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There was a brief story about this on NPR this morning, but it concerned
me enough to want to investigate it further.  This could potentially
impact anyone on campus using streaming to deliver any kind of content,
be it recorded audio, video, or live feeds.

http://www.streamingmedia.com/article.asp?id=8559

http://www.streamingmedia.com/patent/

Summary:  the company Acadia Research claims they hold business process
patents on the concept of streaming media across a network.  The five
patents (the first dated in 1991) are so broad that they literally cover
any type of streaming, be it audio, video, live feeds, or internet
radio.  As a result, the company has sent out letters demanding a cut of
profits from anyone doing streaming AND anyone hosting a web site which
offers streaming. Even if a company does not stream audio and video from
its website but links to websites that do, Acacia claims that also
violates their patent.

So far the company has picked on smaller players: colleges and
universities, web hosting firms, small time internet radio sites, and
pornography sites.  They haven't gone after anyone big like the major
technology players who stream media (RealMedia, AOL, Apple, or
Microsoft.)  A group of companies served has banded together to
challenge the assertion that Acadia can demand a percentage of their
business, streaming or not, because of the patent violation. Many
companies have caved, and now pay 3% of their gross profits and agree to
future audits of their services by Acadia in order to continue streaming
without hinderance.  Others simply removed streaming media from their
website offerings. A group of 13 companies is countersuing, hearings
slated to take place today. For more info on the fight against Acadia,
see:

http://www.impai.org/
http://fightthepatent.com/

I don't know enough about the area of business process patents to know
how strong a case either side has. I do recall a similar case by a small
company against Ebay and Amazon because they claimed to have a business
process patent on the concept of online auctions, and that case dragged
on for years (and may still be in process, if it hasn't been settled).
It could be a while before we know the outcome of this one.


John A. Resotko
Head of Systems Administration
MSU - Detroit College of Law
208 Law College Building
East Lansing, MI  48824-1300
email: [log in to unmask]
Phone: 517-432-6836
Fax: 517-432-6861