Tons Of Companies Sued Over Broad Patent On Controlling Workstations In A Computer Network

from the sue,-sue,-sue,-sue dept

As we keep waiting for a Supreme Court ruling in the Bilski case (any day now...), Glyn Moody points us to the news of a lawsuit that has been filed against 26 different software companies for violating an incredibly broad patent (5,832,511) on "Workgroup network manager for controlling the operation of workstations within the computer network" (say that 10 times fast). The list of companies sued is a who's who in software:

Apple, Activision, Adobe, Autodesk, Capcom, Citrix, Corel, Dassault, Delcam, Square Enix, Electronic Arts, Frontrange Solutions, IBM, Intuit, Konami, Digital Entertainment, Maximizer Software, Nuance, Parametric Technology, Sage Software, Sega, Skype, SPSS, Teradata, THQ and Legacy Interactive

I'm sure none of those companies could have possibly come up with a system for controlling the operation of workstations within a computer network without this patent. At some point, isn't the fact that such a vast number of companies appear to have come up with the same basic thing independently a perfect prima facie case of obviousness?

Filed Under: patent, remote computers, workstations
Companies: activision, adobe, apple, autodesk, citrix, corel, ea, ibm, intuit, konami, nuance, sega, skype, spss, square enix, teradata

Congress May Finally Be Allowed To Use Skype To Talk To Constituents

from the and-these-people-regulate-us dept

Ah, Congress. It's really amazing how the folks in charge of regulating the technology industry basically aren't allowed to use it. Two years ago, we wrote about concerns among some in Congress, that using YouTube violated House rules. Later that year, a slightly misguided flare-up occurred when folks realized that the rules also forbade the use of Twitter (the misguided part was an attempt to turn it into a partisan thing). Eventually these things got sorted out, but basically, it appears that Congressional reps can't use certain new technologies without first getting those technologies approved.

The latest on the list? Skype. Despite having been around much longer than either YouTube or Twitter, apparently Skype is not on the approved list. There's now a push for Skype to be allowed, so that Congressional reps can chat with constituents using the communications tool.

The whole thing seems ridiculous. Did Congress also have to get approval before Representatives were allowed to use the telephone? It's difficult to understand why forward-looking elected officials need to get special permission to try out communication tools that can help them better represent their constituents.

Filed Under: congress, politicians, skype
Companies: skype

There's Some Echo On This Skype Call... Or Is It Just Doublespeak?

from the what-we-have-here-is-a-failure-to-communicate dept

Skype has been one of the louder voices in pushing for broadband providers to be forced to keep their networks open. One of the company's execs has taken to its blog supporting net neutrality regulations in the EU, making some useful points about how it's services like Skype that sell broadband subscriptions and, specifically, mobile data plans. But how does that reconcile with Skype's mobile moves in the US, where it appears to be pushing exclusive deals with operators over "open" access? So, on the one hand, Skype doesn't want to have to pay telcos for access to its customers. But then on the other, it looks like Skype wants to charge telcos to be able to offer its service to their customers. This makes it look like Skype is okay with pay-to-play systems, but only when it's on the receiving end. Certainly Skype is free to use whatever business model it likes, but it certainly appears it's trying to have the best of both worlds here.

Filed Under: broadband, networks
Companies: skype

Egypt Says No More Mobile Skype Calls

from the can't-route-around dept

Egypt has apparently decided that it doesn't like the idea of people making mobile phone calls that it can't track and/or that the state-owned telco can't make money off of. So it's banning all mobile VoIP calls. Apparently "fixed" VoIP calls are okay, which gets a bit confusing:

"The ban is on Skype on mobile internet, not on fixed, and this is due to the fact it is against the law since it bypasses the legal gateway," said Amr Badawy, the executive president of the National Telecommunication Regulatory Authority (NTRA).

Under Egyptian law, international calls must pass through a network controlled by majority state-owned Telecom Egypt, which this week reported disappointing earnings.

But what is the difference between the "mobile internet" and the "fixed internet" in real terms? If I use a laptop on a 3G connection... is that fixed or mobile? If I use a mobile phone on a WiFi connection connected to a DSL line, is that fixed or mobile? This just seems like a way to try to boost profits for the state owned telco with arbitrary rules.

