Microsoft sued over search-related patents

NEW YORK Fri Feb 1, 2013 11:27pm IST

A man takes pictures of a monitor during an event promoting the debut of Microsoft Corp's Windows 8 operating system at the Akihabara electronic shops district in Tokyo October 25, 2012. REUTERS/Toru Hanai/Files

A man takes pictures of a monitor during an event promoting the debut of Microsoft Corp's Windows 8 operating system at the Akihabara electronic shops district in Tokyo October 25, 2012.

Credit: Reuters/Toru Hanai/Files

Related Topics

Stocks

   

NEW YORK (Reuters) - A lawsuit filed on Thursday alleges Microsoft Corp(MSFT.O) has been infringing patents that allow Internet search engines to most effectively place advertisements.

I/P Engine Inc said in the suit filed in Manhattan federal court that Microsoft uses search technology based on inventions by two employees of I/P Engine's parent company, Vringo Inc VRNG.A.

Microsoft uses the technology in systems that generate advertisements and associated links for users of the world's largest software company's search engine, Bing, the lawsuit said.

Microsoft did not immediately respond to a request for comment. A spokesman for Vringo declined to comment.

In November 2012, a Virginia jury awarded I/P Engine approximately $30 million in damages after it found that companies including Google Inc (GOOG.O) and AOL Inc (AOL.N) had infringed the same patents that are at issue in the Microsoft suit.

Following I/P Engine's announcement of the verdict, however, its parent company's stock slid by as much as 10 percent. The company had been seeking damages of at least $696 million.

In the lawsuit filed Thursday, I/P Engine claimed that Microsoft has willfully infringed its patents. I/P Engine said that one of its patents was referenced by the U.S. Patent and Trade Office in 2003 when the agency rejected a similar Microsoft patent application.

In patent cases, a party can win higher damages if infringement is found to be willful.

Vringo shares were last up 10 cents, or 3.2 percent, at $3.24 in midday trade on the American Stock Exchange.

Microsoft shares were down 30 cents, or 1.1 percent, at $27.55 on the Nasdaq.

The case is I/P Engine, Inc v. Microsoft Corp, U.S. District Court for the Southern District of New York, No. 13-688. (Reporting by Erin Geiger Smith, editing by G Crosse)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Reuters Showcase

'Windows 10'

'Windows 10'

Microsoft names next operating system 'Windows 10'  Full Article 

Split from eBay

Split from eBay

Analysis - PayPal spawn have advanced where PayPal stood still   Full Article 

iPhone 6 in China

iPhone 6 in China

With iPhone 6 approved in China, Apple suppliers ready for demand.  Full Article 

Netflix Deal

Netflix Deal

Netflix 'Crouching Tiger' deal incurs wrath of theater chains.  Full Article 

Oracle Convention

Oracle Convention

Larry Ellison still the top draw at Oracle's mega-convention  Full Article 

Tax Rules

Tax Rules

EU says Ireland swapped Apple tax deal for jobs.  Full Article 

Music Services

Music Services

Google searches for right note in online music business.  Full Article 

E-Commerce Dispute

E-Commerce Dispute

Amazon, Disney appear close to settling dispute over movies - WSJ.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage