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Silver Member Username: One_eye_jackPost Number: 394 Registered: Nov-07 | C/P FTABins.NET :: The Greatest FTA Community on the NET! Dish Found Guilty of Pirating Software -------------------------------------------------------------------------------- Here is a twist, it seems that Tivo claims to have the patent for "Time Shifting" technology and that Dish illegally copied that software and technology to make their own DVR boxes. The time shifting allows the user to pause, rewind or fast forward live TV. The Jury awarded Tivo $94M. ====================== Appeals Court: EchoStar Infringed TiVo Patents By Roger Cheng Of DOW JONES NEWSWIRES NEW YORK -(Dow Jones)- TiVo Inc. (TIVO) took a major step forward in reclaiming the "time-shifting" video recording technology it pioneered after a federal appeals court affirmed that EchoStar Holding Corp. (SATS) and Dish Network Corp. (DISH) have been illegally using the software. TiVo, Alviso, Calif., has been expanding its business beyond selling digital video recording TV set-top boxes and toward licensing out its technology. The legal victory Thursday is a boon to TiVo, which has been trying to push its technology to cable and satellite TV companies even as those providers offer similar features to their subscribers. Now, TiVo has more ammunition when bargaining for licensing terms. TiVo shares rose $2.10, or 31%, to $8.90. Dish Network rose 10 cents, or 0.4%, to $28.49, and EchoStar rose $1.10, or 3.9%, to $29.44. The U.S. Court of Appeals for the Federal Circuit in Washington, D.C., affirmed a ruling by the U.S. District Court for the Eastern District of Texas, which also called for roughly $74 million in damages. EchoStar, however, said the total damages are closer to $94 million when factoring in interest. The court did reverse the ruling that EchoStar had violated TiVo's hardware patents, although the change in ruling did not affect the damages. While disappointed in the decision regarding the software claim, EchoStar doesn't believe the decision will cause major ripples with its business. "This decision will have no effect on our current or future customers because EchoStar's engineers have developed and deployed 'next-generation' DVR software to our customers' DVRs," spokeswoman Kathie Gonzalez said in a statement. TiVo, however, doesn't believe EchoStar has the necessary technology to get around its patent. "EchoStar has made a series of statements over the years related to the infringement of the TiVo patents that turned out to be both false and misleading," the company said in a statement. "At this point it doesn't really matter what EchoStar says by way of further self-serving statements. It matters what the courts say - and the courts have spoken." A spokesman for EchoStar couldn't be reached to respond. Hints of a victory came in November when the U.S. patent office upheld TiVo's claims on the time-warp patent, which allows users to pause, fast forward and rewind live television programs. The original lawsuit was filed against EchoStar Communications Corp. in 2004. But at the beginning of this year, EchoStar split into satellite TV business Dish Network and set-top and technology business EchoStar Holding. TiVo in a statement said it is "extremely pleased" by the court ruling. The company said it plans to focus on greater distribution of its technology. A victory would represent a stronger bargaining position for TiVo, Chief Executive Tom Rogers said during the company's third-quarter conference call in November. "Obviously, having a key patent like this affirmed would add a clear strength to our overall negotiating position in terms of distribution," he said. "Our goal is to enter into commercial relationships that value our innovative approach." "It seems to me like this is a valuable ruling for TiVo," said Carl Tobias, a professor of law at the University of Richmond, Va. TiVo is likely to undergo a two-pronged approach of partnering with some providers while going after others that are violating its patents and unwilling to negotiate, he said. TiVo recently rolled out TiVo-branded digital video recorders to some of Comcast Corp.'s (CMCSA, CMCSK) cable customers in New England. It also agreed last year to bundle its television services with EarthLink Inc.'s (ELNK) Internet connection. The company also plans to expand into the TV research business. NBC Universal, owned by General Electric Co. (GE), and CBS Corp. (CBS) have agreed to buy TiVo data that offers second-by-second information on what TV viewers are watching. The deals add momentum to TiVo and provide long-term growth visibility, Citigroup analyst Tony Wible said in a note. EchoStar and TiVo will likely continue to work together to hammer out an agreement. "We will have a conversation with TiVo regardless of that about how we can work together," EchoStar Chief Executive Charlie Ergen said during a conference call in November. -By Roger Cheng, Dow Jones Newswires; 201-938-2020; roger.cheng@dowjones.com (Shira Ovide contributed to this story.) (END) Dow Jones Newswires C/P |