Bonum Certa Men Certa

Corporate Debates About Patent Trolls Versus Debates About Patents (or Software Patents in Isolation)

The issues most often overlooked by American corporate media

OpenSecrets slide
Image from OpenSecrets



Summary: A roundup of coverage about the menace which is patent litigation and the different angles chosen for tackling it

There is a perpetual disconnect and a considerable difference between what people want and what large corporations, which virtually if not practically control the US government, actually want. The large corporations want to see small companies/firms crushed, whereas the public in general wants to reduce spurious added costs, incurred by litigation and cross-licensing (shrewdly-disguised price-fixing by large corporations). The patent lawyers at some firm called "Armstrong Teasdale LLP" join the club of whiners over PTAB [1, 2]. They need to accept the rulings which crush software patents in the US, but they are in denial. Generally speaking, patents do not necessarily benefit the US, unless one considers in isolation smaller compartments of US commerce (patent lawyers or CEOs of large corporations). As a new paper's abstract puts it:



We use a detailed data set to estimate the costs and benefits of United States patents. To estimate costs, we combine data from Derwent Litalert with a proprietary dataset of non-practicing entity (NPE) lawsuits collected by Patent Freedom, and use an event study approach to estimate losses suffered by alleged infringers during 1984-2009. To estimate benefits, we combine patent data from the USPTO and EPO with financial data from CRSP and COMPUSTAT, and use market-value regressions to estimate the value of patent rents for publicly-traded US firms during 1979-2002. We find that costs exceed benefits overall and that the gap between costs and benefits has grown across time. Surges in the number of NPE lawsuits, lawsuits filed over Computers/Communications patents, and lawsuits brought against non-manufacturing, software and telecommunications firms contribute to the increase in the gap. Growth in costs outstrips growth in lawsuits, in part, because events in these fast-growing categories have higher-than- average per-event dollar costs.


There are leeches or non-producing players, which hurt customers a lot. According to this article, the "[p]olicy under President Obama is moving against aggressive assertion of software patents, posing significant long-term risk to the profitability of entertainment technology patent holder Rovi (ROVI)."

Whatever destroys trolls is good for the economy -- that is -- the collective economy which includes customers. Profit for businesses is the wrong yardstick to use if the businesses are ones of extortion, such as Intellectual Ventures. As Troll Tracker put it: "What’s going on is, as the issue of patent trolling attracts more and more attention in the mainstream media, the message is getting diluted and the waters are getting muddied." There is also this observation about Lodsys:

Intellectual Ventures (Might Be) Tied To Lodsys: Wait, What?



[...]

It’s a proxy fight, and if Lodsys is successful in getting Mhyrvold to testify, something to that effect will surely come out. No wonder he’s fighting it so hard, he’s trying to avoid exposure. Trolls? This is what happens when you garner FTC attention.


We covered this earlier this week. We also covered the issue in prior years. Lodsys had received patents from Intellectual Ventures, which we know to be using about 2,000 pseudo-companies as litigation proxies. This is a pyramid scheme and part of an extortion racket, wrapped in a riddle and a whole legion of lobbyists.

"Lodsys had received patents from Intellectual Ventures, which we know to be using about 2,000 pseudo-companies as litigation proxies."Mark Bohannon, the Vice President of Corporate Affairs and Global Public Policy at Red Hat (in other words, a chief lobbyist), ought the know the pain caused by trolls like Acacia (it got money from Red Hat several times). Bohannon says that the "House Judiciary Committee Chairman Bob Goodlatte and a wide variety of witnesses highlighted the PAE problem in hearings last winter. Senate Judiciary Committee Chairman Patrick Leahy is working with Chairman Goodlatte and committed to working in a bicameral and bipartisan way to counter what they term 'patent trolling,' which "casts a pall on the system because it hinders innovation.""

He also says: "A number of key issues "left on the cutting room floor" during consideration of the AIA—including the current unreliable, uncertain, and speculative method of calculating damages, correcting the standard for finding willful infringement, and venue—remain important elements of our broken patent system that play to the hands of PAEs and encourage abusive patent litigation.

"While action in these areas remains important, they are absent from the current legislative agenda. Given the widening attacks by PAEs, it is essential that Congress work to produce meaningful legislation on at least the issues identified above in order to begin to stem the tide.

"With many of the key players in Congress—joined by the Executive Branch—rowing in the same direction, let’s look for an updated draft of the House Judiciary bill that enhances its 'first step' proposal. And the Senate Judiciary Committee is well positioned to put forward a robust measure that builds on (and incorporates) the bills introduced by Senators Cornyn and Schumer."

