Microsoft strikes back at Lucent

  • By Curt Feldman, GameSpot
  • Posted May 17, 2006 4:16 pm PT

Dispute over MPEG-2 decoding capability of Xbox 360 moves into next phase as Microsoft goes on offensive.

A long-simmering dispute over technology used in Microsoft's Xbox 360 game console has heated up. Defendant Microsoft, sued by Lucent Technologies in March for infringing on patents it owns, has filed a countersuit denying the Lucent claims and brings a few charges of its own.

In documents filed Monday in a US District Court in San Diego, not only did the console maker deny infringing on a 1993 Lucent patent which concerns MPEG-2 video encoding (Patent No. 5,227,878, titled "Adaptive Coding and Decoding of Frames and Fields of Video"), it argued that the initial claim of Lucent is invalid, reportedly due to Lucent's failure to disclose prior art when making its initial application with the US Patent and Trade Office.

Monday's counterclaim also accuses Lucent of infringing on a number of Microsoft-owned patents.

In an e-mail statement published in The Wall Street Journal, a Microsoft attorney on the case said, "Microsoft stands behind our intellectual property, our customers and our partners." He also took a stab at characterizing Lucent as reluctant to reach a resolution in the dispute. "Rather than engage in meaningful licensing negotiations," the lawyer said, "Lucent continues to choose to litigate against Microsoft and our customers."

While lawyers for the two camps draw sabers in court, there seems to be little fallout on the Xbox 360 agenda at large. Reportedly, Lucent has requested a jury trial and monetary damages from Microsoft, but has yet to seek any sort of injunction to prevent Microsoft from continuing to sell the "infringing" console.

94 Comments

  • Hoopin4thelove

    Posted Jun 2, 2006 10:35 am PT

    all of the giant compays steal little companys ideas and use them on a large scale, take EA vs. 2Kgames in nfl2k3 2kgames used the second "stick" on the pad as a means for offensive and defensive moves.
    2004 comes around and madden had a 'HITSTICK" see how it happends?

  • AceCometh

    Posted May 22, 2006 9:15 am PT

    Reminds me of Sony having to pay out the rear end for using the rumble technology in it's controller. I don't remember who owned the patents to it, but Sony lost and paid hundreds of millions of dollars to the small and unknown comany. Microsoft was sued as well, but they had settled out of court several months before. Thankfully for MS, Lucent just sounds money hungry. Especially since no one buys their crappy stuff anymore.

  • mgsseries4life

    Posted May 21, 2006 5:33 pm PT

    From PS3 Portal:
    Sony told EB and GameStop that they would be supplying 3 million consoles at launch worldwide, 1 million more than they claimed at E3. They also broke it down by region: an even cool million for each Japan, NTSC and PAL. Please note that Sony informed retailers that these were launch day figures.

    Sony Computer Entertainment America reportedly stated that gaming would be free, stating: "Please note that online gaming will be free right out of the box."

    Sony has touted free online as an advantage over Microsoft's free XBox LIVE account, called a "Silver" account, which does not include online gaming as one of its services. The pricing structure for premium and downloadable content has still not been outlined
    ....
    See that’s another thing that justifies the 500$ or 600$ for the PS3.

  • rvinsc

    Posted May 21, 2006 9:05 am PT

    MS always wins.

  • clonesheep

    Posted May 21, 2006 4:55 am PT

    The thing with patent is that its like a congested highway, the more patent(cars) there is, the slower the advancement(travel time) are. If you are given a time limit to travel from A and B with a penalty if you dont make the time limit than you are forced to overtake and bump into some of the cars, just like a game. This is what microsoft faces they have to meet dead lines and if they dont make it they are punished with fall in share price, so its only natural that cases like this arises.

  • og8440

    Posted May 20, 2006 11:18 am PT

    Surprise surprise. M$ steals everything. They have as much originality as Sony.

