Bonum Certa Men Certa

Software Patents and the FTC's Red Herring

Red herring



Summary: The core problem with the USPTO remains unchallenged because the wrong problem -- or a symptom rather -- is being described and slowly addressed

The USPTO has been harbouring a culture of patenting, motivated for the most part by large corporations' desire to have mechanisms of protectionism in place, barring or weighing down emerging competition (sometimes domestic but especially foreign). The illusion of a 'free market' should be warped to speak of unregulated markets where large corporations are free to do as they please, always assured that the government that they pay will protect them when the need arises, be it by patent monopolies or even espionage overseas (see Cablegate on Boeing for examples). In this culture where offices like the patent office are run by people who came from large corporations (revolving doors) it is not surprising that even so-called 'reforms' are structured to benefit large corporations.

According to this report from the corporate media, the US government (a branch of it) "said it created a pilot program in which its six administrative judges will in some cases determine within 100 days if companies that sue for infringement have adequate U.S. production, research or licensing to use the court."



"In this culture where offices like the patent office are run by people who came from large corporations (revolving doors) it is not surprising that even so-called ‘reforms’ are structured to benefit large corporations."This is not the right thing to do [1, 2, 3, 4]. What they need to do is assess the quality and especially the scope of the patents, irrespective of the plaintiff. They are doing a sort of ad hominem disservice by looking at a real issue which is nevertheless not the core issue.

Well, citing the pro-software patents blog that lobbies on scope and defends trolls, Groklaw names David Kappos, former head of the USPTO and an IBM faithful. Pamela Jones writes: "This is why Kappos failed. He misunderstood what the criticism of the patent system is about. It has *nothing* to do with a reluctance to pay. It's about protecting innovation in a system that has allowed such broad functional claiming, blocking off entire areas of software development, that no one can innovate safely any more. That damages the patent system and the economy and it brings innovation to a halt. The rest is ideology and daydreams."

The FTC is not going to resolve the overall problem even if it tackles patent trolls. The problem is not correctly identified, just a symptom of this problem. As some wise person noted the other day, there is no good understanding of these issues, so the commission will fail. To quote:

First, it notes that the chairwoman of the FTC is expected to recommend an investigation of patent trolls (or "frivolous patent lawsuits" as specified in the headline). The promised further action has not been confirmed, so we will have to wait and see.

The Times then slid around the "patent troll" name and henceforth called them by the less pejorative "patent-assertion entity" or PAE. Still, adding some weight to the promise of action was the "several executive orders" from President Obama "directing executive agencies to take steps to take steps to 'protect innovators from frivolous litigation.'"

The article goes on to describe patent trolls as typically having no operations other than collecting royalties on patents and says that they accounted for more than 60 percent of the roughly 4,000 patent lawsuits filed last year, up from 29 percent two years earlier.

But then the article notes one company that calls itself a "patent-licensing company," raising the question of "what's in a name".

In any case, the Times expects the full commission (two Democrats and two Republicans, with one seat empty), to approve a study.


What they fail to see is that a large company like Microsoft is also engaged in patent assertion. Some say Microsoft makes billions of dollars this way, at the expense of those who actually sell products that customers want. It makes Microsoft not all that different from patent trolls. Sometimes Microsoft uses a proxy like Vringo, which Troll Tracker describes as follows today:
But is that really what Vringo is doing? Are they taking someone’s IP and making something useful out of it, because that person/company cannot? Or are they taking patents that were sold to them by, oh, I dunno, Microsoft just for instance, and using them as a bully stick with which to beat other companies who have already manufactured something of good use and likely didn’t even infringe but will settle so they don’t have to litigate? That’s what would be a bad thing, right?


To get an example of classic patent trolls, see this new article from Joe Mullin, who says that "With so many patents out there claiming rights to basic Web-based technologies, at this point there aren't many businesses in America that are unaffected by so-called "patent trolls." But one troll, ArrivalStar, found a fresh set of targets that earned it serious scorn: public transit systems."

Here is another article about it. "For several years now," it says, "a curious company called ArrivalStar – which has no website, appears to produce nothing, and is oddly registered in Luxembourg – has been systematically suing public transit agencies in the United States. As we wrote last April, the company holds a collection of dubious patents tied to the technology of tracking vehicles in motion. And it has been using them to claim patent infringement by transit agencies that ... track vehicles in motion."

"At the end of the day the largest corporations will benefit and everyone else will suffer even more."This is starting to get a lot of national coverage.Public transit agencies across US say they’re being squeezed by questionable patent lawsuits, according to the Washington Post. Another article says that "A patent holding company has filed eight lawsuits against U.S. banking institutions in recent weeks, claiming patent infringement on products and services related to security and electronic banking."

What makes this troll a problem is that it hurts the rich, and therefore politicians will go after it with great passion. To Quote further: "In some cases, the patents mentioned in these suits are alleged to cover basic banking functions and features used in ATM and online-banking transactions. In other cases, even cryptography methods used to conform to security standards, such as the Payment Card Industry Data Security Standard, have been brought into question, Denaro says."