Filed Under: egypt, voip
Companies: skype

Skype Deliberately Crippling Functionality of iPhone and WinMo and Verizon Apps?

from the New!-Improved!-Exclusive!-Broken! dept

There's something anti-competitive afoot in the 'VoIP over 3G' space this year. Let me run you through a timeline, and see if you can't spot the dirty pool:

0. Skype has had a highly functional VoIP client for Windows Mobile devices for a few years. It allowed smartphone customers to use most features of Skype over WiFi OR a carrier's cellular data network. It was distributed around the carriers direct to customers of Skype, and was designed for those customers' benefit.
1. March 2009: Skype on iPhone is launched, but is unable to do VoIP over the 3G data channel because AT&T and Apple blocked that functionality. Skype, Google, the FCC, and consumers cried "foul" at AT&T and Apple.
2. Oct. 2009: After considerable FCC and consumer pressure, AT&T relents, and allows VoIP over 3G (and was even publicly applauded by Skype's CEO Josh Silverman). Skype users, naturally, expect an updated Skype version that will leverage 3G data.
3. Jan 16, 2010: Skype releases a new iPhone version which DOESN'T take advantage of the new leeway AT&T (and ostensibly Apple) allow for VoIP over 3G. Skype points fingers, mostly back at Apple.
4. Jan 27, 2010: Apple removes any 3G VoIP restrictions. Now there is nothing holding Skype from doing VoIP over 3G on iPhone.
5. Mid Feb, 2010: At MWC in Barcelona, Verizon and Skype announce a special version of the Skype app that will run on Verizon. While most press outlets rejoice at the "openness" Verizon wireless is finally showing,  it turns out to be a limited, crippled version, which is designed to fit Verizon's agenda, NOT customer wishes. This version can use the 3G data network, but just for chat and 'control', not for voice. It requires a >$10/mo data plan, is not available for phones with Wi-Fi, and 'Skype out' cannot be used to make domestic phone calls. In this deal, it appears that VZW paid Skype for some exclusivity in the USA.
6. Mid-Feb, 2010: Also at MWC, Skype CEO Silverman tells Om Malik that we can expect 3G VoIP on iPhone "Very soon", with no firm commitment.
7. Feb. 26, 2010: Skype completely pulls it's very functional Windows Mobile apps with little explanation, and no suggestion of when they might return. The app, which works fine, just goes away. Why pull the most functional Skype mobile app and leave only crippled versions?

Looking at the timeline above, it's pretty easy to guess what's going on here. Skype has been negotiating with Verizon Wireless for some exclusive deal in the USA. But unlike the relatively good, open Skype deal enjoyed by Hutch "3" subscribers in the UK, the Verizon version is crippled with confusing limitations, complications, conditions. It's clear the Verizon goal is to use Skype to upsell data plans to users who don't yet have one, and to drive or retain Minutes of Use of cellular voice traffic. Skype just sold its US mobile users down the river! Skype still promotes "Skype Mobile" on its US web pages, but if you click on any OS like Android or Blackberry, you'll see the bold headline "Coming Soon: Skype on America's most reliable wireless network." And are basically told to wait for the exclusive product.

The only reason Skype offered for retracting the WinMo app is "because we want to offer our new customers an improved mobile experience – much like the version that has proved so popular on the iPhone..." Wait...Is that the same version that annoyed users because it couldn't do VoIP on 3G? And how does killing a product with no replacement offer an "improved mobile experience"? Seems like more of an absent mobile experience.

Going forward, this also could position Skype well for offering a premium paid version of a fully functional app at a future date, when exclusive deals expire. A freemium model would be less unsavory than the exclusive/crippled structure that we apparently have for now. At least with freemium, the free market can choose to pay or not from any given carrier. With the exclusive/crippled structure, customers have little choice - except the choice to use another VoIP provider who is focused on giving end users what they want.

