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Edition: U.S. Article Comments (14) Save Email Print Reprints Most Popular Most Shared Hurricane Earl strengthens, could swipe U.S. east 9:21am EDT UPDATE 1-Hurricane Earl strengthens, could swipe U.S. east 9:21am EDT Hurricane Earl strengthens, could swipe U.S. East Coast 10:13am EDT Saudi couple "hammer 24 nails" into Sri Lankan maid 26 Aug 2010 Windows DLL load hijacking exploits go wild 24 Aug 2010 Woman buries brother, discovers dead son 20 Aug 2010 Tropical Storm Earl poised to become hurricane 28 Aug 2010 Wall Street edges lower on investor wariness 10:20am EDT Hurricane Earl strengthens in Caribbean 5:53am EDT Analysis: The uncomfortable mathematics of monetary policy 28 Aug 2010 Strange and unusual 26 Aug 2010 Hurricane Katrina: A chronology 27 Aug 2010 Hurricane Earl strengthens, could swipe U.S. east 9:21am EDT Facebook Places just too much information? 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Paul Allen's firm sues Silicon Valley giants Digg This Tweet This Share on LinkedIn Share on Facebook Related News Google polishes real-time search, launches site Thu, Aug 26 2010 Andreessen launches second venture fund Wed, Aug 25 2010 Yahoo: Microsoft's Bing starts to power its US Internet search Wed, Aug 25 2010 Staples sales miss, sees tax hit on earnings Thu, Aug 19 2010 UPDATE 3-Staples sales miss, sees tax hit on earnings Thu, Aug 19 2010 Related Topics U.S. » Technology » iPad » Media » Businessman Paul Allen arrives for Time magazine's 100 most influential people gala in New York, May 8, 2008. Credit: Reuters/Lucas Jackson By Dan Levine SAN FRANCISCO | Fri Aug 27, 2010 7:28pm EDT SAN FRANCISCO (Reuters) - A company linked to Microsoft Corp co-founder Paul Allen is suing 11 major corporations, including Apple, Google and Facebook, accusing them of infringing on technology patents. Interval Licensing is asserting four patents against a cluster of defendants, including also AOL, eBay, Facebook, Netflix, Office Depot, OfficeMax, Staples, Yahoo and Google's YouTube, according to the suit. Google, Facebook and eBay said they will fight the accusations by Interval, which owns a portfolio of technology patents but does not manufacture. Apple, AOL, Office Depot, Netflix and OfficeMax declined to comment. The remaining companies did not respond to requests for comment. Experts say companies that lack production but utilize old patents to make broad infringement claims tend to raise red flags. But the lawsuit points out Allen's deep history with Google, including early funding of founders Sergey Brin and Larry Page, a likely attempt to distinguish this lawsuit from other opportunistic patent litigation, Stanford professor and IP litigator Mark Lemley said. "It's usually an indication either that the patents are invalid, or they're overclaiming them," said Lemley, whose law firm represents Google and Netflix in unrelated matters. "Part of what's going on here is the plaintiffs are going out of their way to say, 'Hey, look, we're really important people. We're real innovators." Allen, the 37th-richest person in the world according to Forbes, co-founded Interval Research in 1992 to develop communications and computer technology. The company, which employed more than 110 scientists and engineers at one point, filed patents over several years covering Internet search and display innovations, according to the lawsuit. Interval Licensing now owns those patents. RED FLAGS Allen, who has been treated for non-Hodgkin's lymphoma, in July pledged most of his estimated $13.5 billion fortune to philanthropy after his death. He co-founded Microsoft in 1975 with Bill Gates but resigned as an executive in 1983 as he overcame a first bout with cancer. In the suit filed in the U.S. District Court for the Western District of Washington, Interval is seeking damages and a halt to the alleged violations of patents it said were fundamental to e-commerce and search. "This lawsuit against some of America's most innovative companies reflects an unfortunate trend of people trying to compete in the courtroom instead of the marketplace," a Google spokesman said in an emailed statement. "Innovation -- not litigation -- is the way to bring to market the kinds of products and services that benefit millions of people around the world." Interval spokesman David Postman said the lawsuit was necessary to protect its investment in innovation. "We are not asserting patents that other companies have filed, nor are we buying patents originally assigned to someone else," Postman said. "These are patents developed by and for Interval." Facebook spokesman Andrew Noyes said: "We believe this suit is completely without merit and we will fight it vigorously." (Reporting by Dan Levine, Alexandria Sage, Alex Dobuzinskis and Lisa Baertlein; Editing by Gary Hill and Matthew Lewis; editing by Eric Walsh) U.S. Technology iPad Media Comments See All Comments (14) | Post Comment Aug 27, 2010 3:58pm EDT Woohoo!! Bring it on! Maybe, at long last, all of the big players who have used patent lawsuits to harm, cripple or destroy their competition will open their eyes to the absurdity of granting patents to software processes. Keep in mind that most of the companies mentioned in the article have, at one time or another, some more often than others, used the patent system to bring much smaller competitors to court, frequently killing the companies as they could not hope to expend the funds required to prove the patents unenforceable. My hope is that this starts a serious discussion about whether patents should be used to protect intellectual property, or whether the copyright system is better suited, and a more fair application of the concept of protecting one’s work in the digital world. Go Interval!! Stupidscript Report As Abusive Aug 27, 2010 4:28pm EDT Apple: Highest retail product price, lowest 3rd World wages… – a cool site; Balkingpoints ; incredible satellite view of earth Walt67 Report As Abusive Aug 27, 2010 6:39pm EDT Good to hear. If a company that did fundamental research wins in court – which it should if the patents are novel – then this is good for research rather than me-too marketing driving companies that would rather merely copy the research of others rather than invest in innovation themselves. nicfulton Report As Abusive Aug 27, 2010 6:40pm EDT Why was Interval only 100 people? Because their business model and sole existence is based on filing “sleeping patents”. This model slows innovation and adds no value to society. They had no manufacturing group ready to bring products to market. It’s like a spider waiting to catch a fly. Who picks up the bill in the long run? The consumer! Paul Allen – don’t you have enough $$. you are consumed by greed. Portland Report As Abusive Aug 27, 2010 6:54pm EDT That guy is a complete nut job STORYBURNthere Report As Abusive Aug 27, 2010 7:24pm EDT Wow, nobody complained with Microsoft was sued by Apple. I agree: GO INTERVAL! stacylaw Report As Abusive Aug 27, 2010 7:32pm EDT When Microsoft was claiming innovation, and was being sued every week, everyone derided them as copycats. Now, Google claims to be innovating but is using someone else’s true innovation that resulted in a patents. The people who started this litigous culture was not Bill Gates and Paul Allen. It was Steve Jobs and Apple, with cheerleaders like Sun Microsystems, Oracle, Google and other Microsoft haters. Now the tables are turning. stacylaw Report As Abusive Aug 27, 2010 7:45pm EDT Great business model. Fund R&D. Save on sales, marketing, distribution, and administration. Wait. Sue. effoff Report As Abusive Aug 27, 2010 11:28pm EDT Paul Allen is fabulously wealthy and I believe in fairly frail health. You can’t take it with you Paul ..so just enjoy your very fortunate lifestyle and bury all the bad Kama Jp johnpro2 Report As Abusive See All Comments (14) Add a Comment *We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Reader Feedback Mobile Newsletters RSS Podcasts Widgets Your View Analyst Research Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week FindLaw Reuters on Facebook Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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