"Get rid of the patents to resolve the issue."The problem is, the White House is still tackling the symptom, not the disease [1, 2, 3, 4]. Those bills are hardly the solution, they tackle a symptom really, one among several symptoms which they mostly fail to address. Todd Bishop, a Microsoft booster, shows Google acquiring more privacy-infringing ideas, which is a problem in itself.

MariaDB, which recently joined OIN and OSI, will remain vulnerable to trolls and as the Oracle case against Google taught us, OIN membership is not enough to dodge litigation from giants, either. Get rid of the patents to resolve the issue. The large corporations are definitely part of the problem, but the White House is literally funded by many of those companies, so don't expect reform in that domain. Expect the White House to go after smaller players, those that opportunistically sue many large companies. This one new example says that "ArrivalStar sued more than 200 companies and cities over bus-tracking patents." Patent trolls like ArrivalStar are a problem, but they are not the only problem and when one looks at the actual patent, then it becomes clear that patent scope is the issue, not the plaintiff per se. As we saw many times before (e.g. Oracle, Apple, Microsoft), large corporations use equally ridiculous patents to extort other companies. According to this post, a troll we wrote about before is still busy in Texas, suing large corporations' clients, so those large corporations get involved:

Earlier this week, we provided an update on the multitude of WiFi-related infringement lawsuits brought by non-practicing entity Innovative Wireless Solutions LLC against various hotels and restaurants in Texas, noting that IWS had dismissed these suits (albeit without prejudice). We had discussed that this was a decidedly “un-Innovatio-like” turn in the cases — but yesterday brought a development that makes this series of disputes much more like the ones in the Northern District of Illinois involving Innovatio: Cisco Systems Inc., a supplier of WiFi equipment for many of the hotels accused of infringement, got involved. And Just like it did with Innovatio, Cisco here filed a declaratory judgment action against IWS, seeking declarations of invalidity and non-infringement as to IWS’s three asserted patents.


It is not easy to kill patent trolls, as Gene Quinn's recent piece indicates. Trolls cannot be sued, so it takes collective effort. The chairwoman of the FTC speaks about predatory tactics of patent trolls. To quote: "At an event co-sponsored by CCIA, FTC Chairwoman Edith Ramirez announced that she would be asking the Commission to institute a Section 6(b) investigation of the patent troll business model. Senator Leahy also sent Chairwoman Ramirez a letter today, encouraging the FTC use its powers “to prevent unfair and deceptive trade practices in patent infringement allegations.”

"It is those large corporations which probably do far more damage than the trolls and the remedy lies within patent scope."Edith Ramirez should ask her colleagues to look at patent scope rather than the nature of firms that sue large corporations. It is those large corporations which probably do far more damage than the trolls and the remedy lies within patent scope. Don't expect any real reform in a nation where large corporations have politicians and government agencies in their pockets. Both political parties (including members of Congress) are controlled and bankrolled by the same large corporations, some more than the other. Always ask yourself when the White House debates trolls or some Congressperson brings up the subject, who are those people funded by? Also, notice who is backing all these pushes against trolls in the corporate sector. As always, money makes the world go round and large corporations are still writing everyone's policies. The public deserves better than that. The corporations-controlled and corporations-run USPTO will continue to grant more patents than ever before (i.e. more profit), it's just that those capitalising on those patents (monopolies) will be fewer and larger. Those patents are not there to encourage innovation, they are there to justify increases in prices, eternally-forbidding commoditisation, e.g. generics in medicine.

Recent Techrights' Posts

Legal Attacks on Techrights Have Made Techrights More Popular and More Widely Read
The misogynists will have plenty of work to do this summer
SLAPP Censorship - Part 142 Out of 200: GemText is Not a Webpage, Gemini Protocol is Not the Web, and Capsules Are Not Websites
our intention to appeal (escalate to the Court of Appeal)
What We Said About Red Hat's Fate Under IBM Turned Out to be Right on the Money (That IBM Lacks)
There are no layoffs at IBM
At Clacton by-election Hustings Event Daniel Pocock Says "Social [Control] Media Has Contributed to Some of the Anti Social Behaviour."
No doubt many problems in society are caused or at least amplified/accentuated by this horrible phenomenon
Over at Tux Machines...
GNU/Linux news for the past day
 
