09-29-2004, 03:00 AM
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Contributing Editor Emeritus
Join Date: Aug 2006
Posts: 8,228
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Symbol Patent Threatens Wi-Fi
http://www.infoworld.com/article/04/09/23/HNsymbolpatent_1.html
"Wireless vendor Symbol Technologies (Profile, Products, Articles) Inc. has told us it will be seeking a big license fee from all Wi-Fi equipment vendors for an infringed patent. And according to one manufacturer, Proxim (Profile, Products, Articles) Corp., it stands a good chance of getting it. Last week, Proxim gritted its teeth and paid $23 million damages awarded by a jury to Symbol in 2003. Patents owned by Symbol could affect any 802.11 access point, said both companies."
They are seeking a 6% royalties from all WiFi vendors. Now, you and I know companies don't pay these fees. You and I will be paying these fees. :evil: Symbol has yet to tackle the Cisco empire, which includes the popular Linksys products many of us own and use in our house. I have a feeling Cisco has a pretty big legal defense fund and a team of sharks... er, I mean lawyers that will not just cave to Symbol's demands for money.
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09-29-2004, 03:39 AM
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Editor Emeritus
Join Date: Sep 2006
Posts: 3,060
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It's going to be very interesting to watch this play out. On the one hand, if they take on Cisco and win, Symbol stockholders will be sipping champaign and eating caviar. On the other hand, if they take on Cisco and lose -- a real possibility due to Cisco's ability to field a huge legal defense -- Symbol might as well forget any claims whatsoever.
I suspect there will eventually be some middle ground, but not until Symbol has taken on and beaten some of the smaller fish in the market. A direct Cisco confrontation will likely be avoided, but any and all future development will require strict licensing.
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09-29-2004, 03:51 AM
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Magi
Join Date: Sep 2005
Posts: 2,341
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Re: Symbol Patent Threatens Wi-Fi
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Originally Posted by Ed Hansberry
lawyers that will not just cave to Symbol's demands for money.
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Not until they have rung up a very sizable bill of their own at least. 
If Symbol are so concerned about their well being from others using what they feel is their property, why didn't they act before this....obviously because their main concern here is to gain the highest profit possible. Not to protect themselves. It's unfortunate that our courts have become a place for businesses and lawyers to go to make a profit, not for protection under the law. 
I think if Symbol wanted to make money by licensing what they feel is their property they should have done so from the beginning. They should have gone out and worked for it. Instead they take the easy way. They wait for the market to mature, then send out the lawyers.....sad....
Dave
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09-29-2004, 04:54 AM
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Theorist
Join Date: Aug 2006
Posts: 302
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Screeeeeeeeeeeeech! - the sound of progress slowing down for yet another patent-infringement suit. Acacia is doing the same thing, trying to sue everyone who creates software for video streaming or uses video streaming for business (http://www.acaciaresearch.com/) claiming they came up with the video streaming idea.
So golly, why don't these companies surface when a technology that "infringes on their patent" is first introduced? Simple - they wait for the technology to take off and then sue everyone. Nice, fellas.
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09-29-2004, 05:01 AM
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Pupil
Join Date: Feb 2006
Posts: 14
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The big radio guys at Telxon created most of the 802.11 spec back in the day. Telxon spun Aironet off to handle the wireless part of the business. Then Aironet sold out to Cisco, Symbol bought Telxon. That's where we stand today. I would assume that Telxon held the intellectual property when the spun off Aironet. That would be the only real way that Symbol would have the patents. It will be interesting though.
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09-29-2004, 05:34 AM
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Ponderer
Join Date: Mar 2005
Posts: 107
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Another example of a patent system gone beserk! Those that can't innovate sue. :evil:
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09-29-2004, 06:36 AM
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Pontificator
Join Date: Mar 2002
Posts: 1,329
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Re: Symbol Patent Threatens Wi-Fi
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Originally Posted by Ed Hansberry
http://www.infoworld.com/article/04/09/23/HNsymbolpatent_1.html
"Wireless vendor Symbol Technologies (Profile, Products, Articles) Inc. has told us it will be seeking a big license fee from all Wi-Fi equipment vendors for an infringed patent. And according to one manufacturer, Proxim (Profile, Products, Articles) Corp., it stands a good chance of getting it. Last week, Proxim gritted its teeth and paid $23 million damages awarded by a jury to Symbol in 2003. Patents owned by Symbol could affect any 802.11 access point, said both companies."
They are seeking a 6% royalties from all WiFi vendors. Now, you and I know companies don't pay these fees. You and I will be paying these fees. :evil: Symbol has yet to tackle the Cisco empire, which includes the popular Linksys products many of us own and use in our house. I have a feeling Cisco has a pretty big legal defense fund and a team of sharks... er, I mean lawyers that will not just cave to Symbol's demands for money.
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Guys. Just a small note. It wasn't Symbol who started this dirty little war. Quote from an arstechnica article:
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The legal fight started in 2001 when Proxim sued Symbol in a bid to enforce its own patents. Symbol countersued, and subsequently won both suits. Proxim originally planned an appeal, but has instead decided to pay US$23 million in damages and hand over some of its own patents.
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http://arstechnica.com/news/posts/20040923-4228.html
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09-29-2004, 06:46 AM
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Sage
Join Date: Feb 2002
Posts: 784
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This gets a big OMG from me! I'll make sure not to by any Symbol products (not that I would anyways...)
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09-29-2004, 09:26 AM
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Intellectual
Join Date: Jan 2003
Posts: 125
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I don't wanna see Jason's reaction to this! :worried:
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09-29-2004, 09:47 AM
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Pontificator
Join Date: Jul 2002
Posts: 1,049
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So the world goes round....
In essence it is not surprising to me. I do not know why they are just now coming out with this suit. Could it be it just occured to them one day it was their technology being used? Maybe all of this time there has been negotiations in the shadows and no one has been aware of it. If the negotiations did not go well or as planned for Symbol, then they felt inclined for legal battle.
Anyone of us in their shoes may have done the same thing, sooner or later. When it is your business it is always a different story than those who are looking at it from the outside as we are.
__________________
"Do not try. Do or Do Not. There is no try"Yoda, Empire Strikes Back
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