Nintendo Loses in Bid to Reduce Patent Infringe Penalty
You may recall that earlier in May, Nintendo was pinched to the tune of $AU 21.87 million in a patent infringement suit brought by Texas-based Anascape. Upon further review, the play stands -- a U.S. District Court judge denied Ninty's pretty-please to cut that $AU 21.87 mil to a less lottoriffic number. So unless they want to take this up the ladder to a U.S. federal appeals court, they'll be cutting a check for that number.
Anascape sued back in 2006 and went for the kitchen sink, claiming Nintendo and Microsoft both infringed on controller designs they had patented. Microsoft settled with Anascape. The original suit against Nintendo covered everything from the Gamecube forward -- the Wavebird and the Classic, plus the Wiimote and Nunchuk. The case decided in May found infringements only on the former two not the motion-sensing controls in the Wii. Still, $AU 21.87 million is not pocket change.
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Can't they just call their designs fan art and leave it at that?
Ryodestined
@AFreak3000:Seems you like to not read and take things out of context.
Foxstar Sixtail
No sympathy for a multi-billion dollar company, but still: What did they patent? A joystick?
lumpi
Seems Nintendo steals just as much as Sony.
AFreak3000
@DRaGZ: Um, no.
justhesh
Well they were THIS close to raking in the cash. But alas, it's only the wavebird technology they got.
In other news: perhaps they DID check the patents, just no the US ones. >.>
Lyner
Seriously, you'd think after all these patent lawsuits, the video game industry might be a *little* more attentive to ensuring they are paying for a competent legal time to ensure they aren't violating patents. Legal isn't just for decoration on the pay stubs.
Rebochan
This is awful and retarded. Patent laws should expire if you don't actually do anything substantial with your patented product for five years.
DRaGZ
Gamcube, Wavebird, Classic, Wiimote and Nunchuck?!?!?!? WTC! Did they patent anything that looks like a form of any controller device for the last 10 years???? Retarded!
todde7
@Blah8: Aaaand they're sued for patent infringement of a money printing press.
justhesh
Don't worry, Nintendo will just start up their money printing presses and get the money that way.
Blah8
The first console analog stick I'm aware of was for Atari's successor to the 2600 - the 5200 Super System (it was awful - didn't self-center). After that, Sega's controller for Nights was an early one too. Dunno how Anascape can sue on that front...
As for the other stuff, how can they have a patent for "3D Controller with Vibration" when Immersion seem to have that sewed up - "Remote Controller with Analog Pressure Sensor" maybe but isn't that just rolling two patents into one? 'Yeah - we'll let you build an analog controller but not a wireless one...' weird.
Aegis: Gentleman mercenary for hire...
$21 million is cheap when you consider it an investment. 1st baseman - Richie Sexson cost about that same amount for the Mariners owner. He didn't get his money back on that investment.
Boboh
They are just going to move on up the legal ladder, no big deal. Now if they run out of steps? Then it's a big deal.
Foxstar Sixtail
I wonder whether Anascape ever considered whether Sega's Dreamcast controller infringed?
Knukleur
Oh boy, well, it's still chump change from Nintewndo's pocket. Nintendo makes about $22 million each month from Wii console sales alone(They make $20 per console + production rate of about 1.1 million consoles per month). Then there's software sales, VC sales, Wii accessories, DS hardware and software sales, and DS accesories.
KM91
Yup, this'll certainly hurt the big N. I mean, they barely have two dimes to rub together, what with the Wii failing and all...
...wait.
Jshaw
21 Mil? That's what... 2, 3 days of Wii and DS sales? Somehow... I think they'll swing it.
2NinjasTapedTogether
@NoBullet:I love how trolls act like Nintendo's took a dump on their chests while sucking the taint of the other big two. You do know what tommarrow is, right?
Foxstar Sixtail
I love how people here act like Nintendo are saints.
NoBullet
Guys. Um. This is kind of the entire point of patents. When you have an idea, you patent it so that no one else can use it without consent (or even improve upon it). What comes of that idea and its patent is for you to decide.
Regardless, one would assume that companies like Nintendo, Sony, and Microsoft would be smart enough to find out if they're infringing on a patent before they put a product on the market.
justhesh
Completely ridiculous. All of those patents are so vague and you can tell they were registered for the sole purpose of using them as legal fodder.
TheDaftPunk
@excel_excel: That is incorrect, Nintendo turned a profit during the GameCube days. Just because the console was in third place in terms of sales does not mean that it was a loss.
