Bonum Certa Men Certa

In Maxon v Funai the High 'Patent Court' (CAFC) Reaffirms Disdain for Software Patents, Which Are Nowadays Harder to Get and Then Defend

In the fight against (or to water down) 35 U.S.C. €§ 101 the patent microcosm coins inane if not laughable sound bites like "Berkheimer Effect"

FunaiSummary: With the wealth of decisions from the Court of Appeals for the Federal Circuit (CAFC) wherein software patents get discarded (Funai being the latest example), the public needs to ask itself whether patent law firms are honest when they make claims about resurgence of software patents by 'pulling a Berkheimer' or coming up with terms like "Berkheimer Effect"

ANOTHER week goes by and the USPTO is still rejecting software patents. Not all of them, but a lot of them. That might soon change, but not so radically. This post outlines some recent developments.



A few hours ago BGR published this report, revealing that Walmart is pursuing shoddy software patents but dresses these up as "blockchain" (the usual trick).

To quote BGR:

While the majority of the world is having fun watching Bitcoin go up and down faster than a yo-yo, companies are scrambling to get in on the craze. In some cases, that just means announcing a “pivot to Bitcoin” and watching your company die; in other instances, it means taking the underlying technology of blockchain and applying it to conventional retail.

[...]

Of course, Walmart isn’t new to the world of payment processing. It spearheaded a new payment protocol that was being developed a few years ago as a rival to Apple Pay and other mobile wallet systems, called CurrentC. That system relied on users scanning a QR code and then the cashier scanning another QR code off your phone screen, and was undeniably terrible. Luckily, the popularity of Apple Pay and Google Wallet made CurrentC DOA.


One week ago we wrote about this 'blockchaining' of patents; this is the first time we see Walmart being mentioned in this context.

It's not hard to understand why Walmart relies on hype like blockchains. It's one pretty trivial way to make old ideas sound more innovative. Maybe when the hype tapers off they'll just move on to the next hype wave. Maybe they'll just call servers "cloud", databases "blockchain", algorithms "AI", and surveillance "smart". It's all about 'fashion' and marketing.

When it comes to software patents, nothing has inherently or profoundly changed. The Office and patent courts still mostly reject these. As a new example of software patents being rendered invalid (under the Mayo/Alice test and 35 U.S.C. €§ 101) see this short article by Mike McCandlish. It's about Funai and Maxon:

Affirming a motion to dismiss, the Federal Circuit found claims from four patents, directed to “electronic means of increasing user control over subscription entertainment content,” patent-ineligible under the Mayo/Alice test and 35 U.S.C. €§ 101. Maxon, LLC, v. Funai Corporation, Inc., (Fed. Cir. April 9, 2018) (non-precedential).

[...]

In step 2, the court agreed with the district court that the claims did not provide an inventive concept. The claims recited only generic computing processes using functional language. The claimed computer elements such as “computer-readable medium,” “logic,” “processor,” and “transceiver” were also generic, with no distinguishing limitations. The ordered combination of the claimed elements did nothing to elevate them to an inventive concept.


For the Federal Circuit to do this is noteworthy, even if the decision is non-precedential. Cheryl Beise wrote that "dismissing a patent infringement suit filed by Maxon, LLC against several smart television manufacturers on the ground that the asserted patents [...] an abstract idea that lacked an inventive concept..."

She too mentioned that it's "a nonprecedential decision." To quote:

The federal district court in Chicago did not err in dismissing a patent infringement suit filed by Maxon, LLC against several smart television manufacturers on the ground that the asserted patents—describing an electronic means of increasing user control over subscription entertainment content for smart TVs—were invalid as directed to an abstract idea that lacked an inventive concept, the U.S. Court of Appeals for the Federal Circuit has held in a nonprecedential decision.


