iOS developers face legal threats over Apple's in-app purchase system
A number of iOS developers were hit with legal threats this week, alleging patent infringement through utilizing Apple's in-app purchasing feature for App Store software.
Developers were first sent legal complaints this week accusing them of patent infringement, according to TUAW. Developers have not yet been sued, but were informed that they have 21 days to license technology related to in-app purchases.
The maker of "PCalc Lite," James Thomson, as well as Chicago-based developer Patrick McCarron were both sent letters via FedEx claiming patent infringement related to iOS software.
The complaints stem from patent holding firm Lodsys, and are related to U.S. Patent No. 7222078, entitled "Methods and Systems for Gathering Information from Units of a Commodity Across a Network, MacRumors discovered on Friday. The original patent was filed in December 2003, but dates back through continuations to earlier applications as old as 1992.
The invention is credited to Dan Abelow, though his portfolio of patents were sold to Lodsys in 2004. It is Lodsys that has threatened legal action against iOS developers.
So far, there is no evidence that Apple has been targeted in the complaints sent out. Apple controls the App Store for iOS devices, including the iPhone and iPad, as well as the in-app purchasing protocol.
In-app purchases were first introduced in 2009, when Apple release iOS 3.0 for the iPhone. Though the feature was initially restricted to pay software, later that year Apple granted creators of free applications the ability to charge for add-ons and additional content.
Just like purchases made directly through the App Store, in-app purchases are charged by Apple to a user's iTunes account. Apple takes a 30 percent cut of all transactions made for software on iOS devices.
Developers were first sent legal complaints this week accusing them of patent infringement, according to TUAW. Developers have not yet been sued, but were informed that they have 21 days to license technology related to in-app purchases.
The maker of "PCalc Lite," James Thomson, as well as Chicago-based developer Patrick McCarron were both sent letters via FedEx claiming patent infringement related to iOS software.
The complaints stem from patent holding firm Lodsys, and are related to U.S. Patent No. 7222078, entitled "Methods and Systems for Gathering Information from Units of a Commodity Across a Network, MacRumors discovered on Friday. The original patent was filed in December 2003, but dates back through continuations to earlier applications as old as 1992.
The invention is credited to Dan Abelow, though his portfolio of patents were sold to Lodsys in 2004. It is Lodsys that has threatened legal action against iOS developers.
So far, there is no evidence that Apple has been targeted in the complaints sent out. Apple controls the App Store for iOS devices, including the iPhone and iPad, as well as the in-app purchasing protocol.
In-app purchases were first introduced in 2009, when Apple release iOS 3.0 for the iPhone. Though the feature was initially restricted to pay software, later that year Apple granted creators of free applications the ability to charge for add-ons and additional content.
Just like purchases made directly through the App Store, in-app purchases are charged by Apple to a user's iTunes account. Apple takes a 30 percent cut of all transactions made for software on iOS devices.
Comments
So odd.
I know the story says there isn't any evidence so far that Apple has been sued for this, but I guarantee they have been.
I hate these patent sitters and the lame patent office that doesn't understand IT or what is and is not innovation.
Damn, can Apple do anything nowadays without being sued?
I know the story says there isn't any evidence so far that Apple has been sued for this, but I guarantee they have been.
Guarantee? How?
It's likely a deliberate strategy to go after developers and not Apple. Pretty smart
I appreciate your absurdity. I am merely a pawn in Apple's plan to dominate the world. I use their tools, their guidelines, their framework, and do their bidding. Take it up with them.
Thanks,
developer
The complaints stem from patent holding firm Lodsys, and are related to U.S. Patent No. 7222078, entitled "Methods and Systems for Gathering Information from Units of a Commodity Across a Network, MacRumors discovered on Friday. The original patent was filed in December 2003, but dates back through continuations to earlier applications as old as 1992.
The patent claim is gobbledygook. Supposedly it relates to getting feedback on "commodities." It would be interesting to see why the particular accused infringers were selected. Maybe they collect more feedback on the "user's perception of the commodity" as compared to other app developers.
Here is claim 1:
1. A system comprising: units of a commodity that can be used by respective users in different locations, a user interface, which is part of each of the units of the commodity, configured to provide a medium for two-way local interaction between one of the users and the corresponding unit of the commodity, and further configured to elicit, from a user, information about the user's perception of the commodity, a memory within each of the units of the commodity capable of storing results of the two-way local interaction, the results including elicited information about user perception of the commodity, a communication element associated with each of the units of the commodity capable of carrying results of the two-way local interaction from each of the units of the commodity to a central location, and a component capable of managing the interactions of the users in different locations and collecting the results of the interactions at the central location.