A simple ban on software and business method patents would resolve this, but the government goes after those entities not because of their patents but because of their business model. What a red herring this is. At the end of the day the largest corporations will benefit and everyone else will suffer even more.

Recent Techrights' Posts

GNU/Linux Seen as Rising to 20% in Eritrea, But That's statCounter Identifying "Unknown" as GNU/Linux
What if statCounter managed to figure out what all those "unknowns" are?
 
Garrett Does Not Just Try to Cover Up for Himself, He's Clearly Covering Up for His Mates From Microsoft (and Admits Third Parties Fund His Litigation, With Their Legal Bills Estimates Already Approaching $1,000,000)
They have already sent us about 75 KG of legal papers. How is any judge supposed to keep up?
Richard Stallman in the United States - Part IV - Back to Switzerland
The "cancel mob" tried to "finish off" RMS 5 years ago
Dr. Richard Stallman in Ada Lovelace Lecture Series 20 Hours From Now in Lucerne School of Computer Science and Information Technology (Rotkreuz)
Well-connected and affluent corporations want everything to be controlled by them, ranging from culture to words and news
Threats Issued to Daniel Pocock Having Launched the JuristGate Web Site Which Covers Financial Fraud in "Legal Insurance" Clothing
Is our world governed by laws or by rich corporations (or nations/superpowers) with well-connected lawyers/politicians?
International Women's Day: At the EPO, for Women to Become Managers They Need to Sleep With Well-connected Men and Mingle With Corrupt Men
Sunday is International Women's Day
Dr. Richard Stallman Starts His Talks in Switzerland in 8 Hours
They try to assess how many people plan to attend to ensure everyone gets a seat (without compromising the privacy/identity of those attending)
IBM Red Hat Layoffs: It's Not About "AI"
"Automation" is not "AI", it's just a generic term which can describe jobs left for machines to do, sometimes computers
Microsoft Windows Used to be Identified on Over 99% of Web Requests From Benin. Now It's Around 50%.
Or a lot less
Microsoft 'Open' 'AI' Has Severe Financial Problems, Version Inflation ("GPT-5.4") is Mindless Hype and a Misleading Distraction
In practice, both users and sponsors of ChaffGPT are fleeing
The Techrights Static Site Generator (SSG) Turns 5 Next Year
It's still under active development in our Git servers
New XBox Boss (Sharma) Implicitly Confirmed XBox (the Console) is Now Dead
Vista 11 is now also known as "XBox"
Murder as a 'Joke' to GAFAM People (Sociopathy)
When it comes to Microsoft and Salesforce, they profit from this mentality
Microsoft ‘Project Helix’ is Just a Tweet in MElon's "X"
Some "tweet" is easy, as words are cheap
Microsofters' SLAPP Censorship - Part 4 Out of 200: Rianne’s Version of Events and Narrative
today we tell Rianne's experience
EPO Staff to 'Meet' This Coming Tuesday to Plan Industrial Actions Including Upcoming Strikes
using Microsoft spyware to organise this can be an own goal because Microsoft serves the dictators, not the union that tries to topple them
Thousands of EPO Workers Rally Against EPO Management
The staff is furious to see what became of the EPC and the EPO. This is not sustainable.
In Argentina Firefox is Measured at Only 1%, Google Chrome (Proprietary) at About 90%
And it has long been that way
IBM's March 2026 Layoffs Already Happening (to Accelerate Soon in Europe and America)
We're probably seeing some of the last years of IBM and it's anything but certain that IBM can survive the coming decade
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, March 05, 2026
IRC logs for Thursday, March 05, 2026
Gemini Links 05/03/2026: Industrial Panettone, Cancel, and LLMs
Links for the day
It's Not "AI", IBM is Collapsing Due to Financial Difficulties, "All Small Country Offices Will Close"
IBM is in trouble. Insiders know it.
"AI Companies" Running Out of Money, GAFAM Layoffs Are Signs of Weakness, Not "AI Efficiency" or Novelty
In the past, this term ("AI") had another meaning and connotation
Libel/Defamation Law Does Not Exist to Cover up Crimes
The projection tactics are nothing new
Myanmar/Burma: Growing Acceptance of GNU/Linux, Big Losses for Windows
GNU/Linux has come close to 5% there
Without IBM, Microsoft Would Not Have Taken Off. Both Companies Need to be 'Taken Down'.
Maybe it's time to boycott IBM as well
'Former' Red Hat Staff Upset That Techrights Covers IBM Accounting Problems
Are we touching a sensitive subject at IBM?
Ubuntu is Controlled by a Youngster From the British Army (Background in Mass Surveillance), So One Can Expect Ubuntu to Not Respect Privacy
"Canonical is aware of the legislation and is reviewing it internally with legal counsel"
IBM Hates Computer Freedom. This Means Red Hat Too is an Enemy of Software Freedom.