Watchtroll wrote about it almost 12 days late:

On Monday, April 9th, the Court of Appeals for the Federal Circuit upheld the invalidity of a series of patents asserted against the American subsidiary of Japanese consumer electronics firm Funai. The patents, owned by Illinois-based Maxon, LLC, covered electronic means for improving user control over subscription entertainment content but the claimed technologies were deemed to be invalid under 35 U.S.C. €§ 101, the basic statute governing the patentability of inventions. The decision was issued by a panel comprised of Chief Judge Sharon Prost and Circuit Judges Todd Hughes and Kara Stoll.


What's noteworthy here is that the Federal Circuit sticks to its guns, no matter what the patent microcosm keeps trying to tell the public. Several days ago we saw Steven M. Jensen and Jonathon P. Western spending more money promoting loopholes; we covered this before (rebuttal), but this has just been reposted by sites of the patent microcosm [1, 2].

The patent microcosm generally likes to name-drop Berkheimer and Aatrix these days; we wrote nearly a dozen rebuttals on this topic alone (those two cases), but here we see the same thing brought up again. The patent microcosm says that an "opinion has had a particularly adverse effect on so-called “software” enabled patents; the buzz being that the very concept of “software” patents is now dead."

They're not dead per se, but the low chances of winning cases with software patents makes them too risky to assert and thus unworthy of pursuing in the first place.

Here is how the patent microcosm put it:

It seems that Douglas Adams has a great many fans in the universe of IP law. While he almost certainly didn’t have patent issues in mind while penning his cult classic, he was nevertheless prophetic of our current situation. In 2014, the Supreme Court issued its landmark Alice decision, which had the effect of significantly raising the bar for “patent eligibility.” The opinion has had a particularly adverse effect on so-called “software” enabled patents; the buzz being that the very concept of “software” patents is now dead. As a general proposition, that statement is simply wrong. However, it is true that many software patents—primarily those issued before the days of Alice—are now being invalidated for claiming only “abstract” ideas.

But what exactly does it mean to be “abstract”? Because of the amorphous state of patent “eligibility” standards, the decisions invalidating “abstract” patents largely lack consistency or predictability. I have listened to numerous District and Appellate Judges as well as new USPTO director Adrei Iancu suggest, or say outright, that the current standards for defining an “abstract idea” are a virtual black hole. I completely agree.


They can't even spell Andrei Iancu right; we keep seeing law firms failing to name him correctly (variation of mistakes) while pressuring him to embrace patent maximalism.

Moving on a bit, watch Charles Bieneman trying to 'pull a Berkheimer' because he refuses to tolerate the de facto 'death' of software patents in the US.

He comes up with the term "Berkheimer Effect":

A complaint for patent infringement has survived a Rule 12 motion to dismiss by making specific factual allegations to support arguments that the claims met the patent-eligibility requirements of Alice and 35 U.S.C. €§ 101. Sound View Innovations, LLC v. Hulu, LLC, No. LA CV17-04146 JAK (PLAx) (C.D. Cal. April 11, 2018). The patents at issue related to systems for operating and managing databases. (US Patent Nos. 5,806,062; 6,125,371; and 9,462,074.) This case is another sign that the Federal Circuit’s early-2018 decisions in Berkheimer v. HP, Inc. and Aatrix Software, Inc. v. Green Shades Software, Inc., may pose a new obstacle for parties seeing to invalidate patent claims under Section 101 – especially defendants filing motions at the pleadings stage in patent infringement lawsuits.


Bieneman wrote about another €§ 101 case:

Providing a common data format for “out-of-band network management” is patent-eligible, said a court in denying a motion to dismiss under FRCP 12 and 35 U.S.C. €§ 101. Avocent Huntsville LLC v. ZPE Systems, Inc., No. 3:17-cv-04319-WHO (N.D. Cal. March 21, 2018). In applying the Alice patent-eligibility test, the court thought that the claims of U.S. Patent Nos. 7,478,152 and 7,853,682 fell under the umbrella of cases like Enfish, LLC v. Microsoft Corp. (Fed. Cir. 2016), and were distinguishable from cases in which claims were found patent-ineligible, like In re TLI Commc'ns LLC Patent Litig. (Fed. Cir. 2016), and Digitech Image Techs., LLC v. Elecs. for Imaging, Inc. (Fed. Cir. 2014).


