Tech Companies Seek to Head Off Patent Trolls With IP-Buying Group
Posted Jun 30, 2008 7:18 AM CDT
By Debra Cassens Weiss
Several high-tech companies have joined a group that seeks to deny sustenance to patent trolls.
The group plans to buy rights to intellectual property, beating patent trolls to the marketplace, the Wall Street Journal reports (sub. req.). The so-called trolls buy patent rights and then sue companies for infringement.
The new group, the Allied Security Trust, will grant its members a nonexclusive license to the technology and then will sell the patents, the story says. Companies that join have to pay a $250,000 membership and place about $5 million in escrow for patent purchases.
Members include Verizon Communications Inc., Google Inc., Cisco Systems Inc. and Hewlett-Packard Co.