Microsoft sued over search-related patents
By Erin Geiger Smith | February 1, 2013 4:28 AM EST
A lawsuit filed on Thursday alleges Microsoft Corp 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.
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 and AOL Inc 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.
(Reporting by Erin Geiger Smith, editing by G Crosse)
Join the Conversation
- Tourre on stand says email in SEC case 'not accurate'
- Syrian authorities blocking access to needy in Homs - Red Cross
- Faith in European Union at low ebb, EU poll says
- Former UBS banker gets 18 months, $1 million fine, for muni bid-rigging scheme
- U.S. judge halts challenges to Detroit's bankruptcy bid
- Russia's New Tactical Nuclear Weapons Program Growing Confident Against the US: Talks of World War III
- Apple and Google Engage in Thermonuclear War, New Google Translate Chat App in the Works
- Walmart Offers the Best 2014 Black Friday Deals on iPhone 6, iPad Ai2 & Other Gadgets – Reports
- Update Samsung Galaxy S5 to Android 4.4.4 KitKat, Sprint Release and Installation
- More Nexus 6 Problems Arise with Android 5.0 Lollipop, Poor Benchmark Results and Other Issues
- HTC One M8 Android 5.0 Lollipop Release Delayed: Other Schedule and Installation Guide
- Israel''s Al Aqsa and East Jerusalem Issues Threatening Its Multi Billion Gas Deal With Jordan