A short article by Mark St. Amour, posted in the same site (Bieneman's), mentions Baker v Microsoft. This, for a change, isn't about €§ 101 but about "the importance of prosecution history," which is explained contextually as follows:

The Federal Circuit has again highlighted the importance of prosecution history for patent claim interpretation. In Baker v. Microsoft Corp., No. 2017-2357 (Fed. Cir. Apr. 9, 2018) the Federal Circuit upheld a district court claim interpretation and grant of summary judgement of non-infringement of US Patent 5,486,001.

Defendant Microsoft manufactures and sells various computing devices, peripheral devices, and software. For example, Microsoft sold a computer system that included a camera as a peripheral device.

[...]

Key to this case was the court’s reliance on the amendments to the claims and the remarks made to distinguish the amended claims from the prior art. Accordingly, such considerations that may arise during litigation of a patent should be kept in mind during prosecution, especially in the case when arguing features that distinguish from the prior art, but may not be explicitly be claimed. For example, when remarks accompanying an amendment describe the amendment as being narrower than a broadest reasonable interpretation.


If one assesses prosecution history of entities that wield software patents, a lot of these are patent trolls. It's not exactly surprising considering the nature and breadth of patents on algorithms. With patents on medicine (chemistry), for instance, there might be just one or two large companies one can sue, due to the logistics of drug production. These companies are large enough to fight back and these companies are not likely to just shell out 'protection' money to trolls. There are no 'indie' drug producers operating from one's basement, whereas software development is inherently different. The US patent office ought to recognise this and put an end to the lunacy which is patents on software. They're economically unsound.

Recent Techrights' Posts

Only a Matter of Time Before IBM Drops to $199 or a Lot Lower Than That
How long can IBM overload empty shells?
Lots of Microsoft Just Loses Money, Not Earning Money
Due to profitability challenges it's hard to believe Microsoft will ever find a buyer for XBox
Touch Grass
Happiness involves what humans have evolved to appreciate, not what humans create to sedate the mind (like skinnerboxes)
The Cyber Show on Technology Having Become a Tool of Mass Psychosis, Not Enablement or Emancipation
Technology as mass psychosis
The Rumour Said That a Second Wave of Microsoft Layoffs Would Come This Week (Ahead of Fake 'Results'), Maybe Tomorrow
Let's wait and see how "MSM" unfold
 