PatMan33
My point in the above being, that Nintendo lost here. They have boatloads of money and lawyers, but they still lost. That implies very strongly that they had no merits on their claim. The average cost of litigating a patent infringement defense is 1 million for an partial affirmative defense, or 2.5 million for a complete defense. Nintendo, had they been in the right, would have saved a lot of money by litigating this as strongly as they could. The result seems to imply that they didn't have a strong defense.
SWATJester
@wild homes is weathering cephalopod trouble!: Patent trolls don't work like that. The alleged infringer, Nintendo, in this case, can present prior art, or can counterclaim patent misuse, or re-examination.
Misuse would be the best defense here. See Motion Picture Patents Co. v. Universal Film Mfg. Co., 243 U.S. 502 (1917) and 35 U.S.C. § 271(d), which among other things requires that the misusing company actually be making money from their product (which goes a long way to preventing patent trolls).
SWATJester
Well, we Americans ARE capitalist dogs.
:/
And that list of "patents" is laughable. It should be technology that any maker could use.
@whoever said Wavebird was still available: Mad Catz made their own kind of wireless Gamecube controller that's available @ Gamestop.
Furysetzer
@Edmon: That was so close to being cool! If you'd just written patent instead of patient! Well, a half-point for effort.
This is a really, really common thing. A lot of these companies patent LOADS of ideas-- most of which they never realise into actual products-- and spread the patents so thick that whatever company aims to do anything similar winds up being found "guilty" of patent infringement-- these guys are just squatters, making a quick buck by employing a dubious, if legal, end-around. I'm glad Nintendo is doing well enough that they can just shrug this kind of judgement off.
wild homes is weathering cephalopod trouble!
@garytek:
Patent infringement is by definition never vague, since patents must be particularly described.
@CSat420: Patent squatting doesn't work quite like that. From the looks of the situation Nintendo was actually in the wrong here.
SWATJester
@Chaospluto: Who said ANASCAPE came up with those ideas?
They just bought off the patent rights for them.
They don't have a single innovative bone in those vultures.
Don't defend these DIKTADS, They might of won the battle here, but Nitendo is going to come round beat them down with what they deserve, like the dammn trolls they are.
Console Wars: Patent Conflict -New HOPE-
Onizuka-GTO
@garytek: Exactly... Though, I wonder how many people who were cheering for immersion are now booing Anascape... I'm not... I booed immersion, I'm booing anascape. Patent squatters should burn...
bobtheduck
I don't blame Anascape for suing for money, honestly who wouldn't? If they came up with the ideas, then I would be pissed if a company didn't ask before using.
Chaospluto
@natsuissa: Nintendo as a most powerful company, meh. They do gaming that's it, I don't see how they could be the most powerful =/.
Chaospluto
"Variable Conductance Sensor"
"Game Controller with Analog Pressure Sensor"
"Variable Conductance Sensor with Elastomeric Dome Cap"
"Remote Controller with Analog Button".
"Image Controller with Sheet Connected Sensors"
"Game Control with Analog Pressure Sensor"
"Variable Sensor with Tactile Feedback".
"Analog Controls Housed with Electronic Displays"
"Variable Conductance Sensor"
"Remote Controller with Analog Pressure Sensor"
"Analog Sensor with Snap Through Tactile Feedback"
"3D Controller with Vibration".
Supposedly the crooked pricks at Anascape have patents on all these things.
My understanding of it is that some smart assholes had the foresight to patent a bunch of things for the sole purpose of suing when the things were inevatably used.
CSat420
.
marmidukestank
At least Microsoft and Nintendo actually had the balls to MAKE the controller, unlike Anascape who are merely content with their concept for a controller scrawled on a piece of paper with a receipt stapled to it.
Any more strokes of genius that you have tucked away that you don't wish to share with the world? And let's not forget punishing those that do, that's very important.
EFF YOU ANASCAPE (whoever the hell they are?)
marmidukestank
Maybe if they release EarthBound and Mother 3 they'd be able to pay this all off ;)
marksinclair
god, some of these comments are amazing. why are people so butt hurt that Nintendo is successful again? (completely glossing over the fact that Microsoft paid a settlement for this exact same issue.) I want to know how much MS ended up buying these chumps off for, as the conditions of the settlement were deemed "confidential" according to MS.
this is just as ridiculous as the Rumble lawsuit with Sony. let's all patent something in the hopes of being able to sue a company for big bucks!
fillerbunny9
@weeman_com: Do us a favor and post it here in the comments. Sometimes they seem to miss a few emails, and it'd be much more quicker for us to see, since it'd have to be written and then queued up to be posted.
