Compaq Attempts to Muscle eMachines in Court
Anonymous Coward writes "Compaq is suing eMachines for patent infringement, but the real reason might be that
eMachines is invading their sub-$1000 market. Sounds too similar to the Packard Bell story. " (The Packard Bell reference is explained in the linked-to article in case you don't remember Compaq's similar suit against Packard Bell back in 1994.)
Apparently, when one computer maker comes up with a new revolutionary idea, they cross license it to other manufacturers and the other manufacturers do the same. Apparently, emachines was taking a free ride on the innovation train run by the other manufacturers
(From MSNBC)
From Yahoo
The technology in question, including selectable resolution monitor systems and a system designed to boot from CD-ROM or tape, is basic to PC systems.
(They also mention that the result of the earlier PB lawsuits that Compaq filed was the PB had to pay Compaq for 5 years of Patent royalties. The other sources don't mention that)
Information for your digestion on the matter
SP
"It is dangerous to be right when the government is wrong." - Voltaire