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CSIRO Sues US Carriers Over Wi-Fi Patent

An anonymous reader notes that CSIRO has sued Verizon, AT&T, and T-Mobile in — wait for it — East Texas District Court. "Australia's peak science body stands to reap more than $1 billion from its lucrative Wi-Fi patent after already netting about $250 million from the world's biggest technology companies, an intellectual property lawyer says. The CSIRO has spent years battling 14 technology giants including Dell, HP, Microsoft, Intel, Nintendo, and Toshiba for royalties and made a major breakthrough in April last year when the companies opted to avoid a jury hearing and settle for an estimated $250 million. Now, the organization is bringing the fight to the top three US mobile carriers in a new suit targeting Verizon Wireless, AT&T, and T-Mobile. It argues they have been selling devices that infringe its patents."

18 of 308 comments (clear)

  1. In before the "Patent Troll" cries. by ColaMan · · Score: 5, Insightful

    As I recall, these companies had an agreement with the CSIRO to implement their technology into the wifi standard in return for royalties. Everyone was happy with this, it was duly noted, etc.

    Which mysteriously turned into a big collective "Fuck You" when the CSIRO asked for their royalties a few years later on.

    So, as an Australian, I send a cheery "Fuck You" to those companies now, and I hope the CSIRO gets what they're owed, plus punitive damages.

    --

    You are in a twisty maze of processor lines, all alike.
    There is a lot of hype here.
  2. Re:CSIRO are still good guys by Itninja · · Score: 3, Insightful

    ...independent government-owned..

    Oh, you're adorable.

    --
    I judt got a nre Kinesis keybiartf so please excusr ant egregiou typos.
  3. Re:info from http://en.swpat.org by Liam+Pomfret · · Score: 5, Insightful

    Here's what I have on their previous trolling:

    How can you possibly arrive at the idea that CSIRO are engaging in patent trolling? They were the ones who actually developed the technology, their patents hadn't been submarined in any way, and the only reason they're fighting now is because they still haven't been paid the royalties the companies originally agreed to give them when they first implemented the technology. This is an unusual case of patent law, not because of any supposed trolling, but because it's a superb example of how patent law was always meant to be used.

  4. Re:CSIRO are still good guys by Mark19960 · · Score: 3, Insightful

    Then why are they in East Texas District Court of all places?
    If you don't want to be labeled a troll, don't act like one.

  5. Re:CSIRO are still good guys by Anonymous Coward · · Score: 5, Insightful

    True. However, I wonder whether the Australian taxpayers like the idea of paying an incrementally higher cost on all the wireless devices that depend upon the technology invented by CSIRO? Buy a cell phone? Pay more. Buy a wireless access point? Pay more. And so on. We know that if AT&T, Verizon, Dell, or whatever Australian equivalent lose the case and pay licensing fees they'll just pass the costs on to consumers. So, for their multi-million (billion?) investment in CSIRO, the Australian taxpayer gets to: A) pay more for products, B) fund a whole lot of lawyers for years and years.

    Win!

    As far as I'm concerned the only reason a government institution should be able to patent something is so that it can be royalty-free and someone else can't patent it. Making money off it seems ultimately self-defeating.

  6. Re:CSIRO are still good guys by king+neckbeard · · Score: 3, Insightful

    One could argue that this is worse. I expect multinational conglomerates to sue or demand royalties if given the chance, but a research body should arguably be above this, and their research should be freely available to all. This attitude is reflected in the way works for the US government are put into the public domain, and universities both public and private often release software under permissive license (BSD stands for 'Berkeley Software Distribution' and the MIT license comes from MIT).

    --
    This is my signature. There are many like it, but this one is mine.
  7. Re:CSIRO are still good guys by Anonymous Coward · · Score: 3, Insightful

    Just because an act is normally taken by a patent troll, doesn't mean that acting in that way makes you a patent troll. If you are undertaking legal action, the smart thing to do, regardless of the merits of the case, is to do whatever you can to maximise the likelihood of success.

    For patent infringement cases in the US, that means filing in the East Texas District Court.

    If you're looking to recoup a few billion dollars, and taking a particular action gives you an extra 10% (for example) chance of winning, wouldn't you do it?

    Or, to put it another way, boiling it down to the simple logic of the statements: let A be the statement "You are a patent troll." Let B be the statement, "Your case will be filed in East Texas District Court." A implies B. B does not necessarily imply A.

  8. Re:CSIRO are still good guys by SpazmodeusG · · Score: 4, Insightful

    Because even if you're right you'd be a fool not to sue in the easiest possible court.

  9. Strange by Anonymous Coward · · Score: 5, Insightful

    I wasn't aware of any carriers manufacturing their own wireless chips. Which ones are?

  10. Re:Got links for that? by ciaran_o_riordan · · Score: 4, Insightful

    > /Are you suggesting that the only way someone can legitimately enforce a patent is with a party that has been forewarned?/

    No, I'm not suggesting that. However, if CSIRO is going to be painted as a good guy while suing software developers, I'd like to know what narrow limits they're placing on their aggression/retaliation in order to deserve that.

    Am I safe? Is Red Hat safe? Are small businesses safe? Are other research institutes safe?

    And the question I posted below: if CSIRO's law suits are justified because their business partners broke signed deals (as the original reply claims), why don't they sue for breach of contract instead of software patent infringement?

  11. Re:CSIRO are still good guys by victorhooi · · Score: 5, Insightful

    heya,

    Oh please....