Microsoft Uses Slop to Find Defects and Then Uses Slop to Replace Code, What Could Go Wrong?
Botspam is the problem, it's not a constructive approach in any shape or form
analytics.usa.gov: GNU/Linux Up Some More This Week
Days ago it said 6.4%, now it's up to 6.8%
RA-pocalypse: IBM Tells Workers "Taking a Hike" is Their "Next Step" ('Voluntary' Layoffs), Now It Prepares to Sack Lots of Contractors
There definitely is something going on
Kai Stephens (Barkley Walsh) & British Democrats in Clacton by-election hustings
Reprinted with permission from Daniel Pocock
Daniel Pocock 'Punching' Nazis in the UK
The so-called "cult" of so-called "Debianism" was left with nothing but massive legal bills
Microsoft: Our August 2026 Layoffs Are Not Layoffs Because... Reasons
That's like IBM making "spin-offs", then pretending that no layoffs are happening
Links 07/08/2026: UMG and Anthropic in Trouble Over Copyright Infringements Sold as "Training" (Slop)
Links for the day
Links 07/08/2026: "BMW Is Showing Commercials On Their Car's Dash Screens And They Want You To Think It's A Treat", Software Patents on Drones
Links for the day
IRC Networks Show No Signs of Going Away, IRC Enters Its 39th Year
That IRC daemons are still actively developed and patched in summer of 2026 (over 38 years after IRC was born) says a lot about IRC's importance
Social [Control] Media Needs to Die
I am a bit shocked to recall that I wasted a lot of time on it
Some Malware is Legal Because It's Made and Distributed by Politically-Connected GAFAM
In reality, the security non-experts 'championed' (and salaried) by GAFAM are anti-security people who advocate back doors
The GNU/Linux Anniversary is Next Month, Not This Month
It'll turn 43
IBM Insiders Explain Why IBM is in Very Serious Trouble
Will IBM last long enough for any "quantum" deliverables to become a reality?
The Register MS Took Money From Broadcom to Publish Fake 'News' With "AI" Mentioned 35 Times
not legitimate or authentic journalism.
GNU/Linux Approaching 20% in Georgia (the Country)
Usage of GNU/Linux was near 0%, as measured by statCounter, several years ago
IRC Proceedings: Thursday, August 06, 2026
IRC logs for Thursday, August 06, 2026
Gemini Links 07/08/2026: Radio Amateurism, Summer Updates, and Programming "Taste"
Links for the day
Links 06/08/2026: Billboard Chart Contaminated by Slop Plagiarists, Sheinbaum Blasts Social Control Media
Links for the day
A Long Break and What's Coming Next Year
Some time next year we definitely plan to show how the EFF failed women, failed bloggers, and basically prioritised GAFAM
Daniel Pocock on a "metre-long ballot paper"
The Debian "cult" (as he calls them collectively) is simply jealous of him
Links 06/08/2026: Disney and Fentanylware (TikTok) Deal, "Hearing Aids Shenanigans"
Links for the day
IBM Mass Layoffs Began Yesterday, They're Sold as "Voluntary", the "Offer" Runs for Two Weeks (Last Day August 19th 2026)
IBM will self-detonate while using contractual agreements to force people to smile
Start of September 2026 'Voluntary' Mass Layoffs at IBM, Start of October Red Hat Employees Forced Into the 'Bloodbath' (After Collapse of IBM's Shares)
Red Hat is in trouble
Many GNU/Linux PCs Are Not Connected to the Net or Don't Use the Web
Saying GNU/Linux user-agents are just "bots" (Microsoft Lunduke and other Microsofters say this) is like asserting that the Twin Towers fell not because of two giant planes but because of explosives
They Call Occupations "Professions" Because the "Pro" Means Something
If you want to find tech news online
New Conference Paper (Science of Cyber Security) Credits RMS With Delaying Passwords
When it comes to passwords, RMS was "right"
Removing Gender Barriers in Computer Science
It is not that "women aren't good at maths"
In Brunei, GNU/Linux Approaches International Average of 8.5%
a sharp rise from 0% to about 7.5% happened in a few years
15% of IBM Staff Marked for Layoffs ("RAs"), the Workers' Objective is to Find Another Employer and Leave
"That's not a workforce, that's a waiting room."
Maintenance to be Completed Tonight (IPv6)
Notice how, after 25+ years, we're still not fully adopting IPv6, we're only about 50% there
A Data Centres Hub Puts Everyone at Risk, Especially People Who Live Near Them at Times of War/s