  • princeofgames90

    Posted May 20, 2006 8:04 am PT

    Lucent jest wants money

  • comthitnuong

    Posted May 19, 2006 8:30 am PT

    lol

  • ApocalypseBlue

    Posted May 19, 2006 5:24 am PT

    Thing is though, when Microsoft get caught infringing on a patent, they own up and say "Ok, how much you want?", settle and license the patent from the owner, or set up a partnership with the company involved.

    Sony just deny all knowledge of it, then drop the patented tech from their new console (whilst still denying all knowledge of it of course...)

    As it seems, Lucent are having money trouble and are trying to gain on anything they can think of out of desperation. Now that's bad business.

  • Nawras

    Posted May 19, 2006 4:26 am PT

    Microsoft seems to always "borrow" ideas and technologies from other companies. How many times have they been sued for things like these for now?

    For a Geeky company they sure know how to pull of mass crimes.

  • asia_hills

    Posted May 18, 2006 8:32 pm PT

    Sony will Pwn

  • xbox_gamer1

    Posted May 18, 2006 5:24 pm PT

    Lucent will loose big time, Microsoft is the clear winner.

  • xXAdventChildXx

    Posted May 18, 2006 4:42 pm PT

    Aww man that sucks

  • theuntoldhero

    Posted May 18, 2006 4:25 pm PT

    This happen all the time for Microsoft, they steal everything.

  • nemes1s3000

    Posted May 18, 2006 3:40 pm PT

    It's like battle of the sexes but without the sexes.

  • cesarotromundo

    Posted May 18, 2006 12:51 pm PT

    well, they are just trying to get Microsoft's money, DUH!

  • Death1234567890

    Posted May 18, 2006 12:30 pm PT

    MPEG 2 DECODING SHOULD EBE OWNED BY ANYONE and they should take this stupid Caps Lock off there keyboards.....ANNOYING

  • LordAndrew

    Posted May 18, 2006 12:28 pm PT

    That's what you get for using patented codecs. Those things only lead to trouble.

  • gatsbythepig

    Posted May 18, 2006 11:20 am PT

    I hope Lucent wins

  • acummuta

    Posted May 18, 2006 9:45 am PT

    Oh...and to supplement this, if no one reads the link. Microsoft was fighting back Lucent in defence of other companies like Gateway. I hope Lucent goes under so they can stop sueing people like rabid dogs.

  • acummuta

    Posted May 18, 2006 9:42 am PT

    Microsoft has so much money that this matter is really...inconsequencial. Well for Microsoft at least. If Lucent really is in the wrong they're doubly screwed. Not only will they not get MS's free money, but they'll have court costs on their hands, as well as miffed stockholders for Lucent wasting company money.

    Read this... http://www.lightreading.com/document.asp?doc_id=31131&site=lightreading

    Is there anyone that Lucent won't sue? I think their lawyer staff is a little happy go lucky.

  • chrisdojo

    Posted May 18, 2006 9:24 am PT

    $$$ hunting?

  • MONTE_BLK

    Posted May 18, 2006 9:21 am PT

    Microsoft is taking over again.... big bully

  • Vallhalan

    Posted May 18, 2006 8:36 am PT

    it's funny how quickly the fanboys jump to the defence.

  • sabru8

    Posted May 18, 2006 8:29 am PT

    i smell a lawsuit.

  • SilV3RSix

    Posted May 18, 2006 7:17 am PT

    Oh and FFObsessed... where was the PC industry before MSoft started cranking out Windows? You really wanna say Apple? HAHAHA.... yeah. So they try to undermine their competition. And your point is? Thats business 101.

    In spite of what you think about MSoft dragging the industry down, they have ultimately standardized computing across the world. That goes for both hardware and software.

    And your quote-
    "Microsft dont try and offer a better service or what people want, they go around and try and damage other companies and take over... that is why Microsoft is a disgusting company, they dont improve over the compettion like Sony did, they try and damage their competition and take over"

    The XBox along with the XBox Live service was head and shoulders above what Sony offered for the PS2. In the current gen consoles, it was Sony who cashed in and didnt innovate. So take your MSoft bashing back to McDonalds and start working double shifts to save up for your PS3.