    As somebody insightfully pointed out above, the money CSIRO makes from these royalties will be used to fund more research - recouping the government's investment in R&D, so to speak. We may pay more for Wifi devices, if the manufacturers try to pass it on (although I suspect the highly-competitive nature of the market may mitigate that somewhat), but ultimately they'll be a net inflow back to the Australian people.

    From your statement, I'm going to assume you're US - see here, your NIH sues a pharmaceutical giant over missing drug royalties:

    http://www.nature.com/nm/journal/v6/n12/full/nm1200_1302a.html

    And NASA's been embroiled on the receiving side with patent litigation with Boeing.

    Thing is, at the end of the day, this is the real world, and people like to protect the R&D they make. And as an Australian citizen, who's taxes fund this research, I would like to see the CSIRO being smart, as opposed to being dumb, and getting walked over by big manufacturers.

    Cheers,
    Victor

  12. Re:CSIRO are still good guys by Gonoff · · Score: 3, Insightful

    Most of the world sees their government and its subsidiaries as more answerable than a corporate or multinational.

    You can vote out a government, but a corporate monopolist is here to stay - until they get bought out by another one.

    I have heard of this organisation before. If it is a choice between corporate pirates or a Quango I will usually try and avoid the corporates. In the UK, we are just about to close a load of quangos that have outstayed their welcome. I imagine that there are many here on /. who would love to close down Microsoft. Too bad. They are not going anytime soon and they are just one of many.

    --
    I'll see your Constitution and raise you a Queen.
  13. Re:CSIRO are still good guys by victorhooi · · Score: 4, Insightful

    heya,

    Err, yes it does, you silly twit.

    And it's not just an "idea", it's an investment that they invested a bucketload of money in perfecting, probably more money than you and I have seen in our lives, and took them several years.

    It's only naturally that after say, publishing a paper on it, they don't want to see other people come and read the paper, take those years of research, and make money off stupid consumers like you and I, without the original brains behind the invention getting a cent.

    And they're a research institute. They're interested in creating good quality research, not in offshoring US jobs to China. It seems a bit ridiculous that you expect them to be a manufacturing house as well, in order to "keep" their inventment/research. That seems completely unfair.

    The NIH does cancer research, AIDS research etc. You don't see Americans cry bloody murder when the NIH then goes to sue pharmaceutical giants that refuse to pay royalties do you? (I've already pasted the link to that above - but here it is again http://www.nature.com/nm/journal/v6/n12/full/nm1200_1302a.html).

    Cheers,
    Victor

  14. Re:Why they're called a troll by Capsaicin · · Score: 4, Insightful

    To software developers, CSIRO is an aggressive patent litigator.

    I've never been sued by the CSIRO, have you?

    They seem to take action only against people who make unlicensed use of the patents they own. No trolling there. Why should CSIRO not be paid for what they develop?

    --
    Better to be despised for too anxious apprehensions, than ruined by too confident a security. --Edmund Burke
  15. Duverger's law by tepples · · Score: 3, Insightful

    You can vote out a government

    Duverger's law is that a plurality election system will converge to two parties. If both parties support a measure, such as the Sonny Bono Copyright Term Extension Act of 1998 and the Digital Millennium Copyright Act of 1998, how can one vote out that kind of government?

  16. Re:Why they're called a troll by Capsaicin · · Score: 4, Insightful

    how does that differentiate them from any other patent troll

    If people actually develop new patentable technology how does enforcing their legal rights over that make them a patent troll? Even if they don't develop, but only acquire a valid patent, how does suing for that make them a troll?

    --
    Better to be despised for too anxious apprehensions, than ruined by too confident a security. --Edmund Burke
  17. Re:Why they're called a troll by Capsaicin · · Score: 4, Insightful

    That's the entire business model of Acacia and Intellectual Ventures. These are the quintessential patent trolls.

    My understanding of a patent troll, which seems to be the definition being used in regard to a NPE on the page you cited above also, is someone who floats an idea and lodges a patent which is invalid by reason of their having not specified an actual method or design by which that idea is to be realised.

    Remember what a patent actually is. It is an agreement to publish to the world a method for realising some original invention. If a third party cannot from the patent reproduce the invention, it's obviously not a patent, yes?

    CSIRO developed actual working hardware. It specified the design to such an extent that 3rd parties have misappropriated their work and are illegally (facially) making money out of this misapproriation. You are perhaps using this design right now. It's real, it's an original invention, it is most certainly not a troll.

    by defintio

    As an Australian taxpayer, I find it objectionable that you think I should donate my money to foreign private corporations only to have to buy back what I paid to develop. We invested millions of dollars in this and we would like the return for our investment, thank you very much.

    Oh and as far as patents existing, I definitely know they do, because I had a patent (which is was a troll by a looser definition) hanging over the work I did. We were told "you develop that and see what we do." We called their bluff. It was a bullshit patent. That might give some context to "I haven't been sued [or even threatened] by the CSIRO," which was in any case a quip leading into my actual point that they only sue on valid patents they rightfully own. Your logical analysis was supercilious.

    --
    Better to be despised for too anxious apprehensions, than ruined by too confident a security. --Edmund Burke
  18. Re:Patenting Math? by Johnno74 · · Score: 3, Insightful

    I think the relevant US patent is this (5487069).

    It appears to describe an special antenna setup as well as how to use the radio/antenna to get a data rate/ghz of bandwith ratio much better than previously practical.

    So its not a math patent, or a pure software patent (although part of the implementation is software). It looks like something the patent system was designed to protect.