& cplSiteName &

Cisco Relents on Wi-LAN Claims

Light Reading
LR Mobile News Analysis
Light Reading
12/5/2005
50%
50%

When (Nasdaq: CSCO) settled its patent dispute with Wi-LAN Inc. (Toronto: WIN) last week, many wireless industry observers thought, "Chalk one up for the trolls."

Coming on the heels of a legal decision last week that set aside a settlement in the patent dispute between BlackBerry maker Research In Motion Ltd. (RIM) (Nasdaq: RIMM; Toronto: RIM) and patent-holder NTP Software, the Cisco/Wi-LAN deal could be seen as emboldening so-called "patent trolls" -- companies that have little core business of their own but hold enforceable patents related to widespread technology used in products from larger, better known firms.

"I wouldn't be surprised if Cisco thought of Wi-LAN as a patent troll," says Pamela Samuelson, a law professor at UC Berkeley and the co-director of the Berkeley Center for Law and Technology.

That's a simplistic reading of the Wi-LAN case, though. In this case, while Cisco has challenged the Wi-LAN patents with the U.S. Patent and Trademark office, Wi-LAN's claims seem more likely to hold up on appeal; the company has promised to "fairly and impartially" license the technology to anyone who wants to use it, and in May 2004 Redline Communications Inc. signed a royalty agreement with Wi-LAN, settling a case similar to the dispute with Cisco.

But the Wi-LAN case probably holds less significance for the wireless world than Qualcomm Inc.'s (Nasdaq: QCOM) acquisition of Flarion Technologies, which gives it a major intellectual-property position in emerging wireless technologies. And broader relief for product vendors that get sued by ostensible patent holders may be on the way, in the form of a Supreme Court ruling in the eBay vs. MercExchange case that should come next spring.

Founded in 1992 by two Canadian researchers, Wi-LAN holds a variety of patents related to orthogonal frequency division multiplexing (OFDM), a modulation technique at the heart of the WiFi standards 802.11a and 802.11g, as well as the emergent WiMax standard 802.16. Wi-LAN has taken a visible role in the Institute of Electrical and Electronics Engineers Inc. (IEEE) standards process for wireless data transfer and has not been shy about announcing its intention to enforce its patents.

"This legal action against Cisco puts the industry on notice that Wi-LAN will aggressively protect its patent right," said Sayed-Amr El Hamamsy, then-CEO of Wi-LAN, when the company sued Cisco in Canadian court last year. (See Wi-LAN Takes On WiFi.)

Under the settlement agreement, all Wi-LAN legal claims against Cisco have been dropped, and Cisco is purchasing several WiMax and antenna patents, while licensing the remainder of Wi-LAN's patent portfolio. But that doesn't end Wi-LAN's pursuit of other companies it sees as infringing upon its patents, according to current CEO Bill Dunbar.

"We do believe that other companies are infringing," says Dunbar, declining to name them. "We are not currently in talks with any of them."

While it's unlikely that the courts will eliminate the scourge of patent trolls altogether, notes Samuelson, it may give judges in such cases more leeway to promote "the useful arts" -- which, after all, is one of the purposes of patent law.

Rather than issuing injunctions that essentially shut down major services, such as BlackBerry email or eBay auctions, explains Samuelson, the high court could allow judges to award damages relating only to specific, patented components of larger systems. "The Supreme Court, in the eBay case, could say 'This is a really complex thing,' and give the lower courts the ability to exercise more discretion in finding for the plaintiffs."

In other words: If there's a patent troll at your door, it might be wise to pacify him for a while, rather than settle for major dollars.