  • SilV3RSix

    Posted May 18, 2006 6:54 am PT

    The MPEG-2 liscence is in fact a number of patents combined into one for the sake of ease of use (i.e- if someone wants to use MPEG-2, they negotiatie with this consortium, not all the individual companies that hold the various patents). If you look at the consotium list, you will find SONY as one of the major partners.... Sounds like Lucent is trying to be someones watchdog.

  • FFObsessed

    Posted May 18, 2006 6:54 am PT

    "I actually applaud M$ and actually admire Bill Gates and the company a great deal. It's funny how being a smart business person and knowing how to court the right people and offer the right services can make you a disliked person."

    LMAO! You obviously know nothing about the way MS do business. Theyre lies, dirty tricks and agressive marketing tactics are well known. They systematically go about damaging any competition in the software business, and now they've brought theyre agressive marketing tactics into the Console businees.

    Go and look up what Microsoft implement into their OSs to damage opposition web browsers and other software. Go look up how many times theyve tried to damage Sony.

    Microsft dont try and offer a better service or what people want, they go around and try and damage other companies and take over... that is why Microsoft is a disgusting company, they dont improve over the compettion like Sony did, they try and damage their competition and take over.

  • skitzocyko

    Posted May 18, 2006 6:32 am PT

    BAH!!

  • mark_unix

    Posted May 18, 2006 5:34 am PT

    in the past M$ striking back always made the lose more...

  • AA7

    Posted May 18, 2006 5:31 am PT

    Are they honestly going to fight MS? Good luck idiots.

  • ewjim

    Posted May 18, 2006 5:13 am PT

  • ApocalypseBlue

    Posted May 18, 2006 4:59 am PT

    mgsseries4life
    hehe and they say sony lies, Microsoft is just a thift.... MS should quite console industry

    ___________

    I think unless you can spell, you shouldn't be allowed an opinion...

    And to "enoslives7": So what you're saying is that because a console released several years ago has more units sold compared to a console that hasn't even been out for one year, the maker of the latter must be losing?

    I must say, your logic astounds me.

  • Elite_Bushido

    Posted May 18, 2006 4:50 am PT

    the damn file format is from the early 90's there is no need to even talk bout it anymore

  • Maquis_UK

    Posted May 18, 2006 4:47 am PT

    micro$haft = monopolising greedy corporate pig. they rip off Apple, web-browser companies, media companies, the list goes on. i won't even be buying vista, let alone a 360.

  • miiiguel

    Posted May 18, 2006 4:08 am PT

    This patents thing really cripples inovation. People/companies should be forced to set theirs inventions to public domain if they don't do nothing with it.
    Can you imagine, for instance, a next-gen console controller with no rumble ?, because of these patents "vampires".

  • ardavies1

    Posted May 18, 2006 2:38 am PT

    We all know that if MS can't win, they settle.

    If they're fighting, it means they're telling the truth. Lucent have chosen the wrong company to pick on...

  • DELTAsnake

    Posted May 18, 2006 1:47 am PT

    Who are these Lucent guys? They dont own the MPEG formats, it's owned by the Moving Picture Experts Group. Only part of the MPEG spect thats not controlled by the MPEG group is the Fraunhofer-Gesellschaft controlled MPEG-1 audio layer 3 (MP3). As long as M$ is paying them theres no problems.

  • mezonesxbox

    Posted May 18, 2006 1:31 am PT


    Lucent are A ** HOLes they just want money $$$$$$$$$$

  • EvanO_O

    Posted May 18, 2006 12:27 am PT

    More money for Microsoft, w00t!!

  • xavier14

    Posted May 17, 2006 10:53 pm PT

    stop trying 2 get some money Lucent dag u see that microsofts xbox360 is doing so well they want money now stop it please iits sad 2 see poor companys trying 2 get money fix your patent right in the first place.

