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USPTO Grants Bezos Patent On '60s-Era Chargebacks

theodp writes "Chargebacks on computing resources are certainly nothing new, dating to the '60s. But five decades later, the USPTO has deemed Amazon CEO Jeff Bezos' invention — Dynamic Pricing of Web Services Utilization — worthy of a new patent. From the patent: 'Utilization of a storage resource may be measured in terms of a quantity of data stored (e.g., bytes, megabytes (MB), gigabytes (GB), etc.) per unit of time (e.g., second, day, month, etc.). Similarly, communication bandwidth utilization may be measured in terms of a quantity of data transmitted per unit of time (e.g., megabits per second). Processing resource utilization may be measured as an aggregate number of units of processing effort (e.g., central processing unit (CPU) cycles, transactions, etc.) utilized, or as a rate of processing effort utilization per unit of time (e.g., CPU cycles or transactions per second).' Sound familiar, Greyglers? Another example of why it's not wise to grant software patents when people don't know much about computer history."

48 of 144 comments (clear)

  1. Shit! by Colin+Smith · · Score: 4, Insightful

    There's a barrel load of stuff I've forgotten. Should have patented it while I could.

    WAIT!!! Maybe I still can.

    Go on, get off my lawn!

    FFS, someone should take a hatchet to the US PTO. Don't they need to reduce the budget or something?

     

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    1. Re:Shit! by amentajo · · Score: 5, Interesting

      No, increase the budget instead: give perks to employees that deny patents like this.

    2. Re:Shit! by Kitkoan · · Score: 2, Funny

      No, increase the budget instead: give perks to employees that deny patents like this.

      Sorry, but someones already patented that...

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    3. Re:Shit! by nacturation · · Score: 4, Funny

      No, increase the budget instead: give perks to employees that deny patents like this.

      Sorry, but someones already patented that...

      Can we patent this type of reply on Slashdot so that we don't get the inevitable trite "that's been patented" responses? I mean heck... at try and be clever and original if you're going to pull out that crusty relic of a response.

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    4. Re:Shit! by Peach+Rings · · Score: 3, Insightful

      Ironically, your post follows the response predicted by the meta-meme exactly.

    5. Re:Shit! by camperdave · · Score: 3, Funny

      No, its just a perfect example demonstrating that everything is already invented. As such there's no longer a need for the patent office.

      --
      When our name is on the back of your car, we're behind you all the way!
    6. Re:Shit! by sortius_nod · · Score: 3, Insightful

      You shouldn't need a bonus to do your job.

      The organisation is corrupt from the ground up, the only option is to remove patenting. Whenever you have companies with a lot of money trying to get an edge, you're going to get corruption. Whether is congress/parliament or a government agency that enforces the laws, this seems to be rife.

      There's no way a sane person would allow patenting of 50 year old business practices.

    7. Re:Shit! by Kitkoan · · Score: 3, Funny

      No, increase the budget instead: give perks to employees that deny patents like this.

      Sorry, but someones already patented that...

      Can we patent this type of reply on Slashdot so that we don't get the inevitable trite "that's been patented" responses? I mean heck... at try and be clever and original if you're going to pull out that crusty relic of a response.

      But that hasn't been patented though. Rewarding an employee has been patented though for having/learning to do their job properly. Patent application number: 20100023384.

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      Attention... all grammer nazi"s! Is they're anything; wrong with: my post,
    8. Re:Shit! by Dachannien · · Score: 5, Informative

      FFS, someone should take a hatchet to the US PTO. Don't they need to reduce the budget or something?

      The USPTO is entirely fee-funded. Your tax dollars don't pay the examiners' salaries.

      On a side note, if you do know something about history and technology, and you'd like to put your money where your mouth is and improve the quality of patent examination, the USPTO is currently hiring qualified individuals with expertise in electrical, computer, and biomedical engineering. US citizenship required. In addition to standard federal benefits and a salary that can reach $100k in about three years, the USPTO has the federal government's flagship telework program, which allows you to work from home, anywhere in the country, once you meet certain qualifications.

      See http://usptocareers.gov/ for more info.