Gemini Links 21/07/2026: Nostalgia, Shogi, and New Gemlog System
Links for the day
Guyana: GNU/Linux Rises to New High, 7%
Guyana is part of the trend
Oman: GNU/Linux Up to 7%
It was 5% last year
The Solution is Never 'Free Hosting' in Proprietary GitHub (Microsoft), the Solution is Self-Hosting
Third parties never care about your projects as much as you (yourself) care about them
From GAFAM's Perspective, Jeremy Bicha Did Nothing Wrong
All is OK as long as he does not criticise monopolists and billionaires
Bluesky Was Such an Utter Failure That After 18 Months Mozilla Goes Hug a Nazi Platform That Produces Child Porn
What compels Mozilla to come back there? The child pornography scandal? The adorable leader?
GNU/Linux at Grenada Measured at 14% This Month
GNU/Linux was stuck at 0% for a long time
In WordPress, Newer is Not Better (Maybe Better Off With No WordPress at All)
To Hell with bloat and feature churn
As Slop Bubble Implodes (Inevitable), the Dishonest, Corrupt, Compromised Media Tries to Blame "China" Again (Like it Did With "DeepSeek" in Past Years)
Here we go again. We've been there before. Same spin, this time not "DeepSeek" though.
Red Hat (IBM) Has Long 'Reassigned' (Bluewashed) Red Hat Staff to Ruin Fedora, Now It Does the Same to GNOME
What next from IBM's Krishna?
Links 21/07/2026: Google Stagnating, Slop 'Apps' Are "Flooding Apple’s App Store"
Links for the day
Gemini Links 21/07/2026: OPNSense Upgrade Problems, Zilog Z80 at 50, and Lessons From Terminator
Links for the day
IBM Lawsuits Over Alleged Fraud Are Piling Up
We'll keep an eye on the lawsuits
Arianna Taite on Odds of Australian (Daniel Pocock) Winning Clacton By-Election
His detractors somehow try to twist or frame him (Pocock) as an impediment to women while the exact opposite is true
This Coming Weekend Marks 4 Years Since We Dumped Content Management Systems (CMSs) in Favour of Static Site Generators (SSGs)
the first page dated July 25
Slop's Latest Casualty: The Credibility of Linus Torvalds
If you care about millionaires and billionaires, follow Torvalds (he is already in that "club")
Techrights Will Become More Productive (More Output) Over Time
Big stories about to land
To Wikipedia, "Notability" is Just an Excuse to Hail People Who Serve Billionaires While Marginalising or Defaming the Rest
Wikipedia is an advertising space
Our Series About Solicitors Regulation Authority (SRA) and SLAPPs Will Resume Soon
Originally, in 2025, we gave ourselves 6 years (until 2031) to cover these issues, but we've seen since extended that to 10 years (until 2036) because of the amount of material we have
European Patent Office (EPO) Series: The EPO Transparency Gap
Despite the "European" tag in the organisation's name, the European Union has no jurisdiction over the European Patent Organisation
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, July 20, 2026
IRC logs for Monday, July 20, 2026
Links 20/07/2026: Lashes for Songs in Iran, Kurdish Language at Risk
Links for the day
Gemini Links 21/07/2026: The Boss Baby (2017) and 2026 Old Computer Challenge Epilogue
Links for the day
Canonical Staff Acting Like They Aim to Receive Job Offers From Microsoft
There are moreover allegations that Debian will do the same, in the same way Mono boosters infected both distros in tandem or in turn.
Worsening Staff Affairs at Microsoft
Microsoft is managing to piss off many of its own workers
Czech Mate for GNU/Linux on the Way
Czechoslovakia is having none of that "peace for our time" with Microsoft
Nobody Will be Left Who Trusts IBM Anymore
The common theme is, the management must be completely replaced as soon as possible and truth needs to come out
Wall Street is a Bubble and No Company is Worth 5 Trillion Dollars
It's not hard to see which stocks will crash the hardest (or fastest)
The Corrupt Have Historically Tried to Paint Their Exposers as the Real Problem
As usual, there are efforts to shoot or muzzle the messenger
Search Engine Market Share in Italy: Microsoft Falls to Third in Many Countries Including Italy
Expect more layoffs in Bing
Links 20/07/2026: Spotify Drowning in Slop, Expiry of Software Patents in MPEG-4
Links for the day
Gemini Links 20/07/2026: Another Step Towards Owning Personal Data and Gemtext2 Envisioned
Links for the day
European Patent Office (EPO) Series: Public Missions and Private Ambitions
Despite the French government's strong formal pushback, the lobbying momentum generated by Campinos and Negrão proved unstoppable
"DOOM" and "Bloodbath": the State of Microsoft and XBox
Way to piss off fans
Karen Melchior Fought the Good Fight
stay tuned for Part 29