The result of this exclusive deal is, essentially, to deprive an entire country of the value of a good VoIP service (Skype) on mobile phones, and instead to offer us a crippled version that is designed not to delight any user, but to delight a carrier. How ironic, then, that Skype's Silverman has been at the forefront of the push for more "open" networks:

"Nonetheless, the positive actions of one company are no substitute for a government policy that protects openness and benefits consumers. We're all looking forward to further developments that will let people use Skype on any device, on any network."

or when he said this from a September lobby trip to DC:

 "We have witnessed certain broadband providers unilaterally block access to phone calls delivered over data networks and implement technical measures that degrade the performance of peer-to-peer software distributing lawful content. And as many members of the Internet community and key congressional leaders have noted, there are compelling reasons to be concerned about the future of openness."

Compelling reasons, indeed. It seems that in this case, AT&T actually followed through with their promises to be more "open" while Skype and Verizon have just painted a big "open" sign on the gates of the walled garden. Enter at your own risk.

Filed Under: iphone, winmo
Companies: skype, verizon

Indian Intelligence Officials Want To Block Skype

from the as-if-there-aren't-alternatives dept

Skype and other VoIP tools have become quite useful for reaching people around the world. I know that, recently, when my wife happened to be in India on a trip, being able to call her via Skype was incredibly useful. It's a good thing she's back now, as reader Shailendra alerts us to the news that Indian intelligence officials are once again asking the government to consider banning Skype. The reason I say "once again" is that I remember similar proposals from a few years back that went nowhere. The official concern, of course, is that "bad people" may use Skype to communicate in a way that can't easily be tapped or traced. But that's going to happen no matter what. If Skype is banned, people will still figure out a way to use it, or they'll migrate to some other tool. Banning Skype or other VoIP providers isn't fixing a problem, it's pretending a problem doesn't really exist.

Filed Under: block, india, skype
Companies: skype

Proof Of Concept Skype Wiretapping Malware Released

from the not-so-secret-any-more dept

One of the benefits of Skype was that, due to the way it works (P2P, encrypted communications), it made it much more difficult to do any sort of wiretap. This has upset various governments who are used to having the ability to wiretap any voice communications. However, it's never impossible. The most obvious way is to simply create some sort of trojan that gets installed on one user's computer that has audio recording abilities -- and Symantec is going around hyping up the fact that source code for just such a trojan has been released. Of course, even Symantec admits that there's no evidence of the code actually being used in the wild -- it seems more like a proof-of-concept. On top of that, it's hardly a new idea. Nearly a year ago, we talked about how German authorities were accused of using something that sounded quite similar. Still, it is a good reminder that even if you're using an encrypted Skype call, at either end of that call, the audio is decrypted, and a well-placed recording system can capture it.

Filed Under: malware, skype, wiretap
Companies: skype

Skype Founders Claim eBay No Longer Has A Right To Skype's Core Tech

from the this-is-going-to-get-messy dept

As you know, eBay bought Skype for a ton of money a few years back, without having any real plan for what to do with it. There were no synergies between the two, and about the best that can be said for eBay's ownership of Skype is that they didn't kill it (though, frankly, the new UI is so bad, it makes me wonder what they were thinking) and let it continue to grow organically. Earlier this year, eBay finally announced plans to spin off Skype. Fair enough. It can probably do a lot more outside of eBay than from within. However, it turns out that there may be a bit of a legal hitch, as Skype's founders claim that eBay/Skype no longer have the legal rights to Skype's underlying technology. Apparently, the claim is that Niklas Zennstrom and Janus Friis and a separate company they ran, Joltid, only licensed the underlying technology to eBay/Skype for a limited time -- and that deal has now concluded. The two companies are scheduled to fight this out in court.

There are a few interesting asides to all of this. First, it reminds me of how Zennstrom and Friis ended up in another lawsuit a few years back, also involving questions about licensing the core underlying technology of Skype. There's a lot of background here, and not all the details are clear (at all), but that original case involved the claim that Zennstrom and Friis used the same core underlying technology that they used to build Kazaa to build Skype. Way back, Zennstrom and Friis had created two operations: Kazaa and FastTrack, which created the underlying tech used in Kazaa. However, they also licensed FastTrack to a company called Streamcast, that made a product called Morpheus that competed with Kazaa in the file sharing space. Got that?