    9. Re:Shit! by soundguy · · Score: 4, Insightful

      The fact that in the year 2010, the videos on the USPTO website require RealPlayer pretty much explains the mentality at the patent office.

      --
      Nothing worthwhile ever happens before noon
    10. Re:Shit! by Z00L00K · · Score: 2, Interesting

      USPTO is financed by patent fees. So that's why they grant patents without checking the validity of the claim.

      If they were to pay a fine for every patent that didn't hold then they would be much more careful.

      --
      If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
    11. Re:Shit! by Dachannien · · Score: 3, Insightful

      The way to improve the system is to do away with it:

      That's hardly practical, considering that most of us are not members of Congress. Wouldn't it make more sense to do something that would actually work, and try to improve the system from within?

    12. Re:Shit! by Dachannien · · Score: 3, Interesting

      The hoteling (telework) program requires that you have two years of service at the USPTO and have reached GS-12 or higher (which is also possible within two years). Before then, you have to move to the DC area to work there so that you can get adequate supervision.

      There was a recent change to the hoteling program such that if you live within 50 miles of the office in Alexandria, Virginia, you don't have to meet the reporting requirement. If you live outside that radius, you have to report in to the Alexandria office on two days out of each biweek for at least an hour each day.

      Some people who live outside the radius fly in on the last Friday and Saturday of one biweek, show up at work for an hour that day, make a vacation out of the rest of the weekend (get a hotel, etc.), go back to work on Monday and Tuesday of the following biweek, and fly out Tuesday. That at least means you only have to report in once a month for a long weekend.

  2. Brainless by Kestrell69 · · Score: 2, Insightful

    So who is more brainless? The patent office for granting this abomination? Or the person at Amazon who simply typed up a description of a common computing paradigm from 40 years ago?

    1. Re:Brainless by harlows_monkeys · · Score: 5, Insightful

      ...or the people who comment on patents without studying them to determine what is actually claimed and the scope of those claims?

    2. Re:Brainless by X0563511 · · Score: 2, Insightful

      Not the guy at Amazon. It takes intelligence with a lack of scruples to abuse this.

      --
      For large sets, this will be our guide even unto death, for the LORD will work for each type of data it is applied to...
    3. Re:Brainless by nacturation · · Score: 5, Informative

      So who is more brainless?

      You're brainless for not reading the patent claims, and theodp is brainless for his nonstop anti-Amazon patent tirade (372 results)

      Here are the relevant parts from all of the links in the summary:

      Wikipedia time-sharing article: "Users were charged rent for the terminal, a charge for hours of connect time, a charge for seconds of CPU time, and a charge for kilobyte-months of disk storage." Yeah, ok... that's metered service, just like your power bill or long distance charges.

      Plato history article: Uh, this mentions getting a 50th anniversary Plato-style Google logo on Google. Nothing relevant on this link.

      The actual patent abstract: "A method and system for dynamic pricing of web services utilization. According to one embodiment, a method may include dynamically predicting utilization of a web services computing resource that is expected to occur during a given interval of time, and dependent upon the dynamically predicted utilization, setting a price associated with utilization of the web services computing resource occurring during the given interval of time. The method may further include providing the price to a customer. "

      Does charging for CPU time and resources involve dynamic prediction? No? I didn't think so. Lousy try, theodp. Better luck next time.

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    4. Re:Brainless by bmo · · Score: 2, Insightful

      "A method and system for dynamic pricing of web services utilization. According to one embodiment, a method may include dynamically predicting utilization of a web services computing resource that is expected to occur during a given interval of time,"

      "Oh look, we want to charge you differently for usage rates"

      As if this doesn't happen every day in all industries. This is *obvious.*

      This belongs in a fucking contract, not a goddamn patent.

      Amazon is evil in this regard. Jeff Bezos is one of a handful of people who have been the driving force behind patenting obviousness. The others reside(d) at IBM, Microsoft, and Unisys.

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      BMO

    5. Re:Brainless by nacturation · · Score: 4, Insightful

      As if this doesn't happen every day in all industries. This is *obvious.* This belongs in a fucking contract, not a goddamn patent.

      Maybe so, but claiming that it's "60's-Era Chargebacks" is a complete misrepresentation based on the so-called "articles" linked to in the summary.