Links 20/07/2026: Notes on E-mail Encryption, Torvalds and His Employer Paid a Lot to Promote Slop (Pyramid Scheme)
Links for the day
What a Difference Six Years Make...
We are also beta-testing a new feature for the site; we plan to announce it some time soon
When It Comes to Slop, Richard Stallman is Opposite of Linus Torvalds
When it comes to computing, Dr. Stallman has long been a voice of reason
Daniel Pocock is in Mainstream Media This Week
Pocock's haters will absolutely hate this
In His Departure Post, Poul-Henning Kamp (phk) Explains Why Linus Torvalds is Full of "Hot Air" and Slop Bubbles
Having lived through previous bubbles as a UNIX geek, phk cannot be ignored
Whistleblowers Keep Flowing
Later today a police investigator should phone us regarding death threats we've received
We Need Less Gadgets, More Humanity
If people are being honest with themselves, many of the gadgets they claim they "cannot live without" are just excesses and distractions they could definitely leave behind
Technology and Gadgets Got Obese, Just Like Their Users
They now sell us so-called 'phones' for slop
Daniel Pocock in The Guardian This Morning
There is an opportunity here to spread a message, even if Pocock won't win a seat
"Samsung Recently Projected a 19-fold Surge in Second-Quarter Operating Profit", Now There Are Mass Layoffs
In a 9-month period Samsung's debt rose by about 80%
Gemini Links 20/07/2026: Dungeon Meshi/Undertale Crossover, "The Hitchhiker’s Guide to the Dark Web and Beyond"
Links for the day
IBM's Control of the Media "Just Showed What Taking Accountability Does Not Look Like"
It is no secret that IBM pays the media
Microsoft Loses XBox Lawsuit, But There Are More
The collapse of studios continues
GNU/Linux Approaching International Average in Djibouti
One can envisage further gains for GNU/Linux, seeing Microsoft is in such a bad shape
Daniel Pocock "[t]he Australian Taking on Nigel Farage — from Down Under"
This can help raise awareness of some issues
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, July 19, 2026
IRC logs for Sunday, July 19, 2026
Misleading Coverage in Slashdot Promotes and Openwashes Slop
Piggybacking RMS for the headline seems like a PR stunt of sorts
As Envisioned, a Rebellion and Many Whistleblowers at Microsoft
Whistleblowers ensure Microsoft has totally lost control of the "narrative" (face-saving PR)
Microsoft is a Right-Wing Company
Just remember that when people call Microsoft "woke"
GNU/Linux "Market Share" Rises to About a Quarter in Sudan
Can anyone explain to us why?
Gemini Links 19/07/2026: Visiting Ethiopia, Two Dreams, and Price of Skinnerboxes
Links for the day
Tears in IBM, Company Falls Apart While Management Fakes "Performance" to Take Bonuses
Wall Street is a naked emperor
Telling Our Story
In the coming years we'll have some high-impact stories to share and generally tell without fear of reprisal
Microsoft XBox Studio Leaders Upset at What the New CEO Did
From what we can gather, in 2024 XBox was already entering what's known as a "death spiral". Now it's literally moving down the drain/pipe.
IRC Started in Finland, GNU/Linux Did Not
History is like that
GNU/Linux Rises to 8% in Bhutan, Same as the International Average
Taking note of estimated GNU/Linux share in that country, we see it hovering around the international median/average this month
Links 19/07/2026: "The Voice of Google" and "Chinese Surveillance Tech a Threat to Privacy"
Links for the day
Keep Both Eyes on the Ball
At the moment we have six series running in parallel; two of them concern the EPO
'Journalists' Who Help IBM Cover Up Fraud
Journalistic malpractice
The "Modern Linux" Song
Join us now, make the kernel
XBox Layoffs Vastly Bigger Than Microsoft Told the Press, Microsoft Keeps Trying to Change the Subject
Many so-called "XBox fans" are no more
Microsoft Lost 1,200 Billion Dollars in "Market Value", Take a Look at What Happened to Windows
while Windows continues to fall unstoppably GNU/Linux is surging
Links 19/07/2026: People in China Are Buying Feelings and 404 Media Has Third Anniversary
Links for the day
Gemini Links 19/07/2026: Camping, Health, and Hardware
Links for the day
The State of Slopfarms
Slopfarms or LLM slopfarms are a menace and a problem on the Web
GNU/Linux Rising to 6% in Brunei
seventh in the world for GDP (PPP) per capita
Free Software is Like an 'Activist Movement'
People who argue strongly in favour of something (even very good things) will attract the wrath of those whom they oppose
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, July 18, 2026
IRC logs for Saturday, July 18, 2026