A summary of Fedora's position when it comes to "attestation"
IBM Union Says Many IBM Layoffs in Europe, With Netherlands and Belgium Confirmed, Allegedly Italy Soon (200 Layoffs)
IBM's demise will harm Red Hat and already harms Red Hat, according to whistleblowers
Microsoft and Microsoft's 'Open' 'AI' Seeking Bailout From the Pentagon Means Brand Erosion
Microsoft and its offshoots growing more and more dependent on military ("defence"; "Department of War") budget
Another EPO Strike a Fortnight From Now, Local Staff Committee Munich (LSCMN) Shares 127-Page Document Explaining How Policies Impact EPO Staff
The Office is circling down the drain
Microsofters' SLAPP Censorship - Part 3 Out of 200: A More In-Depth Breakdown
presents the narrative in a less chronological and more logically coherent fashion
2026 Seems Like (Potentially) the Last Year of Slop Drowning News Sites
Sites that do so perish [...] It's getting hard to find slop in news sites which cover "Linux" because many gave up
Links 05/03/2026: New LexisNexis Data Breach Confirmed, "Goldman Sachs Head During Financial Crisis Says He “Smells” a Similar Crash Coming"
Links for the day
"Silent Layoffs" or "Forever Layoffs" at IBM and Red Hat (After Bluewashing)
Like every day (all day long) we can see people who leave IBM and say something that's based on a 'script'
Free Software Foundation (FSF) and Others Promoting String of RMS Talks, Starting Tomorrow in Lucerne School of Computer Science and Information Technology
Well done, FSF!
Links 05/03/2026: A Bet Against Substack, American Government Openly Hostile Towards Environment
Links for the day
Gemini Links 05/03/2026: Greed and Sentiments Shifting Against Slop
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, March 04, 2026
IRC logs for Wednesday, March 04, 2026
FSF Promoting Richard M. Stallman (RMS) Talk in Switzerland in Just Over a Day From Now
RMS may have more talks on the way
Why Slop Will Flop - Part IV - We've Seen the End of It
Some years ago they insisted blockchains would revolutionise everything
Android is Proprietary 'Linux' and It Becomes More Malicious Over Time, Google Only Delayed What It Planned All Along
Google is a proprietary software giant, GSoC is only a distraction and confusion
Links 04/03/2026: Scam Altman Causes Chatbot Sub Numbers to Plunge, "Stocks Drop as Inflation Risk Emerges"
Links for the day
Why Slop Will Flop - Part III - Our Relationship With Slop (and Yours)
I never - except inadvertently - "used" an LLM-based chatbot
Why Slop Will Flop - Part II - Devil in the Details
News sites or social control media sites which tolerate slop are digging their own grave
Simpler Means Faster
Do you know your bottlenecks?
Gemini Links 04/03/2026: About a Missing Symbol and "Good Manners"
Links for the day
The Register MS Takes Money From Chinese Surveillance Threat to Promote a Ponzi Scheme
"Sponsored by Huawei."
Nicaragua's GNU/Linux Usage Measured at Over 8% by statCounter
Nicaragua is a poor country, but it also has rich culture
Why Slop Will Flop - Part I - Slop Fatigue Prevalent
See, sooner or later people (audiences of colleagues) find out and as soon as they find out you are slopping, they will lose interest
Microsofters' SLAPP Censorship - Part 2 Out of 200: Detailed Timeline From 2012 (Attack on Reporters That Question Restricted Boot) to 2024 (Lawsuit Against Reporter and His Wife in Another Continent)
we reproduce a document produced 2 years ago to give people more context and more facts
Links 04/03/2026: "The EU moves to kill infinite scrolling" and a call to "Nationalize Amazon"
Links for the day
Coming Soon: Evidence of Abuse in Our IRC Network
IRC's freedom can sometimes be its 'weakness' if not properly guarded
High GNU/Linux Adoption in Brunei Darussalam
It's worth noting (or at least noticing) that Microsoft loses ground in some of the countries where the government contracts paid the most
Media Blackout Reducing or Preventing Press Coverage of Microsoft Layoffs in 2026
Worse yet, there will be gaslighting and deceit
GNU/Linux in Laptops/Desktops Still Matters, It's Likely the Only Way to Achieve Software Freedom
Software Freedom requires all sorts of things at the "OS level"
Gemini Links 04/03/2026: The Garnet Star, The Hunt, The SYN Attacks
Links for the day
The EPO's General Consultative Committee (GCC) Discussion Illuminates How Much Worse Things Have Gotten ("on Strike and Participated in the 'Meeting'")
a videoconference - not a physical meeting - discussed EPO policies
Free Software Foundation Supports Its Founder, Advertises His Talks in Switzerland
When you suppress voices, assuming the reasons for suppression are bunk, it is always bound to backfire very badly
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, March 03, 2026
IRC logs for Tuesday, March 03, 2026