— Richard Martin, Senior Editor, Unstrung

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Interviews
Software Trends in the Telecom Sector

2|23|17   |   03:40   |   (0) comments


Heavy Reading senior analyst James Crawshaw talks with Telecoms.com Editorial Director Scott Bicheno about trends and developments in the telecoms software sector and what to expect at MWC 2017.
LRTV Custom TV
Huawei's Pre-MWC Analyst Briefing 2017 Highlights

2|22|17   |     |   (0) comments


Huawei shares its vision for this year's MWC.
LRTV Interviews
MWC17: 5G, Cloud RAN & More

2|21|17   |   04:35   |   (0) comments


Ovum Senior Analyst Julian Bright talks to Scott Bicheno from Telecoms.com about all things MWC, including Cloud RAN, Huawei's pitch to the industry and the road to 5G.
LRTV Interviews
MWC 2017's Key 2-Letter Terms

2|20|17   |   08:29   |   (1) comment


5G, AI, VR... these are just some of the two-letter terms that will dominate show-floor chat at MWC 2017 in Barcelona, according to these two blow-hards (a.k.a. Scott Bicheno of Telecoms.com and Light Reading's Ray Le Maistre). And then there's PB...
LRTV Interviews
Key Trends for Mobile Operators in Developing Markets

2|20|17   |   06:37   |   (0) comments


Ovum's Matthew Reed talks to Scott Bicheno from Telecoms.com about the challenges and opportunities facing mobile operators in the developing markets of Africa and the Middle East.
LRTV Documentaries
YouTube Takes on Facebook Live-Streaming

2|17|17   |     |   (0) comments


Popular 'YouTubers' will be the first to get the new service on their smartphones. You have been warned.
LRTV Custom TV
Open Source NFV/SDN Automation

2|17|17   |   05:54   |   (0) comments


AT&T ECOMP (Enhanced Control, Orchestration, Management and Policy) code is transitioning into the Linux Foundation for placement into open source. In this video, Carol Wilson provides an update on the maturation of open source ECOMP and meets with industry leaders from AT&T, Bell Canada, Orange, Linux Foundation and Amdocs to discuss what this means for the ...
LRTV Documentaries
Uber & NASA Collaborate on Flying Car Project

2|16|17   |     |   (0) comments


Is Uber for real? Well, it's hired NASA engineer Mark Moore to lead the project, and he wouldn't come cheap.
LRTV Documentaries
Zuckerberg Tries Out the Oculus Rift VR Glove

2|15|17   |     |   (0) comments


Facebook CEO shows off a new way to interact with the Oculus Rift virtual reality headset: an Oculus glove.
LRTV Custom TV
Huawei Digital Transformation Forum 2017

2|10|17   |     |   (0) comments


Here's a preview of the upcoming Huawei Digital Transformation Forum taking place in Barcelona with trending telecom topics like cloud, IoT, 5G and much more!
Telecom Innovators Video Showcase
Dan Sahar of Qwilt on Open Edge Cloud Platform

2|8|17   |   08:38   |   (0) comments


Dan Sahar, Qwilt's co-founder, sits down with Steve Saunders of Light Reading for a conversation about Qwilt's Open Edge Cloud platform and the new role of service providers in application and content delivery.
LRTV Documentaries
ZeroStack's 'Self-Driving Cloud'

2|7|17   |   01:09   |   (0) comments


Its Z-Brain tech automates day-to-day management and long-term planning for hybrid clouds.
Upcoming Live Events
March 21-22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Broadband Has a Problem on the Pole
Mari Silbey, Senior Editor, Cable/Video, 2/21/2017
Is the Time Right for a Cisco/Ericsson Wedding?
Ray Le Maistre, Editor-in-chief, 2/17/2017
Verizon to Start Fixed 5G Customer Trials in April
Dan Jones, Mobile Editor, 2/22/2017
Uber's HR Nightmare: Company Investigates Sexual Harassment Claims
Sarah Thomas, Director, Women in Comms, 2/21/2017
Nice to See at Least One CSP Taking My Advice
Mitch Wagner, Editor, Enterprise Cloud, 2/17/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading founder and CEO Steve Saunders chats with Sportlogiq CEO Craig Buntin about sports data analysis.
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Animals with Phones
No One Likes This Click Here
Take a hint!
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.