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    6. Re:Brainless by Z00L00K · · Score: 2, Funny

      Isn't brainless an absolute?

      Like saying "a little pregnant" - either you are or you aren't.

      --
      If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
  3. O'RLY by cosm · · Score: 4, Insightful

    I don't really understand how this is patentable. It is essentially a patent covering 'charging for computer time' or 'charging for computer resources'? The credibility of patents is eroded day by day, diluted into pure paperwork used for litigation fodder.

    --
    'We are trying to prove ourselves wrong as quickly as possible, because only in that way can we find progress.' RPF
    1. Re:O'RLY by IgnoramusMaximus · · Score: 4, Insightful

      The credibility of patents is eroded day by day, diluted into pure paperwork used for litigation fodder.

      That is a design feature, a direct consequence of a society run by lawyers for the benefit of lawyers and as an afterthought also sometimes their most wealthy clients.

    2. Re:O'RLY by Trepidity · · Score: 2, Informative

      I don't know if the actual patent is a good idea either, but to be fair, it is somewhat narrower than just charging for computer time/resources. It appears to specifically cover only charging for computer time/resources in a dynamic way based on a prediction of their utilization. So e.g. the cost for one CPU-minute would go up or down depending on the system's estimate of current contention for CPU-minutes. It seems that has probably been used in some other markets (e.g. in some electric markets), but it's possible that it's novel when applied to computer resources. Possibly obvious to a practitioner skilled in the art, but invalidation for obviousness seems uncommon these days, at least at the USPTO level.

    3. Re:O'RLY by MartinSchou · · Score: 2, Interesting

      It appears to specifically cover only charging for computer time/resources in a dynamic way based on a prediction of their utilization.

      How is that any different than say ... hotels charging more for a room during times they predict will have lots of visitors? Or what airlines do to sell tickets - noone flying a particular day, they'll lower the price through the floor; everybody trying to get on a flight, and they'll charge you half your liver and a kidney just to use the in-flight bathroom.

  4. Re:Don't care by larry+bagina · · Score: 2, Insightful

    So... the patent office (ie, government bureaucrats) are incompetent (or possibly the summary is wrong) and that proves all billionaires are crooks?

    --
    Do you even lift?

    These aren't the 'roids you're looking for.

  5. Misleading summary by Mr+44 · · Score: 5, Informative

    The patent is actually for utilizing a predictive process to change pricing based upon expected future load. Still not necessarily new, but very different than the summary implies.

    1. Re:Misleading summary by tuomoks · · Score: 2, Informative

      Maybe misleading summary but what you just said is old, old, old - part of my job when started -71, and old already then! The problem today seems to be - add a couple of words, like WEB or Internet, to some old idea and , voilà, you can have a patent.

      Seriously - is the USPO the only government office which, when not skilled on the issue, is supposed and/or allowed to make bad decisions anyway? Doesn't sound good or even very useful?

      "Predictive process" has been used in any kind of business forever "to change pricing based upon expected future .. whatever" - especially what I did, combining insurance profits with having, charging and selling computer resources. It's very interesting and much what the patent describes is really out of the textbooks - maybe just too old textbooks, not any more in libraries, even in universities? Will be big again - you have to charge in cloud? Maybe that's why they really did go after a patent. Of course it can't hold - even abstracts as WEB are either defined as "interlinked documents" or not really defined at all, just needs a couple of million $$ to fight the patent and then you are free to do what you / most large sw/hw/cloud/etc service corporations have been doing 40+ years! If you still have any money left to do anything - LOL!

      Besides, the mistake often is the load - you have to look much more than bits, bytes, seconds, etc - someone else is charging your resoures, be they hw, electircity, taxes, and so on - so, "It's complicated", sometimes changing daily - think currencies and almost any business today!

  6. You have to dig deeper into the patent by westlake · · Score: 2, Insightful

    It doesn't matter that the idea is old - if the implementation of the idea is new.

    1. Re:You have to dig deeper into the patent by BiggerIsBetter · · Score: 2, Insightful

      It doesn't matter that the idea is old - if the implementation of the idea is new.

