JANUARY 21, 2010 Microsoft Sues TiVo
By ROGER CHENG Wall Street Journal http://online.wsj.com/article/SB10001424052748704320104575015131376821528.html?ru=yahoo&mod=yahoo_hs Microsoft Corp. filed a lawsuit against TiVo Inc., accusing it of patent infringement and escalating the dispute between the maker of digital video recorders and content distributors. Microsoft, in a suit filed in a San Francisco federal court, claimed the Alviso, Calif., maker of digital video recorders illegally used technology related to purchasing and delivering video and the ability to display programming information. The move is seen by analysts as an attempt to counter an earlier suit filed by TiVo against AT&T Inc., which uses Microsoft's technology in its television service. Microsoft last week had requested to intervene in the case on AT&T's behalf. AT&T is Microsoft's largest and most influential customer of its Internet video platform. When AT&T chose to go with an Internet-based TV service, it opted to work with Microsoft, which powers the video delivery platform, as well as the digital video recording technology. Microsoft said it would be willing to resolve the situation through a licensing agreement and has attempted to hold talks with TiVo, according to Kevin Kutz, director of public affairs for the software company. TiVo, however, said in a statement Wednesday that Microsoft's legal actions wouldn't have any bearing on its case against AT&T and noted they were part of a legal strategy to defend the telecommunications provider. "We remain confident in our position that AT&T will be found to infringe on the TiVo patents asserted," the company said. A TiVo spokeswoman declined to comment specifically on how the latest lawsuit will affect the company. The latest legal salvo comes a few months after TiVo launched its own strike against AT&T and Verizon Communications Inc., alleging that their video services illegally use its TV "time-warping" technology in their digital video recorders. AT&T's U-Verse TV service runs on Microsoft's Internet video technology. AT&T declined to comment on Microsoft's legal actions. TiVo hasn't been shy about using the courtroom to protect its intellectual property. The company also has a long-running dispute with Dish Network Corp. and sister company Echostar Corp. over the same DVR technology. The company has agreements with most of the cable companies and DirecTV Group Inc. TiVo Chief Executive Tom Rogers said earlier this month at an investor conference that he expects a decision in the near term in the long-running dispute between his company and Dish and Echostar. A conclusion to the Dish/Echostar case should set the tone for the rest of the lawsuits. "The outcome of the TiVo litigation versus AT&T, and the related Microsoft litigation, as well as a separate DVR patent infringement lawsuit against Verizon, [are] very likely to hinge on the outcome of the Dish appeal," Lazard Capital Markets analyst Barton Crockett said. If TiVo is successful–and has been so in the past—it will gain enough leverage to strike attractive commercial deals with Dish, Echostar, Microsoft, AT&T and Verizon. A loss would signal continued litigation. Mr. Rogers said TiVo also looked closely at the telecom companies before making its move. "We felt it was the right time we were making a statement to them and the world that that sort of infringement wouldn't be tolerated," Mr. Rogers said. ================================================= George Antunes Voice (713) 743-3923 Associate Professor Fax (713) 743-3927 Political Science Internet: antunes at uh dot edu University of Houston Houston, TX 77204-3011 *********************************** * POST TO [email protected] * *********************************** Medianews mailing list [email protected] http://lists.etskywarn.net/mailman/listinfo/medianews
