Posts Tagged: "Facebook"

Canadian intellectual property owner BlackBerry Limited filed a suit alleging patent infringement claims against Menlo Park, CA-based social media giant Facebook Inc. in the Central District of California. BlackBerry alleges that Facebook, along with its subsidiaries WhatsApp and Instagram, violate patents held by BlackBerry in the field of mobile messaging communications.

Although it’s not illegal to earn a profit, unfair business practices in the pursuit of holding a monopoly over an entire industry led to the breakup of Standard Oil, especially the rebates from railroad companies for oil shipments which substantially lowered Standard Oil’s transportation costs relative to its much smaller competitors. Recent academic research has suggested that, while the U.S. government acted appropriately to stop the cartelization of an industry, Standard Oil was engaging in typical capitalist activity in securing better deals which optimized oil shipments. This would seem somewhat less nefarious than an outright copying technologies from smaller competitors in an effort to stave off competition.

If Snap cannot protect its ability to differentiate its platform, how is it going to compete with a rival that has more resources and a larger base of distribution? If Facebook and Snap compete on user experience, and that experience is essentially the same between both, there’s no way for Snap, the smaller player, to gain any sort of competitive advantage… An analysis of U.S. capital markets published last May by Ernst & Young noted that the decline of IPO activity over the past 20 years has been so significant that it has warranted conversations on policy action to reverse the trend. A restoration of patent rights, which gives a patent owner a reasonable ability to obtain and enforce patents, could very well have the positive impact desired to improve the business climate for IPOs.

Between 1882 and 1906, this market dominance reportedly brought Standard Oil a total of $838,783,800 in net income. On an annual basis, that would mean that Standard Oil earned nearly $35 million in net income each year, which equals approximately $969 million in 2017 dollars when adjusted for inflation… To some of the tech super giants of today, $1 billion in profits is nothing more than pocket change… If Standard Oil remains the benchmark for what it means to be a monopoly, which many believe it does, it is difficult to understand why U.S. Antitrust regulators are not at least asking very serious questions about the market dominance of the tech super giants and the associated suppression of smaller, truly innovative enterprises.

On January 19th, Facebook CEO and founder Mark Zuckerberg announced that his company would increase its efforts against “fake news” by asking its users to rate the trustworthiness of news sources being posted to the social media platform. Zuckerberg wrote that Facebook will utilize ongoing quality surveys to ask users if they are familiar with a particular news source. Using this data, Facebook will then rate each publication based on the user ratings and prioritize those that are most trusted to surface on news feeds. “There’s too much sensationalism, misinformation and polarization in the world today,” Zuckerberg wrote. “Social media enables people to spread information faster than ever before, and if we don’t specifically tackle these problems, then we end up amplifying them.”

For the first time since the inception of the Bloomberg Innovation Index, the U.S. ranked outside the top 10, ranking 11th out of the 50 economies. This latest dip in standing for the U.S. innovation economy is simply the most recent sign that significant issues exist relative to innovation and intellectual property… Another trend pointed out by the recent Bloomberg Innovation Index is the slow rise of the innovation economy in China which has shown signs of improving just as the United States continues to be unable to address key IP issues. China climbed two rank positions in the most recent version of the Bloomberg index, up to 19th from 21st the previous year.

Without the FCC’s ability to regulate ISPs under Title II common carrier regulations, there have been fears that ISPs could create bundled mobile packages such as are seen in Portugal, a country without the same kinds of net neutrality regulations which were seen in the U.S… And here, we return to the example of erstwhile Jedi knight Mark Hamill. Hamill’s viewpoints on the subject of net neutrality, specifically that FCC Chairman Pai is only acting in service to rich corporations, evidence a great lack of understanding of the net neutrality regime set up under former Chair Wheeler. It’s interesting to note that Hamill essentially sides with Google and the rest of the tech ruling class, companies which have much larger market caps and subscriber bases than the ISPs being regulated by the FCC. Those well-heeled members of the tech ruling class are the same ones that couldn’t be charged for their excessive use of bandwidth; that would be paid prioritization.