      And if the description of the new "implementation" is suitably imprecise, you can block others from coding up the same old idea in a different manner. Which is why patents on processes / algorithms (aka software) are bullshit.

      --
      Forget thrust, drag, lift and weight. Airplanes fly because of money.
    2. Re:You have to dig deeper into the patent by westlake · · Score: 2, Insightful

      So I can "invent" the shovel today?

      Of course you can.

      If you have something new to offer.

      Perhaps a wheeled snow shovel for seniors. Sno Wovel - Snow Shovel

  7. Worthless Patent by Anonymous Coward · · Score: 5, Insightful

    Let's look at a claim:

    1. A computer-implemented method, comprising: provisioning for an enterprise an enterprise-side web services computing resource to accommodate a given level of the enterprise's anticipated utilization; an enterprise-side computer system of the enterprise dynamically predicting the enterprise's own utilization of the enterprise-side web services computing resource that is expected to occur during a given interval of time; dependent upon said dynamically predicted utilization, said enterprise-side computer system setting a price to be charged for utilization of said web services computing resource by an entity other than the enterprise occurring during said given interval of time; and said enterprise-side computer system electronically providing said price to a client-side computer system for presentation to a customer associated with the client-side computer system as the price said customer will be charged for utilization of said web services computing resource during said given interval of time, wherein the client-side computer system is external to the enterprise.

    WTF? That's not an innovative solution to a problem. That's not even a solution to a problem - that's a description of the problem itself. They just patented anything that is a solution to the problem.

    This patent doesn't help other people implement any technology. The whole patent doesn't even contain any source code. If this document were released to the public, and had never been submitted as a patent, the world would be no better off than if it had never been written. Nobody would even care that it existed.

    This isn't an invention. This is worthless junk.

  8. Re:Don't care by John+Hasler · · Score: 3, Funny

    No. It's all the fault of the bankers. Do try to keep your scapegoats straight.

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  9. Re:Free markets by David+Gerard · · Score: 2, Interesting

    "A vast majority of USPTO decisions are right"

    [citation needed]

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    http://rocknerd.co.uk
  10. Overturn Now by Nom+du+Keyboard · · Score: 2, Insightful

    So why can't this just be overturned instantly with this proof of prior art? The problem with overturning even obvious patents is that it is so GD expensive in terms of money and time that very bad patents are allowed to remain standing until some idiot tries to enforce them.

    --
    "It's the height of ridiculousness to say for those 9 lines you get hundreds of millions."
    1. Re:Overturn Now by Theaetetus · · Score: 2, Insightful

      So why can't this just be overturned instantly with this proof of prior art? The problem with overturning even obvious patents is that it is so GD expensive in terms of money and time that very bad patents are allowed to remain standing until some idiot tries to enforce them.

      Actually, reexaminations are quite inexpensive to initiate. Why aren't more done? Because, contrary to Slashdot beliefs, there's a lot more to a patent than the title, and prior art needs to anticipate or teach each and every element of the claims, not just "this patent is on a method of X, and they were doing X decades ago!"

  11. Re:Free markets by symbolic · · Score: 2, Insightful

    Bezos already has a find precedent for stupid patents. As long as companies are required to license use of the "one click" purchase, anything submitted by Amazon should be thoroughly scrutinized.

  12. PLATO by Andy+Smith · · Score: 2, Insightful

    Wow, reading that PLATO link has got me feeling all nostalgic, and sad that I wasn't a part of it. I was only 1-year-old. It sounds magical.

    It also reminded me of how much I hate the locked-down mentality of certain modern computing companies. These companies only exist because of open systems and people tinkering, hacking, experimenting... and now they seek to deny those opportunities to new generations. Great shame.

  13. Flashback. by uncqual · · Score: 3, Interesting

    Wow, I hadn't thought of 'Kilo-Core Ticks" (or similar measures) for decades (back when I cared what they cost).

    Maybe only people who have been in the field over 40 years should be able to file patents -- at least they might recognize crap like this and be too embarrassed to actually apply for a patent like this.