Aka, they're suing over an upgrade button. Are they also suing all those companies that provide upgrade options via their computer programs?
According to Nilay Patel, Intellectual ventures (a known patent troll) is involved. Most likely they are going after individual developers hoping to get quick payoffs because their patent would struggle to hold up in court. It's also apparently very similar to a patent Microsoft received at a later date. No doubt if they went after Apple, they'd lose the patent so they're hoping to scare some devs into paying out first.
It's just another sign that US patent law is completely broken.
I wonder if developers could circumvent the patent troll by registering their entity in another country and operating from there. Then said troll would have to sue Apple for providing the content infringing on the patent and that's not going to happen.
They would still name the developer as the defendant because the infringing acts occur in the U.S. You can sue a foreign entity in a U.S. court as long as the foreign entity engages in activity in the U.S. There is still no need to sue Apple.
The patent claim is gobbledygook. Supposedly it relates to getting feedback on "commodities." It would be interesting to see why the particular accused infringers were selected. Maybe they collect more feedback on the "user's perception of the commodity" as compared to other app developers.
Here is claim 1:
1. A system comprising: units of a commodity that can be used by respective users in different locations, a user interface, which is part of each of the units of the commodity, configured to provide a medium for two-way local interaction between one of the users and the corresponding unit of the commodity, and further configured to elicit, from a user, information about the user's perception of the commodity, a memory within each of the units of the commodity capable of storing results of the two-way local interaction, the results including elicited information about user perception of the commodity, a communication element associated with each of the units of the commodity capable of carrying results of the two-way local interaction from each of the units of the commodity to a central location, and a component capable of managing the interactions of the users in different locations and collecting the results of the interactions at the central location.
Someone needs to tell the author of that claim the definition of "run-on sentence"
This is stupid. I'm still waiting on a decent overview of the lawsuit to see what's going on, but from what I've read they're basically suing developers who us IAP to "upgrade" an app from a trial version to a paid version.
Aka, they're suing over an upgrade button. Are they also suing all those companies that provide upgrade options via their computer programs?
According to Nilay Patel, Intellectual ventures (a known patent troll) is involved. Most likely they are going after individual developers hoping to get quick payoffs because their patent would struggle to hold up in court. It's also apparently very similar to a patent Microsoft received at a later date. No doubt if they went after Apple, they'd lose the patent so they're hoping to scare some devs into paying out first.
It's just another sign that US patent law is completely broken.
Why would they go after Apple?
Apple isn't the one infringing on the patent, the software made by developers who are not Apple are the things infringing.
If the litigation goes anywhere at all, I would guess that the defendants will be the ones to get Apple named as a defendant. Apple appears to me to be an essential party to the infringement. In case you weren't aware, a defendant can ask the court to bring another defendant into the lawsuit. (which is basically the defendant making the plaintiff sue someone else).
This is obviously an extortion racket, with the "patent holder" going after app developers rather than Apple with the expectation that they'll be able to force them to pay for licensing to avoid the legal costs.
Apple needs to get solidly behind these developers, right away.
Why would they go after Apple?
Apple isn't the one infringing on the patent, the software made by developers who are not Apple are the things infringing.
It´s not only Apple, the developer should also walk free from this. Imagine: how moric a judge would have to be to say that PC Calc or any other app is a "commodity". By definition, a commodity encompases identical products (silver, oil, corn, etc.) Apps are all different.
Why would they go after Apple?
Apple isn't the one infringing on the patent, the software made by developers who are not Apple are the things infringing.
Nobody is infringing on this patent, or maybe everybody is. Maybe I am when I take a shit. Its hard to tell.
However if offering in-app purchasing is found to be in violation of this patent, Apple will lose boat loads of money. So Apple is getting sued, if only in proxy.
The real problem is that the patent doesn't make any sense.
Doesn't this seem a big odd? Going after the developer? Wowzer. Probably due to the fact they know legal action with the smaller people would be less of a struggle than dealing with apple and their billions?
So odd.
There's nothing odd about it at all. Apple's lawyers have money to fight in court. The developers are often small and will likely be unable to afford attorney's to fight. The hope is to make money off the little guy in settlements.
Basically, it's less effort to go after the developers. I think Apple will likely get involved, as its eco-system is under attack.
Damn, can Apple do anything nowadays without being sued?
I know the story says there isn't any evidence so far that Apple has been sued for this, but I guarantee they have been.
But if they have been then they have been cleared and these will be tossed.
Which makes me think Apple has not been and all these smaller ones will be tossed because they are following Apple's instructions in good faith and these folks will be forced to sue Apple.