  • StumpyTrash

    Posted May 17, 2006 9:20 pm PT

    Apparently I am unable to post the link to the above site. Sorry!

  • animemog

    Posted May 17, 2006 9:18 pm PT

    Whoa, they dueled with sabres!

  • StumpyTrash

    Posted May 17, 2006 9:13 pm PT

    This is Lucent trying to get their shareholder faith back and their stock prices up by trying to crack into Microsoft's piggy bank.

    They were in the business section of the paper a couple of weeks ago and their stock price is tanking amidst further rumors of bankruptcy protection... see the article below from **** late March...

    *****

    Lucent stock falls on growth concerns
    E-mail | Print | | Disable live quotes
    By Jeffry Bartash, ****
    Last Update: 4:33 PM ET Mar 20, 2006

    WASHINGTON (****) -- Shares of Lucent Technologies Inc. fell as much as 4% Monday after a news article questioned the company's growth prospects and the company's pending acquisition of Riverstone Networks was jeopardized by a competing bid.
    Lucent came under pressure after a weekend article in Barron's magazine portrayed a bleak future for the supplier of equipment for communications networks.

    In late Monday trading, Lucent shares were down 10 cents at $2.80.





    2.54, -0.09, -3.4% ) shares were down 10 cents at $2.80.

  • matsgora

    Posted May 17, 2006 8:55 pm PT

    Microsoft. I got ur back

  • enoslives7

    Posted May 17, 2006 8:45 pm PT

    The 360 is being outsold by the PS2 at a margin of 3 to 1. When the PS3 comes out, the 360 will go obsolete, just like how the PS2 whipped the xbox. :-)

  • goat2001

    Posted May 17, 2006 8:44 pm PT

    Big deal. Another company wanting a piece of MS's money is hardly noteworthy news.

  • lageasy311

    Posted May 17, 2006 8:40 pm PT

    agreed

  • XAF1

    Posted May 17, 2006 8:40 pm PT

    Devilwillcry
    LOL! This is great. This site has so many F***** Microsoft fanboys. its about time they get a reality check and see Microsoft is not perfect. you idiots are always criticizing Sony because they make the best games and have a Kicka** next gen console half of you losers will never be able to afford.

    _____________________________________________________________

    Devilwillcry,

    I think your name says it all. There probably isn't a 360 owner that couldn't afford a PS3 on day 1 of release. Also a great deal of us own the PS2 aswell as M$ systems but the fact is Sony loves to lie and it does it so blatantly. It's not bold. It's not even apologizing just completely selfish like some of its fans *****UhMMMMMM*****. I'm not going to start Sony bashing all I have to say is

    (1) I have a PS1 1st came out it died less than a year--- more than a couple of hundred thousand complaints and Sony refused to admit to there being a problem.

    (2) Bought my nephew a PS2 brand new 2 years ago the lazer started giving read error messeges. He bought a new one afterwards it died 6 months late. I read several months later that Sony is being sued over the lazer issue by several individual and it attempts to settle after a great deal of denial.

    (3)Sony also promised Online features aswell as a tone of other features a year after the PS2 arrived what a joke just now getting it---if it happens PS3.

    (4)Oh and I have a $100 dollar paperweight called a 40GB drive that I bought for my PS2 that never recieved any support.

    (5) PS3 a watered down version for $500 dollars and a top of the line version $600 with everything they originally promised as standard period for the PS3.

    Atleast M$ only took out the Hard Drive and gave gamers a choice of adding it without lack of having causing quality to suffer.

    (Sorry Guys But I Just Had To Do That. I Just Like Stating And Listening To Facts. I Apologize For Getting Off The Main Topic. )

  • mgsseries4life

    Posted May 17, 2006 8:40 pm PT

    hehe and they say sony lies, Microsoft is just a thift.... MS should quite console industry

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