Monday, October 23, 2006
IBM said on Monday it had filed two lawsuits accusing Amazon.com Inc. of violating patents on features used in its online shopping network.
The suits say Amazon violates IBM patents covering such features as allowing users to order items from an electronic catalog, displaying advertising in an interactive service and storing data in an interactive network.
"We believe that Amazon's entire business model is built upon these patents and that damages could be substantial," said IBM spokesman Scott Brooks.
Brooks said IBM was interested in striking a licensing deal with Amazon, which is the world's biggest online retailer and had $2.14 billion in revenue for its second quarter.
"Many companies that do e-commerce have worked with us on license agreements, and frequently these are cross-license agreements," Brooks said. "It gives both companies greater freedom of action."
IBM, which files more U.S. patents than any other company, said it had first notified Amazon of the infringement more than four years ago, but that the Seattle-based company had "shown no willingness to have meaningful discussions".
By: DocMemory
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