Drake Lake
That's so funny, I remember when Miyamoto stated he could've made Halo. Make or steal the idea? I guess they'll be coming out with more DS and Wii colors.
Beatboxtaun
This kind of patent infringement suit is pretty much par for the course in the business world these days isn't it? Apple get sued all the time for instance. Nintendo should have bit the bullet and settled out of court. I wonder if they'll chance it with the Federal Appeals Court......
Captain_Willard
i dont know if nintendo is so great these times, but according to [www.themostpowerfulcompany.com] they have a real advance on sony
natsuissa
@weeman_com: This all I found [www.gamespot.com]
The patents in question deal with a variety of controller technologies, including analog sensors, tactile feedback, and vibration mechanisms.
The complaint specifies which patents it believes each company violated, but it doesn't detail the alleged infringem
Ryūko
I found the patents that are infringed upon, i sent them into kotaku and gonintendo's tips email. hopefully one of them will post them and do a bit of interpretition
weeman_com
Nine year old Sega Dreamcast prototype motion sensing hand controller for gaming FTW!
[homepage.ntlworld.com]
DelSource
@ncsbert: I thought they still made them? I swear I saw them in the store when brawl came out. (at least in some photos in Japan)
Fox
They should do what they did back in the day when they lost a lawsuit around the NES era: pay up in $5 game coupons.
Proto_Man
Is this why Nintendo stopped making the Wavebird?
Those things catch serious cash on the aftermarket these days.
I'd like to buy another if the big N would release more of them. = \
ncsbert
im going to file a patent myself I think covering the construction and implementation of a bi-pedal sentient being able to understand both physical and vocal commands as well as the ability to procreate and create hybrids combining the best of both prime DNA donating bipedal beings.
Now I'll be able to bill everybody and their goat for infringing on my patent!!!
I'll be richer than Bill Gates!!!
shaunomacx
It's a good thing for Nintendo that the dollar is so weak. $21 million is what, like 5 yen now?
Silent Predator
Suck on that, Q4.
justhesh
Anascape is not good! Still, I wish I was the one suing big console developers for millions of dollars over something stupid... Like a patent on X buttons?
Metal_Slug_Solid
Nintenowned
Trailnutz
I love how you can think up patents and do absolutely nothing with them apart from suing other company's who make use of the idea, ridiculous. What is this patent for anyway, an analogue stick which locks position in 8 directions... really original, should never have been granted, I think that's the problem people in the patent office have a distinct lack of technology and more important the history of it, for instance what makes this stick any more different than the Atari one? the fact it locks in 8 directions...
Ryuujin1024
@falcoboot:
Dude, don't do the "first" thing around here you'll get banned. Plus...its pretty silly.
majatt
Well Nintendo is a bit too proud to settle things out of court the way Microsoft did. They probably thought they could win this case and rake in even more cash.
Obviously, the plan backfired.
RandomPoltergeist
@tralfaz23: Yup, that would make me lol
JellyDoodle
Those PS2 analog sticks suddenly seem less stupid.
slomo788
*You see a bridge, there is a patient troll under it*
Patient troll bridge, you pay, ug patiented your success.
[Attack]
[Settle]
[Intimidate]
What to do?
Edmon
Damn, anyone want to start a company with me that just makes random patents for things we'll guess may someday be used in the future by videogame manufactorers?
Soultek
Nintendo should just buy Anascape
tralfaz23
@weeman_com:
I'd like to know as well.
EmeraldDragon
Yeah I'd love to know what patent Nintendo actually infringed. I've seen it suggested they changed their analogue stick design in the GC onwards (which is why GC sticks don't slowly seize up like the N64 ones) and the new design was possibly an unintentional copy of Anascape's patent.
photoboy
wait a minute....it said no comments....damn!
falcoboot
I'm pretty sure thats pocket change compared to the large sums of money they are making from the Wii, Ds, etc.
They should have just settled like Microsoft.
First comment Woot!
falcoboot
And Ninty gets the mighty law-hammer upon it. TO relate:
Can someone say something wity about rumble and Sony taking us for douches?
MOP88
Great. More vague patent infringement crap.
garytek
21 mil is pocket change for Nintendo ATM.
rKarhu
Does anyone know what inparticular patent they have infringed upon and how they have done so?
weeman_com
good thing nintendo's raking in the cash right now, if this was back in the gamecube days they might have had a problem, or not considering that there handheld divisions always been healthy....
WOO WAVEBIRD!!
excel_excel