    Perhaps we need to enable 'reverse patent trolls'. If someone patents something and the patent is later invalidated, the person (company) who made the application must pay the challenger's legal expenses. In addition, the entity filing for the application must pay the challenger, with interest, all revenue derived from the patent (both licensing fees paid to them and the added value derived from the patent in their own products - such as 'one-click' during the life of the patent). In addition, the entity applying for the patent would have to pay back (with interest) all licensing fees they were paid back to the people who paid them (yes, this is double!).

    People might think a little more about filing bogus patents with a system like this.

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  14. Re:How does Amazon survive? by nacturation · · Score: 2, Insightful

    If somebody just sends the Patent Office this Slashdot article, then they would be obligated to withdraw the patent;

    Someone from the Patent Office would actually read the claims rather than relying on theodp's fabrications and misrepresentations and would conclude that the patent has merit.

    How is it that Amazon still keeps on getting away with these illegal patents?

    Illegal? Are you theodp posting as an Anonymous Coward now?

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  15. Re:Free markets by rudy_wayne · · Score: 3, Insightful

    Congress could fix this. They're the ones that broke it in the first place.

    No, congress needs to fix what the courts have broken. The ability to patent software and business processes is strictly the result of court decisions.

  16. Been there, seen that. by Ancient_Hacker · · Score: 3, Interesting

    Way back around 1972, I worked on a CDC time-share system. They charged 4 cents per CPU second, 1 cent per PRU (640 characters) transferred to/from disk, and 0.2 cents per kiloword-second of memory used.

    Except after 5PM, when the rates went down 50%.

    Luckily I worked for the computer center, so the long assembly times ( 5 minutes ) were charged against a funny-money account. Still it was humbling that one missing comma and I'd wasted about 20 minutes of real time and $12, when $12 was real money.

  17. Did anyone actually read the paten by xianthax · · Score: 4, Insightful

    Did anyone actually read the patent?

    The summary author is an idiot and clearly doesn't understand the patent or simply didn't read it.

    They didn't patent measuring and charging for computer resources.

    They patented predicting resource utilization at a particular point in the future and varying charging at that time.

    They basically patented the ability to charge users hosting services with them based on response time and performance, they implemented this capability by predicting loads at a point in the future.

    Sounds like they don't want to charge by the RAM/disk usage/CPU time etc anymore but would rather charge based on guaranteed performance.

    Also this isn't a software patent at all. They effectively patented a business model.

    If you want to argue the merits of that, fine, lets at least stick to the real issue.

  18. "Sound Familiar" by Theaetetus · · Score: 4, Funny

    From the patent: 'Utilization of a storage resource may be measured in terms of a quantity of data stored (e.g., bytes, megabytes (MB), gigabytes (GB), etc.) per unit of time (e.g., second, day, month, etc.). Similarly, communication bandwidth utilization may be measured in terms of a quantity of data transmitted per unit of time (e.g., megabits per second). Processing resource utilization may be measured as an aggregate number of units of processing effort (e.g., central processing unit (CPU) cycles, transactions, etc.) utilized, or as a rate of processing effort utilization per unit of time (e.g., CPU cycles or transactions per second).' Sound familiar, Greyglers?

    It should, since it's part of a description about the art generally. I mean, if you're going to quote mine in a biased effort to show that the patent is invalid, why not go for this:

    For example, in some embodiments computing resource 100 may include tangible resources such as computer systems (e.g., standalone or rack-mounted systems), storage devices (e.g., magnetic/optical disk storage, tape storage, etc.), wired or wireless network communication devices (e.g., Local Area Network (LAN)/Wide Area Network (WAN) devices and/or media), input/output devices, or other types of computing devices.

    Oh, no, they just patented every computer system, storage device, and network!

    I mean, heck... if you're spreading FUD, why not go all the way?

  19. Re:Free markets by Anonymous Coward · · Score: 2, Insightful

    Actually, I don't believe that the "vast majority of USPTO decisions are right".

    I just had to go through a set of patents issued to a particular company, in a domain that I'm quite "practiced" in for the last 30 years. There was a complete lack of innovation in any of those patents.

    I have several patents, and I am amazed to this day, that some dork in the USPTO thought they all should be granted.

