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Video game watchdog shuts down, victim of economy
Ruling may bar certain software inventions from patents, could invalidate existing ones
Published on Sunday, Nov 08, 2009
Associated Press
WASHINGTON: The Supreme Court on Monday will explore what types of inventions should be eligible for a patent in a pivotal case that could undermine such legal protections for software.
A ruling that sides with the Patent Office could bar patents on processes and methods of doing business, such as online shopping techniques, medical diagnostic tests and procedures for executing trades on Wall Street. And it might even undercut patents on software.
In a worst-case scenario for the high-tech industry, the ruling could invalidate many software patents or at least make them more difficult to defend in lawsuits. And it could make such patents harder to obtain in the future because software is generally patented as a process for doing something rather than as a physical invention.
''Technology companies care about this case, because it will define what you can and cannot get a patent on,'' said Emery Simon, counselor to the Business Software Alliance, which represents large technology companies including Microsoft Corp. and Intel Corp.
It's impossible to know what products might never have come to market without patent protection for software. But tech companies say these patents have played a critical role in keeping the United States on the cutting edge by giving people control over their inventions for nearly 20 years.
''The software industry would lose an important incentive to innovate if the government ceased issuing software patents,'' warned patent attorney James Carmichael, a former judge on the Patent Office board of appeals.
The roots of the dispute go back to 1997, when inventors Bernard Bilski and Rand Warsaw tried to patent a method of hedging weather-related risk in energy prices.
Some of the best-known business-method patents in technology come out of electronic commerce, including Amazon.com Inc.'s ''1-Click'' tool for completing online purchases and Priceline.com Inc.'s ''Name Your Own Price'' model.
Get the full article here.
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