TEN years ago we indexed articles about Intellectual Ventures, having written about it for almost a dozen years. Intellectual Ventures isn't just another patent troll because 1) it's the world's largest; 2) it's operating through literally thousands of shells; 3) it originates in Microsoft and 4) it is still being funded by Microsoft, even when Microsoft keeps saying that it "loves Linux."
On March 26, 2018, the Patent Trial and Appeal Board issued a final written decision in Unified Patents Inc. v. Intellectual Ventures I, LLC, IPR2016-01643 invalidating all challenged claims of U.S. Patent 6,775,745 owned and asserted by Intellectual Ventures I, LLC, a well-known NPE. The '745 Patent, directed to a hybrid data caching mechanism, has been asserted in multiple litigations against several companies including EMC (Dell), Lenovo and NetApp. At the time of this decision, the litigation against these companies remains pending.
As the next wave of internet usage, the Internet of Things (IoT) will transform industries and provide new opportunities for technological advances. The IoT can be viewed as a means to connect objects, machines and humans in large-scale communication networks. Gartner estimates that there will be 20.4 billion IoT-connected components worldwide by 2020, and more than half of major new business systems and processes will include a IoT component.
Furthermore, according to a 2017 Boston Consulting Group report, the market for IoT products and services is expected to reach $267 billion by 2020. The report predicts that by 2020, 50 percent of all IoT spending will be driven by discrete manufacturing, transportation, logistics and utilities—critical areas of businesses and community infrastructure.
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While it has experienced nearly exponential growth, the successful adoption and use of open-source by banking networks, mobile phone manufacturers, telecom networks, smart cars, cloud computing and blockchain platforms, among numerous others, was not a foregone conclusion. In 2003, there was an IP-based attack on Linux, the most prevalent open-source software project.
While the claims underlying the litigation ultimately were found to be without merit in the court proceeding, it was a wake-up call to several IP-savvy companies as to the potential negative impact of patent aggression on the growth of Linux and open source software projects. IBM, Red Hat and SUSE (then Novell) coordinated an effort with Sony, Philips and NEC to conceptualize and implement a solution designed to create a patent no-fly zone around the core of Linux.