Gizmodo
Is the Xbox 360 at risk? Lucent's suit against Microsoft, filed last month, accuses the software and hardware giant of violating a patent relating to the MPEG-2 codec. This could potentially mean game over for MS since DVD movies and some in-game cut scenes are encoded with in MPEG-2 format. According to a partner with a law firm that focuses on IP Law, Lucent may have a stronger case than NTP did against Research in Motion. RIM recently paid over $600 million in its settlement to NTP.
So what does this mean for Xbox 360 owners? Well, not much right now. These types of cases could take up to two to three years to hit the trial phase. Plus, like RIM, Microsoft would much rather settle with Lucent than to let its next generation gold mine be pulled off the market.
Could a Patent Lawsuit Stop the Xbox 360? [PC World]
Comments
Lucent at the most can only sue the MPEG group and even then it's going to have to state why it didn't try enforcing it's patent in the last 10 odd years. If companies like Microsoft license the technology legally, then it can't be held at fault because it was under the correct assumption that it was a legal purchase. For example, you can't arrest someone who buys a grey market item sold at Walmart. You can only sue Walmart. It's customer's are not to be messed with.
i think thats exaclty what lucent expects, that microsoft pays up. btw did you know that for each URL you need to pay a fee to IBM? they've got the patent :P
Lucent is gay.
If Microsoft is in the wrong, it would pay to settle quickly instead of attempting to fight their way out. RIM did that and ended up paying an order of magnitude more that they would have at the start. Just because a suit is stronger than the one against RIM does not mean it is worth more than the one against RIM.
I use to work for GE Licensing and these cases almost always ends up in a settlement + royalty contract.
It is not the Game Devs themselfs that should be worried? Not MS as they only have the MPEG-2 codec enabled on their Hardware
Hey Jason, you sound like someone that could stay around Gizmodo for quite a while. Like maybe even make it to, oh, I don't know, 4000 articles? Nah, no one has ever posted 4000 articles on the Giz, so I wouldn't hold my breath. Bets are you won't make it a year, much less 4000 bylines, but I'm counting on you!
Relevant. Fresh. Cogent. I love this as a first blog by Jason. Jason has blogged more Giz articles (per day) than Wilt Chamberlain shagged NBA groupies...that puts things in perspective. Truly prodigious.
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