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IBM Goes After Groupon
March 14, 2016 by admin
Filed under Around The Net
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IBM has filed suit against online deals marketplace Groupon for infringing four of its patents, including two that emerged from Prodigy, the online service launched by IBM and partners ahead of the World Wide Web.
Groupon has built its business model on the use of IBM’s patents, according to the complaint filed Wednesday in the federal court for the District of Delaware. “Despite IBM’s repeated attempts to negotiate, Groupon refuses to take a license, but continues to use IBM’s property,” according to the computing giant, which is asking the court to order Groupon to halt further infringement and pay damages.
IBM alleges that websites under Groupon’s control and its mobile applications use the technology claimed by the patents-in-suit for online local commerce marketplaces to connect merchants to consumers by offering goods and services at a discount.
About a year ago, IBM filed a similar lawsuit around the same patents against online travel company Priceline and three subsidiaries.
To develop the Prodigy online service that IBM launched with partners in the 1980s, the inventors of U.S. patents 5,796,967 and 7,072,849 developed new methods for presenting applications and advertisements in an interactive service that would take advantage of the computing power of each user’s PC and reduce demand on host servers, such as those used by Prodigy, IBM said in its complaint against Groupon.
“The inventors recognized that if applications were structured to be comprised of ‘objects’ of data and program code capable of being processed by a user’s PC, the Prodigy system would be more efficient than conventional systems,” it added.
Groupon is also accused of infringing U.S. Patent No.5,961,601, which was developed to find a better way of preserving state information in Internet communications, such as between an online merchant and a customer, according to IBM. Online merchants can use the state information to keep track of a client’s product and service selections while the client is shopping and then use that information when the client decides to make a purchase, something that stateless Internet communications protocols like HTTP cannot offer, it added.
Source- http://www.thegurureview.net/aroundnet-category/ibm-files-patent-infringement-lawsuit-against-groupon.html
‘Do Not Track’ Internet Legislation, Advances
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California is a moving closer to making into law the first Do Not Track legislation in the U.S., aimed at protecting Internet users from invasive advertising.
The proposed Senate bill, SB-761, passed a Senate Judiciary Committee vote late Tuesday, but it still has a long road ahead before having a chance of being signed into law. It now moves on to the Appropriations Committee, and must also pass the Senate and State Assembly before being sent to Governor Jerry Brown’s desk.
Still, it’s the first time such a bill has made it out of committee, and that’s a big deal, according to John Simpson, director of Consumer Watchdog’s Privacy Project. “This is the first time that a ‘do not track’ bill has actually had a hearing and been debated and then voted forward in the legislative process,” he said.
The bill would give California consumers a simple way of opting out of data collection systems that keep track of their online activities. “It puts up a no trespassing sign on our device,” Simpson said.
Opponents of the bill, including Google, the Direct Marketing Association, and the wireless industry group CTIA, say it puts an unnecessary burden on online commerce.
Online marketers love this type of data because it helps them fashion highly effective targeted advertising. But many consumers don’t want to hand marketers every detail of what they do on the Web.
Under the proposed law, users would have a way — possibly a through a browser setting — of telling Web sites not to track them. If a company disregarded this and collected data without permission, it could face stiff fines.