license passwords back (that's what the license manager software actually calls them) that are locked to those systems back by email. Keyomatic is at least 10 years old, if one is to believe this usenet post.

  8. Or, make the other person give up their sword by ciroknight · · Score: 2, Interesting

    Microsoft has a lot of money, and with that money, they can afford these things called "lawyers". Since they can afford more of these than the smaller company, it really doesn't matter if Microsoft believes the patent truly is invalid or not; they can wave enough FUD around until the company settles, or until the Judge in the case gets a headache and starts doing silly things.

    Sadly, David vs. Goliath only really works on Television.

    --
    "Victory means exit strategy, and it's important for the President to explain to us what the exit strategy is." G.W.Bush
    1. Re:Or, make the other person give up their sword by peragrin · · Score: 2, Interesting

      That doesn't work. Eloas, this guy, Burst are all Patent trolls. less than 5 men companies with lawyers who smell Money.

      MSFT routinely pays out hundreds of millions of dollars per case. You want easy money. patent something stupid and sue msft for it. Chances are you will not only win money but enough to cover your time and expenses for the couple of years your in court.

      --
      i thought once I was found, but it was only a dream.
  9. Date of invention not date of filing by Flying+pig · · Score: 3, Informative

    How many times must I post this? In the US, it is date of invention that matters not date of filing. The rest of the world understands the problem with this approach, which was fine when distance and slow transport isolated communities, but is now hopelessly out of date. Only in the US can you have submarine patents. This is the most broken thing in the entire system. Without that, even properly reviewed software patents might be tolerable. Prior art is hard to prove in a country where someone has sat on an invention for ages in a notebook witnessed by an attorney and stored in a safe.

    --
    Pining for the fjords
  10. Another business plan via lawsuits by hackstraw · · Score: 3, Informative


    http://www.z4.com/ appears to be yet another company that does nothing, but likes to get paid well for it.

    I love it how this link, http://www.z4.com/piracy.php , talks about how Microsoft and Autodesk are victims of piracy.

    A whois search on z4.com says that Colvin Design Company set up the registrar info. Well, a google search on Colvin Design Company yields nothing. Colvin Design is supposedly located in Commerce Township, MI. z4 is from Oakland County, MI about 12 miles away from Commerce Township.

    No products or anything of substance on the z4 site.

    Looks like another lawyer trick.

  11. Oh! The irony!!! by Pig+Hogger · · Score: 2, Funny
    What a dilemna we face!!!

    On one side, we have to rail against software patents...

    On the other, here is Microsoft forced to pay a little guy for infringing on his patent...

    1. Re:Oh! The irony!!! by maxwell+demon · · Score: 2, Insightful

      It's easy: The more the big, influential companies get hurt by patents, the more likely we are to get rid of them (the patents, that is).
      So you can be anti-patent and at the same time hope that MS will get hurt by patent violations as much as possible, without contradicting yourself.

      --
      The Tao of math: The numbers you can count are not the real numbers.
  12. Misdeeds? by ScentCone · · Score: 3, Insightful

    At least the guy may get compensated for their misdeeds?

    Using unique product keys is a misdeed? Individual bank PINs, maybe, too? Come on, it's a plain-as-day concept. There are only two reason companies scramble to patent stuff like this: to actually produce nothing except the capacity to sue people for a living, or to cover their asses while they're in the business of actually providing goods and services to real customers.

    --
    Don't disappoint your bird dog. Go to the range.
  13. explaination of the patents by will_die · · Score: 3, Informative

    There are two patents that were coverd by this suit.

    6044471
    This one deals with a system where you provide information to the company and are given a code. When you install the software you are required to enter the code or series of codes and it checks with the companies databases and veries that the password and other info is correct. There are clauses in it to deal with multiple passwords, and shutting down software that has incorrectly entered password.
    6785825
    This is kind of like the first but instead you are provided a key with the software which provided use for a limited time. Then during that time you are required to call the registration company and provide information and you receive an additional code which then unlocks the software for future use.
    This is not your average enter the 16digit code/password to use the software it is the Windows XP thing where internet access is required.

  14. Re:FP by maxwell+demon · · Score: 3, Funny
    First Patent!

    Rejected: Too much prior art.
    --
    The Tao of math: The numbers you can count are not the real numbers.
  15. Right but 1998 is well before 2001 by brokeninside · · Score: 2, Insightful
    Colvin originally filed in 1998. From the 2003 patent application:
    This application is a continuation-in-part of copending U.S. patent application Ser. No. 10/180,616, filed Jun. 26, 2002, which is a continuation of U.S. patent application Ser. No. 09/535,321, filed Mar. 27, 2000, now U.S. Pat. No. 6,460,142, which is a continuation of U.S. patent application Ser. No. 09/090,620 filed Jun. 4, 1998, now U.S. Pat. No. 6,044,471, the disclosures of which are incorporated by reference in their entirety.
  16. Obviousness and other creative uses of language by l2718 · · Score: 3, Insightful

    Reading the patents (6,044,471 and 6,785,825) one is struck by a few things:

    1. The patents (especially the second one) show a clever idea: force the user to register the software in order for it to operate. I don't know if this was an original idea in 2004, but it is clever. Of course, just because it's clever doesn't mean it's patentable.
    2. This idea doesn't seem to be clever enough to be non-obvious as required by section 103 of US Code Title 35.
    3. More seriuosly, the patents claim to provide an "apparatus and method", but fail to describe any actual appartus beyond the computer running the software under question. This is really a patent on an idea which contravenes section 102 of Title 35.

    Beyond all this, the real question is of economics: did it cost Mr. Colvin $118M to develop this "invention"? Society has no incentive to allow people to monopolize ideas which have a zero development cost: people would invent them anyway since there's a profit motive even if other people can employ the invention. It should therefore be clear that the Patent Clause and US Code Title 35 were not intended to cover this invention. The fact that it was accepted anyway tell us a lot (that we already knew) about the US patent system. For example "non-obvious" has devloved to mean "not already known", a situation which is beyond words.

  17. Re:No activation codes? by jim_v2000 · · Score: 3, Interesting

    The single biggest thing that held back WinXP OTS sales is the product activation scheme.

    Good point. I still haven't purchased a copy of XP for that reason alone. I don't mind hte price, I just don't want to have to reactive everytime I change hardware.

    --
    Don't take life so seriously. No one makes it out alive.
  18. Dilemma by Stavr0 · · Score: 2, Funny
    A patent that prevents software companies from using Product Activation unless they pay obscene royalties.

    Software patents = bad
    Product activation = bad

    I'm torn ...

  19. As a side note... by neersign · · Score: 2, Funny

    ...it was also decided that this guys software doesn't work as millions of people have illegal copies of both Autodesk and Microsoft software.

  20. this hurts everyone.. by Intangion · · Score: 2, Insightful

    I wish microsoft would change course and fight the system! rather than try to exploit it. As one of the biggest and most obvious targets in the country youd think they of all people would be trying to put an end to this, rather than feeding it and exploiting it themselves..

    I wrote this exact kind of thing into some of my software as early as 99 and i think ive seen it in other applications as well

    its an obvious idea but not very easy to impliment, if someone managed to do it without stealing someone elses code they definately shouldnt have to pay 115million dollars

    our patent system is RUINING inovation..

    its to where you cant write any new code at all without stomping all over dozens of ridiculously broad/vague/obvious patents

  21. Two Wrongs Make a Right by slashbob22 · · Score: 2, Insightful

    Truly this is a case where two wrongs make a right. Forcing royalties on a feature we dislike may remove that feature in the future.

    Of course the pessimist in me says that removing that feature will force something infinitely worse.

    --
    Proof by very large bribes. QED.
  22. Ridiculous lawsuits. by number6x · · Score: 4, Insightful

    Sadly the idea of 'defensive patents' only works against other high tech companies with product based revenue streams to protect. It doesn't provide a defense against patent trolls.

    The big software companies thought they had a great way to protect them selves from any up and coming, young, innovative start-ups that might compete with them. Create huge war chests of silly software patents and form an old-boys club. All the usual suspects IBM, Adobe, Apple, Microsoft, Oracle and others joined in. They've got what they've got and they want to keep it.

    If you were already established, you could cross license your patents with the other already established old-boys, and keep doing business. But if some upstart comes along you could charge them money to license your patents, reducing their profitability. That would reduce their ability to threaten your profitability. If the up-start couldn't afford to pay, buy them out cheap. If the people behind the upstart wanted profit, they would either pay or sell because they couldn't profit or gain investors if people thought their products infringed one of the old-boy's patents.

    This works against upstarts that have actual products to sell, but the patent trolls just want money. Now that the old-boys have created a system that grants and enforces silly software patents, the patent trolls can buy up defunct tech companies for pennies on the dollar just for their patent portfolios. If the old-boys threaten to use their 'defensive patents' to stop the trolls from selling their products, the trolls just laugh. The trolls don't sell any products. They just sue rich old-boys.

    The old-boys created a system of software patents that they thought would help them cripple innovative young competitors, and it does work the way they intended. However they also created a system that could be exploited by patent trolls that have nothing to lose. The old-boys have to decide if the benefits of the added government regulation provided by software patents outweighs the cost of paying tolls to the trolls.

    Remember what patents are. Patents are government granted, time limited monopolies. Patents are anti-competitive tools. They are anti-free market devices used to reduce competition in the market place. Supporting increased "Intellectual Property" rights is not a conservative economic position, it is definitely a socialist position that believes the government is better at picking winners and losers in the market place than market forces are. If you support increases in patents copyrights and trademarks, you support liberal economic theories. The constitution already set limits on the length of patents. Patents need to be non-obvious and original. I've seen laws that have changed the way patents work, but I haven't seen any constitutional amendments.

  23. MS' iPod patents show no patents are "defensive" by SgtChaireBourne · · Score: 2, Insightful
    Sure. But Microsoft Patents are defensive patents.
    They have never sued anyone for patent infringement.
    I suppose I'm missing the sarcasm today. So I will have to ask,

    how is MS trying to patent parts of the iPod in anyway defensive?

    iPods were shipping before the MS patent was even filed.

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