The folks at Streamcast insist that part of their contract with FastTrack was that they had a right of first refusal on buying the underlying technology. But then, all sorts of stuff happened, with Kazaa being sold off to a group in the South Pacific, but Zennstrom and Friis supposedly retaining some core technology which (Streamcast claims) they used to build Skype. Then, once Skype sold, Streamcast claimed that the whole thing was an elaborate shell game, but in selling the Skype underlying technology, Streamcast claimed that Zennstrom and Friis violated their agreement on having a right of first refusal on purchasing the technology.

Yet, now I'm left wondering if that original claim was true. If the current claim is that Joltid still "owns" the original technology and Skype/eBay only licensed it, then the technology itself might never have actually been sold (unless, we're talking about two separate core underlying technologies... which is possible).

Still... the bigger question? How the hell did eBay make a deal and not make sure it had either purchased (entirely) the core underlying technology or had a guaranteed perpetual license that couldn't be revoked? The eBay Skype purchase was bad enough already. Could it be even more ridiculous in that eBay didn't even properly purchase the technology in question? It seems preposterous to believe that a company could screw up an acquisition that monumentally, so you have to wonder if it's actually true.

In the meantime, since there are questions about how eBay can rebuild Skype's underlying core technology without violating the many patents in the space, it makes you wonder if eBay may be forced to simply buy someone else's technology. Maybe it's time to call up the Gizmo Project (which has built a very Skype-like product) to see what they're up to these days. Though, can you imagine eBay needing to buy another company just to power Skype so it can be spun off again? Yikes!

Filed Under: ip, janus friis, niklas zennstrom, ownership, skype, voip
Companies: ebay, fasttrack, gizmo, joltid, kazaa, skype

Russian Telcos: Skype Is Hurting Our Business And Must Be Stopped

from the not-very-subtle dept

Usually, these days, when companies beg the gov't for protectionist policies against upstart competitors, they at least work out a convoluted story about some sort of real harm (i.e., beyond the bottom line of those asking for protection) caused by the upstart. So, you get the record companies claiming that music will stop being made, or perhaps food companies complaining about the safety standards of foreign food products. There may even be some truth to those stories (or not), but the real reason is to avoid competition. Over in Russia, for example, it appears that a bunch of telco execs are complaining about Skype. They at least try to pass off a plausible non-save-our-asses reason: mentioning security, but they don't do a very good job hiding the truth. Repeatedly they seem to plead that Skype is evil because it makes it difficult for the old guard telcos to charge super high fees. Competition is such a pain sometimes...

Filed Under: russia, telcos, voip
Companies: skype

eBay Finally Realizes That No One Is Interested In Voice Communication With Others During An Online Auction

from the about-time dept

When eBay first bought Skype we were among the many, many, many people left scratching their heads wondering where the supposed "synergies" were. We were told two things. First, that Skype had many users in China who would now suddenly start using eBay for auctions. Why? No one knows. In reality it had almost no effect. Just because you make calls via a software program it doesn't make you any more interested in doing online auctions through its parent company, apparently. Second, it would now allow buyers and sellers to communicate by voice. But why would they want to? Sure, maybe in a very rare case it might be helpful, but one of the advantages of an online auction system like eBay is that you don't need to actually talk to the other party. And if it was that important to talk, the buyer and seller could just agree to use Skype on their own without eBay spending billions. And, in fact, studies showed that this "feature" wasn't wanted by most eBay users.

But, still, in an effort to show that there really (no, really, really!) were some synergies, eBay integrated Skype into online auctions. Of course, now that eBay has finally admitted that there really were no synergies, taken a huge writedown on the investment and is looking to spin off Skype, the company is finally removing the integrated Skype buttons on auctions, and are even admitting that the company is involved "in an effort to remove features with limited buyer and seller usage." Was it really that hard to recognize how little synergies there were before spending multiple billions of dollars?

Filed Under: auction, synergies, voice
Companies: ebay, skype