Facebook shut down the page 3 years ago after the owners of the page admitted that they sold camouflaged advertising. Facebook shut down the page without any prior notice 2 days after an article shed light on the sale of camouflaged advertising… The Court did hold that the Plaintiff breached the terms of use of Facebook, but this should not be regarded as a material breach of the contract.

On November 20th, both Peter Gene Hernandez, the American singer-songwriter-producer who goes by the professional name Bruno Mars, and New York City-based Warner Music Inc. were named as defendants in a copyright case filed in the Southern District of New York by Burbank, CA-based photographer Catherine McGann. The lawsuit targets Mars’ social media use of a photograph of himself taken by McGann when Mars was performing as an Elvis impersonator as a child.

October 30th was a very busy day for amici filing briefs with the U.S. Supreme Court on how the highest court in the nation should decide in Oil States Energy Services, LLC v. Greene’s Energy Group, LLC, a case in which oral arguments will be heard on November 27th. Many of the briefs filed on the 30th were submitted by some of the biggest names in the tech industry. Taking a look at briefs filed by this major companies, some of whom have been seeing great success in patent validity trials at the Patent Trial and Appeal Board (PTAB), it’s both revealing and unsurprising to find how the tech ruling class feels that the Supreme Court should decide in Oil States.

It is no secret that the fortunes of Mountain View, CA-based tech conglomerate Alphabet Inc. are largely based upon the advertising revenues accrued through its subsidiary Google and its incredibly popular search engine. The company’s most recent earnings report for the third quarter of 2017 shows that, of the company’s $22.5 billion in revenues for the quarter, $19.8 billion came from Google advertising revenues. That’s nearly 90 percent of Google’s entire revenues for the third quarter; the rest comes from Google’s other revenues ($2.4 billion) and Alphabet’s Other Bets ($197 million). The name of the corporation may be Alphabet but that entity is nothing without Google and its advertising revenues.

Snap has attempted to remain competitive with new features, such as increasing the allotted time for video capture and introducing new drawing tools this May. But it hasn’t been able to gain a foothold against Facebook, a company which reportedly offered to buy Snap for $3 billion prior to Snap’s IPO… “If we are unable to protect our intellectual property, the value of our brand and other intangible assets may be diminished, and our business may be seriously harmed,” one of the section titles in Snap’s S-1 filing reads. Of course, in the current IP landscape, there is no real ability to protect that property, especially where it pertains to patents. And Facebook’s copying of features which are valuable on the Snapchat platform has been blatant.

In late September, an official blog post published by Menlo Park, CA-based social media giant Facebook (NASDAQ:FB) and penned by Adam Wolff, the company’s engineering director, announced that the company would be adopting a software license agreement known as the MIT License for many of the company’s open source projects. This includes Facebook’s React platform, a Javascript library for building front-end user interfaces on hardware products. The use of the MIT License moves Facebook away from a prior software license known as the BSD + Patents License that included language which put patent owners using the React platform at a serious disadvantage.

Early this October, Facebook announced a partnership with three entities that will be integrated with the Rights Manager suite to offer rights management as a service on the Facebook platform: Friend MTS; MarkMonitor; and ZEFR. These entities will reportedly enable more automation of Rights Manager services for content creators who are already enrolled in Facebook’s content protection program. The integration of Rights Manager with these new services is expected to take place over the coming months.

The Facebooks, Googles and Netflixes of the world, edge providers that provide Internet services via websites but not an Internet connection like ISPs offer, have every reason to support the current net neutrality regime at the FCC because it benefits their bottom line, preventing ISPs from charging them for the incredible amount of bandwidth which they eat up. Proponents of net neutrality have presented the debate to the public as the individual consumer versus the larger ISPs, which has been successful in increasing regulations for ISPs having much smaller subscriber bases and lower market capitalizations than edge providers. While ISPs are prevented from zero-rating, or offering digital content for free to subscribers, under the current net neutrality regime, Facebook and Twitter are increasingly offering live sports broadcasts for free to their users.