Texas Co Takes On 23 Corp Titans Over Web Browser Technology
07 October 2009 - 8:44AM
Dow Jones News
A small Texas company on Tuesday filed a patent infringement
lawsuit targeting 23 corporate behemoths that use interactive
technologies on their Web sites, including high-tech giants such as
Apple Inc. (AAPL), Google Inc. (GOOG) and Amazon.com Inc.
(AMZN)
The plaintiff - Tyler, Texas-based Eolas Technologies Inc. - is
best-known for securing a settlement from Microsoft Corp. (MSFT) in
2007 following a long legal battle in which the tiny company
alleged the software giant had violated the same patent at issue in
the latest lawsuit.
The latest lawsuit, filed in the U.S. District Court for the
Eastern District of Texas, seeks preliminary and permanent
injunctions to keep defendants, which cut across industries to
include Citigroup Inc. (C), Blockbuster Inc. (BBI) and J.C. Penny
Co. Inc. (JCP), from using technology covered by two Eolas patents.
The lawsuit also seeks undisclosed damages.
The patent that was the subject of the litigation against
Microsoft enables Web browsers to act as platforms for fully
interactive embedded applications. Eolas said in a statement that
the patent was granted in November 1998 and twice reaffirmed by the
patent office, most recently in February.
A federal court awarded Eolas with a $565 million judgment
against Microsoft in 2004. Parts of the Microsoft decision were
reversed in 2005, but the software giant ultimately reached a
settlement with Eolas before a retrial was set to begin in 2007.
Terms of the settlement weren't disclosed.
During the dispute with Microsoft, Eolas' opponents feared that
a victory by the small company would crimp the future of the
Internet by limiting the use of interactive Web technologies.
The technology at issue was developed by Eolas Chairman Michael
Doyle, while he was at the University of California at San
Francisco in the 1990s. The University still owns the patent, but
Eolas said it is the exclusive licensee.
Eolas said a second patent, issued this month, allows Web sites
to add fully interactive embedded applications to their online
offerings through the use of plug-in and AJAX (asynchronous
JavaScript and XML) Web development techniques.
Mike McKool, attorney for Eolas, said the patents "describe
methods for the use of browser add-ons and plug-ins, which enable
the interactive use of the Internet."
Other defendants include Adobe Systems Inc. (ADBE), eBay Inc.
(EBAY), JPMorgan Chase & Co. (JPM), Office Depot Inc. (ODP),
Texas Instruments Inc. (TXN) and Yahoo Inc. (YHOO)
Apple and Amazon declined to comment. Google, eBay and Yahoo
weren't immediately available for comment.
-By Scott Morrison, Dow Jones Newswires; 415-765-6118;
scott.morrison@dowjones.com