Jawbone Sues Fitbit

Jawbone has filed another lawsuit against Fitbit in less than two weeks, alleging its activity tracking products infringe several of Jawbone’s patents.

The new suit, filed Wednesday in San Francisco by Jawbone parent company AliphCom, seeks unspecified damages and an injunction to block the sale of Fitbit devices such as the Flex, Charge and Surge bands.

Late last month, Jawbone filed another lawsuit, accusing Fitbit of poaching its employees and stealing trade secrets. Fitbit has said it has no knowledge of any such information in its possession.

In its latest complaint, Jawbone says it will also ask the U.S. International Trade Commission to investigate Fitbit, which could potentially lead to an import ban on Fitbit products.

Jawbone says it has hundreds of patents granted or pending, and claims that Fitbit infringes several of them. One patent describes a “general health and wellness management method and apparatus for a wellness application using data from a data-capable band.”

Another patent covers a “system for detecting, monitoring, and reporting an individual’s physiological or contextual status.”

Fitbit didn’t immediately respond to a request for comment on the latest suit.

The timing is bad for Fitbit, which is preparing to go public on the U.S. stock markets. It also faces intense competition from a number of rivals, which also include Garmin and Apple with its Apple Watch.

Both Jawbone and Fitbit make wearable bands and associated software that tracks people’s movement, exercise, sleep and heart rate.

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Microsoft Issues New Policies

Microsoft Corp, under fire for accessing an employee’s private Hotmail account to prove he was illegally passing computer code to a blogger, has said it will now refer all suspicious activity on its email services to law enforcement.

The decision, announced by head lawyer Brad Smith on Friday, reverses Microsoft’s initial reaction to complaints last week, when it laid out a plan to refer such cases to an unidentified former federal judge, and proceed to open a suspect email account only if that person saw evidence to justify it.

“Effective immediately, if we receive information indicating that someone is using our services to traffic in stolen intellectual or physical property from Microsoft, we will not inspect a customer’s private content ourselves,” said Smith, in a blog post on the software company’s website. “Instead, we will refer the matter to law enforcement if further action is required.”

Microsoft – which has recently cast itself as a defender of customer privacy – was harshly criticized last week by civil liberties groups after court documents made public in the prosecution of Alex Kibkalo in Seattle federal court for leaking trade secrets showed that Microsoft had accessed the defendant’s email account before taking the matter to legal authorities.

The company said last week its actions were within its legal rights under the terms of use of its email services, but has now acknowledged that its actions raised concerns about customer privacy.

The issue is poignant for Microsoft, which routinely criticizes Google Inc for serving up ads based on the content of users’ Gmail correspondence.

It has also been campaigning for more transparency in the legal process through which U.S. intelligence agencies can get access to email accounts following the revelations of former National Security Agency contractor Edward Snowden.

“While our own search was clearly within our legal rights, it seems apparent that we should apply a similar principle and rely on formal legal processes for our own investigations involving people who we suspect are stealing from us,” said Smith in his blog. “Therefore, rather than inspect the private content of customers ourselves in these instances, we should turn to law enforcement and their legal procedures.”

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HTC Exec Leaks Trade Secrets

Three HTC Corp design executives were arrested on suspicion of illegally sharing trade secrets, sending the Taiwanese smartphone maker’s shares tumbling as its troubles deepened amid a wave of senior staff departures and disappointing sales.

Taipei prosecutors confirmed that HTC vice president of product design Thomas Chien, research and development director Wu Chien-Hung and senior manager of design and innovation Justin Huang were arrested on Friday.

Chien and Chien-Hung remain in custody, while Huang was released on bail, prosecutors office spokesman Mou Hsin Huang said.

The executives were also accused of making false commission fee claims totaling around T$10 million ($334,200). No further details about the allegations were immediately available.

The arrests came in response to a complaint filed by HTC last month accusing the executives of leaking trade secrets.

HTC declined to comment except to say the investigation had no impact on its operations. Chien and Chien-Hung could not be reached and Huang was not immediately available to comment.

Media reports citing the police said the executives were planning to use stolen new interface technology to set up a new mobile design company aiming at Chinese vendors.

Rocked by internal feuding and executive exits, and positioned at the high end of a smartphone market that is close to saturation, HTC has seen its market share slump to below 5 percent from around a quarter five years ago.

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