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MP3 Suit Thrown Out In Microsoft’s Favor

Joshua Bonnain August 7th, 2007

If you recall for a moment the landmark decision half a year ago over the MP3 controversy between Microsoft and Alcatel-Lucent, you’ll understand that $1.5 billion is a whole lot of money. With that in mind, having a judge throw out the decision and effectively deny the patent holder Lucent access to the hefty sum is a very significant and implication-filled decision that could bring forth some very formidable questions on the efficacy of the patent process.The details of the story between the two corporations are, essentially, a matter of timing. Microsoft licenses the technology through the Fraunhofer Institute which, with Bell laboratories’ assistance, created the MP3 format long ago. Alcatel-Lucent’s claim is that Microsoft is infringing upon one of two patents that were developed prior to Bell’s alliance with Fraunhofer, thusly criminalizing Microsoft’s activity.

The judge in favor of Microsoft sees it logical that the patent in question is partly owned by Fraunhofer anyway, which would toss it out of the investigation. Many others who use this format are keeping keen eyes on this battle, as this case’s verdict has far-reaching implications for the future of the MP3 format altogether.

Keep it groovy, Sharks, and groove on!

[via: Portfolio]

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