Bonum Certa Men Certa

Microsoft Sued by VirnetX (Again) and Kodak Alleges That Microsoft's Patent Troll Bullies Companies Along With Ray Niro

Nathan Myhrvold



Summary: Intellectual Ventures is said to be attacking companies using its proxies and Microsoft suffers the wrath of the very practice it advocated with investments (patent trolling)

WITH some of its latest patent deals (e.g. Amazon [1, 2, 3]), Microsoft made it abundantly clear that it views racketeering [1, 2, 3, 4, 5, 6, 7] as an acceptable business model. No Microsoft executives have been arrested for it because we live in a society that typically jails the poor and glorifies the rich. It's part of the indoctrination system. We are taught that large entities are immune to social responsibilities, whereas small ones can be viewed of "crooks", "nutcases", or "terrorists". Both are harmful and there is room for infinite hypocrisy.



But anyway, Microsoft is quickly finding out that those small "terrorists" -- the patent trolls -- can cause a lot of damage. Shortly after losing the VirnetX case [1, 2, 3, 4, 5, 6, 7, 8], Microsoft gets sued by VirnetX again (this time triple damages for Vista 7). VirnetX is of course just a patent troll that contributes nothing to industry, whereas Microsoft is a marketing firm that contributes nothing to industry, except harm and monoculture.

"Usually Microsoft doesn't develop products, we buy products."

--Arno Edelmann, Microsoft's European business security product manager



Here is some more coverage of Microsoft's loss to VirnetX:

Microsoft has been ordered by a US federal jury in Texas to pay nearly $106m to VirnetX Holding Corporation for infringing two internet communication patents.


Microsoft's booster Emil Protalinski says that Microsoft will appeal, as usual. It's the same rollercoaster of exhaustion when it comes to i4i [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12].

“Microsoft is a patent troll or at least a backer of some; one could argue that Microsoft is a patent troll by association...”Based on the words of Microsoft's patent troll at Intellectual Ventures, this massive patent-trolling firm was created after discussions with Bill Gates; he created his own troll to 'address' the issue of patent trolls. In order to avoid the "troll" status, Gates and his friends established a model whereby there is reliance on a central hoarder of patents that lends patents to legal attack dogs. This business model has proven successful because some large companies paid "protection money" to Intellectual Ventures under NDAs. Intellectual Ventures has no less 1,000 firms connected to it; these firms are akin to armed mafia people who will go around shooting victims and their families under "mysterious circumstances" unless those victims pay money to the mafia Dons, namely Nathan Myhrvold, Bill Gates, and their ilk (they are financially connected and Gates is part of this vehicle that resembles pyramid schemes). Microsoft is a patent troll or at least a backer of some; one could argue that Microsoft is a patent troll by association and the following new article sheds light on the connection to the father of patent trolling, Ray Niro. We wrote about this connection before

"Kodak Says Intellectual Ventures Behind Patent Lawsuit Filed By Shell Company," says TechDirt:

It seems that at least one company sued over such a patent is hitting back. Joe Mullin points us to the Legal Pad blog, which notes that Kodak, who has been sued for patent infringement by a shell company (PFI) being represented by Ray Niro (famous for, among other things, being the first person labeled a "patent troll," as well as suing a bunch of companies he didn't like with a bogus patent -- finally rejected for good, recently -- that he claimed covered any website that used a JPEG image), doesn't believe that it's really the shell company that's behind this lawsuit. It's demanding that Intellectual Ventures take part...


The original report asks, "Will Patent Holder IV [Intellectual Ventures] Show Its Face to Kodak?"

Kodak is trying to draw large patent hoarder Intellectual Ventures into court.

With its 30,000 patents and opaque veil of mystery, IV has shied away from the courts, likely because an allergy to discovery. But with its new money making scheme of selling patents to trolls who then file lawsuits (free reg. req.), you knew that IV would eventually end up in a courtroom.

Here are the basics on the Kodak case:

1. IV sold patent to shell company named Picture Frame Innovations.

2. Picture Frame, represented by Ray “the original patent troll” Niro, sued Kodak for patent infringement.

3. IV co-founder Peter Detkin told me last year that IV is now cutting deals where it sells patents and takes a cut of any money made by filing lawsuits (free reg. req.). So it seemed like IV might have struck such a deal with Picture Frame and Niro.


We wrote about Kodak and patents before [1, 2].