    Most patents are filed as legal weapons, hoping that some naive fool within the USPTO will grant the weapon. The weapons are used either as offensive or defensive weapons, depending on the culture of the organization that the patent will be assigned to. High tech companies incent people to push up "patentable" ideas to the "IP Department". Then based on the resources of the company, they will spend the $20K+ to drive them through the system. The "inventor" gets paid incremental amounts of money as it goes through the stages until finally granted. We are talking 4-5 figures. On top of that, people get raises and promotions based solely on the number of US7xxxxx numbers they have collected, whether they have anything to do with their job, their projects or even the industry they are in.

    The definition of a "Patentable" idea from a corporate IP department point of view has NOTHING to do with innovation or relavence. It is all about the potential grade of the weapon, the potential enemy, the cost of paying the USPTO to grant the weapon, and whether the USPTO examiners will be stupid enough to grant them. Major corporations will use their "Pocket" Senators or Rep, to put pressure on the USPTO to expediate and get dedicated USPTO just to service their "weapon" requests. It is all about whether the "Patent" can screw up a competitor, or neutralize an attack based on another "bogus" patent.

    Every metric is about # of patents granted, from USPTO, to how "GREAT" US R&D is, etc. There is NO incentive in any part of the system to stop the issuing of a obvious (aka stupid) patent. Get a patent and then go to one of those Stupid Idiot Judges in west Texas and watch what happens.

    Now one could debate the definition "Obvious". If it means that it immediately" comes to mind without a second of thought, then someone could have gotten a patent on using a blunt object to break up ice in a ice maker when the cubes refreezes together. So should we go to 10 seconds, 10 minutes, 10 hours? Too many patents that I have read, are about some idea/use case where all the effort was in filling out the "IP Departments Patent Disclosure Statement, find a few "friends" to sell and share in the IP Department windfall, and push something into Corporate Patent machine.

    Too many patents are ideas; they are never implemented by the inventor. "Inventors" convince some hick sitting in a USPTO office that 'Diagram 400" will work, and voila they get a US74xxxxxxx. When real people that have a real problem to solve, they think about for a while, and after 10 seconds, 10 minutes, 10 hours come up with an approach and then ACTUALLY make that damn thing work. They have no need to look to see if there is anything in the USPTO patent files; they can figure out an approach without any "teaching" outside of their education and previous experience.

    In my experience, the USPTO has a bunch of examiners that are NOT practiced in the art, because if they were worth a crap, they would be working in industry, building things that have value and making 2x their salary (and that is outside of the Patent windfall.) They don't know innovation nor invention from a thought. Because they don't practice, they don't know what is obvious. The whole system is a perversion.

    So I can not accept your premise that the "vast majority of USPTO decisions are right".

    I'm quite convinced that there are "inventors" that have done great innovation things and those inventions desire patents, but in my experience, in my field, the "vast majority of USPTO decisions are BS"

  20. Re:Prior art? by Trepidity · · Score: 2, Insightful

    Really depends on how a court interprets obviousness there. The airlines have prior art for predictive pricing of airplane tickets, but that's not precisely predictive pricing of metered computer resources. Predictive pricing of electricity might be another example, if that's used anywhere (as opposed to pricing based on bidding through an exchange). But to use those to invalidate this patent, you'd have to argue basically: given that predictive pricing is well-known, and given that metering computer resources is well known, metering computer resources with predictive pricing, even if novel, is an obvious combination to someone skilled in the art. Typically the USPTO hasn't made the bar to non-obviousness very high, though.

  21. Re:Free markets by sjames · · Score: 2, Insightful

    No, it's like expecting the Coast Guard to guard the coast.

    I see no reason why it is unreasonable to expect the USPTO to correctly do the one and only thing they exist for.

  22. A Futures Market in Computer Time (Harvard, 1968) by theodp · · Score: 3, Informative

    A Futures Market in Computer Time, Communications of the ACM, June 1968: "An auction method is described for allocating computer time that allows the price of computer time to fluctuate with the demand...if the computer ever is idle, its price automatically becomes attractively low."

  23. Bilski by DoofusOfDeath · · Score: 2, Informative

    I think this coming Monday is the last day of the current SCOTUS session, and is expected to be the day that they give a ruling on the Bilski case. If we wish with all our might, we may hear on Monday that software and algorithms are not considered patentable material.