Spoiler: Datacentres are military targets, they attract missiles, some with nuclear warheads
GAFAM Mass Layoffs and Mountains (Trillions of Dollars in 'Secret' or 'Off-the-Ledger') Debt
GAFAM is having layoffs this month
August 2026 Microsoft Layoffs Confirmed by Staff This Week
It's hard to assess how many are impacted but signed an NDA, preventing them from speaking about what really happened
analytics.usa.gov Says 7% of Sessions Come From GNU/Linux and ChromeOS. If ~40% (Mobile) Get Omitted, It's More Like 11%.
In desktops and in laptops GNU/Linux has become a big player
IBM Cannot Survive for Much Longer, There Are Limits to RAs and Offshoring, IBM Now Asks Workers to Quit
IBM is in very serious trouble
SLAPP Censorship - Part 141 Out of 200: Brett Wilson LLP Failed to Learn From the Mistakes of the European Patent Office (EPO)
my solicitor, David Allen Green, put them in their place
Texts of the Claims From Balabhadra (Alex) Graveley and Matthew J. Garrett Almost Identical, I am Suing for Abuse of Process
Half a decade ago Balabhadra (Alex) Graveley from Microsoft and GNOME was arrested for strangulation in Texas
Gemini Links 06/08/2026: "Eat That Frog", Mutt Terminal Email Guide, and BASICODE
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, August 05, 2026
IRC logs for Wednesday, August 05, 2026
Big Announcement Tomorrow
Stay tuned...
GNU/Linux Seen Exceeding 10% in Antigua and Barbuda
In Antigua And Barbuda, what's seen this month is not far from the average
Gemini Links 05/08/2026: Family Room, Smoke, and Alarm clocks
Links for the day
The Establishment, Oxford, Google & Debian artificial intelligence conspiracies
Reprinted with permission from Daniel Pocock
SLAPP Censorship - Part 140 Out of 200: You Become What You Eat, Your Clients Become You
In 2024 Brett Wilson LLP failed to heed a decade-old warning
Debian losses in Switzerland hidden until after DPL election debate
Reprinted with permission from Daniel Pocock
Links 05/08/2026: Microsoft's (XBox's) "Devastating July" and "Never Write With" Slop, Says New York Times
Links for the day
Gemini Links 05/08/2026: No to Slop, Dangers of Clown Computing, and Reducing Internet Usage
Links for the day
The Register MS Takes Money From NVIDIA and HP to Promote Their Ponzi Scheme, "AI", in a Fake 'Article' That Says "AI" 42 Times
"The media"... selling us scams for profit
Fertility app privacy, Britain's teenage pregnancies & faith based schooling
Reprinted with permission from Daniel Pocock
In Chile, GNU/Linux Approaches 4%
Let's see if it can exceed 5% by year's end
No Room for Misogyny and Incels in Free Software
How can we ever trust men whose own family and their own partners cannot trust?
How to Dehumanise a Triple National
Don't be easily incited against those who sacrifice a lot to inform the public of suppressed topics
In El Salvador, ChromeOS and GNU/Linux Now Measured at Around 12%
signs of gradual and steady adoption of GNU/Linux
Software in the Public Interest (SPI) Starts Spending Big Money in an Effort to Resist Lawsuit From Daniel Pocock
They've lost over half a million dollars in the latest 3 years
The Establishment, Cambridge, Steve McIntyre & Debian suicide cluster
Reprinted with permission from Daniel Pocock
Links 05/08/2026: Internet Archive Harmed by Slop Bot, "EBay And Former Execs Agree to Pay $56 Million For Trying to ‘Crush’ a Journalist"
Links for the day
Luxembourg and Software Freedom
Luxembourg's adoption of GNU/Linux has quite consistently been higher than the European average
The Free Software Foundation (FSF) Web Site is Online, GNU's Site Having Issues (Ongoing Issues)
We hope they can rectify the issues with the GNU Web site
Freedom Includes the Liberty to Disagree (and be Listened to, Not Censored)
Freedom is our collective strength
Tanzania: GNU/Linux Now Seen on 8% on Desktops/Laptops (User Clients)
numbers have more than doubled
IBM CEO Says IBM Won't be Bankrupt by 2028 or 2029 (When He Reaches Retirement Age)
IBM has no path to survival
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, August 04, 2026
IRC logs for Tuesday, August 04, 2026
Gemini Links 05/08/2026: Being Good, Tildeverse and Tilde.pink, Games
Links for the day