Recent Techrights' Posts

The Register MS is Promoting a Pyramid Scheme for Money, But It Is Over 6 Million Pounds in Debt
How much lower can the reputation of this publisher sink?
The Cyber Show on How Data is Misused and Broadcast is Abused to Crush Resistance to Harmful Technology
We recently published a number of articles about how Computer Science is coming under attack
Assessing the "Worth" of a Life
Don't let blunt plutocrats decide whether Venezuelans deserve sympathy or not
More Weight of IBM's Stock is Ascribed to Lies and Things That Do Not Exist
Turning stones into gold?
SLAPP Censorship - Part 118 Out of 200: Exposing Crimes is Not a Crime, It is a Public Service
We will soon enter the sixth year of lawfare
 
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, June 25, 2026
IRC logs for Thursday, June 25, 2026
Microsoft Falls to Lowest Value Since 2023
Microsoft can come back down to somewhere below $100
This Could be the Start of Microsoft's Biggest Wave of Layoffs in 50+ Years
This is what it looked like for Intel a few years ago
Gemini Links 25/06/2026: Unix-like People and NeoGeo
Links for the day
Members of the Delegations in the EPO's Administrative Council Told That Amid Unrest Campinos Must Go; a Year of EPO Strikes Means It's Time to Change Leadership
Which strategy is needed for the European Patent Organisation?
Increasing Participation Rates in Staff Representatives' Elections at the European Patent Office (EPO)
The industrial actions seem to have brought colleagues closer together
Microsoft's Mass Layoffs Have Already Begun (Could Not Wait 'Til July)
Microsoft's biggest layoffs round in 50+ years?
Planning 20-Year Techrights Event
Interested people can contact us in IRC
Links 25/06/2026: Earthquakes Strike Venezuela, Conflict of Interest in Kangaroo Court UPC
Links for the day
Links 25/06/2026: "Why We Need Seed Legislation" and XBox Chaos Predicted by Insiders
Links for the day
Gemini Links 25/06/2026: Hobbies Change, Young love, Strange Encounter, and Raspberry Pi Zero W
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, June 24, 2026
IRC logs for Wednesday, June 24, 2026
Don the Con Meets the Conman From IBM, Shares of IBM Continue Sliding Some More
The "Quantum" hype did not last long [...] PIPs are the new layoffs
Retaliatory Whistleblowing Expected at Microsoft During or After the Mass Layoffs
Retaliatory behaviour by Microsoft will backfire
Gemini Links 24/06/2026: Heatwave, Steam Next Fest, and Year of Buying Guitar Pedals
Links for the day
Links 24/06/2026: China Tops "TOP500", Impact of Microsoft’s Massive Layoffs Extends Further, Internet Society's Community Snapshot
Links for the day
While Thousands at IBM Lose Their Jobs ("Silent Layoffs") IBM's CEO Goes Begging the Dictator for Bailouts, Based on Deliberate Lies About "Quantum"
Many who claim to be retiring are only in their 40s and 50s. They're too proud to publicly admit what IBM did to them.
European Patent Office (EPO) Series: London Calling...
EPO Vice-President in charge of the "Patent Granting Process" is likely to have been a pay-off for the support which the UK gave to Campinos in 2017
Faking Productivity With Slop and Wasting Money on Faking 'Productivity': A Microsoft Story
If the quality of everything at Microsoft goes down
IBM Sends Workers 'Packing', Sometimes With the "Low Performer" Label That Imperils Their Future
To many people out there, IBM correlates with deceit
Links 24/06/2026: Four-Day Workweeks, GM Cut 1,000 Workers at Its EV Plant, 21,000+ Oracle Layoffs
Links for the day
A Step in the Right Direction (EU) in the Fight Against LLM Slop From GAFAM (US)
We've already mentioned this in Daily Links, but let's discuss this a little further
SLAPP Censorship - Part 117 Out of 200: Libel Tourism or Defamation Forum-Shopping in the United Kingdom Condemned by the European Union (EU)
Last week we reminded readers that the EU had criticised UK defamation law
Demonstration Next Week at the European Patent Office (EPO), Administrative Council Seen as Complicit
Corruption in Europe hurts all of us
IBM is Now Hinged on False Accounting and False Promises
This is the legacy of the current CEO
"PARTNER CONTENT" or 'Content Farms' That Promote Slop and Misinformation (The Register MS)
The Register MS represents a big part of the problem we all face
Wikipedia - Like Some Free Software Projects Infiltrated and Bribed - Bans Its Own Founder
Over the years we've named (not shamed) some projects and organisations that got corrupted by money and ended up banning their own founders
Turn Off the Slop, It's Wasting Energy and Destroying the Planet (the Only Planet We Have)
Right now we see lots of headlines about energy shortages and drained-up reserves
Lessons From Almost 30 Years of Site-Building Activities
We still strive to become faster and lighter
Do Not Outsource (the Seductive Mirage)
Abandoning so-called 'conventional wisdom'
Media Complicit in IBM Fraud Meant to Prop Up the Share Price Based on Lies, Fabrications
Even IBM insiders are fuming at this
The “Aktion T4” at the European Patent Office (EPO) Saves Money for the President's Own Purse
Call for parents of children with special needs
In Some Countries, Windows Has Lost Its Monopoly
Windows fell to an all-time low globally this month
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, June 23, 2026
IRC logs for Tuesday, June 23, 2026
Gemini Links 24/06/2026: Motivation, PostScript Printer, and Why Hyperscalers and the Smolnet are Compatible
Links for the day