Obama Targets Patent Trolls with Proposed Legislative Changes

obamaPresident Obama has today announced a set of executive actions directed at cracking down on patent-holding firms that interfere with competition and abuse the patent system, reports The Wall Street Journal. Many technology companies, such as Apple, have dealt with multiple lawsuits from so-called "patent trolls," which aim to make money through licensing fees.

Mr. Obama's actions, which include measures he wants Congress to consider, are intended to target firms that have forced technology companies, financial institutions and others into costly litigation to protect their products. These patent-holding firms amass portfolios of patents more to pursue licensing fees than to build new products.

The firms say they are doing nothing wrong, just using patents that were legally granted by the U.S. Patent and Trademark Office. They say they promote a fair market by protecting smaller inventors.

Obama has constructed a five-step plan with a total of seven legislative changes, which will be released as part of a White House report on patent trolls. The plan includes a recommendation that the U.S. Patent and Trademark Office create rules that require patent owners to be identified and a request for Congress to pass legislation that puts sanctions on questionable lawsuits filed by patent-holding firms.

Additionally, Obama hopes to cut down on the International Trade Commission's involvement in patent disputes. Claims filed with the ITC are often resolved more quickly than standard federal lawsuits.

The Obama administration would like Congress to change certain ITC legal standards and ensure that the agency has flexibility in hiring its judges. The president will order a review of existing procedures at the ITC, officials said.

Reliance on the ITC has not been limited to patent trolls, as a number technology companies like Apple, Samsung, and Google have increasingly used the International Trade Commission to settle a number of patent disputes.

According to President Obama, patent-holding firms are a drain on progress. The firms, he says, "don't actually produce anything themselves. They’re just trying to essentially leverage and hijack someone else’s idea to see if they can extort some money out of them."

Over the years, Apple has faced litigation from a number of patent-holding companies like Lodsys, which has targeted app developers over in-app purchases, and VirnetX, a company that was awarded $368.2 million over VPN connectivity in Facebook in 2012.

Note: Due to the political nature of the discussion regarding this topic, the comment thread is located in our Politics, Religion, Social Issues forum. All MacRumors forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Popular Stories

iOS 18 Mock iPhone 16 Feature Gray

Revealed: iOS 18 Works With These iPhone Models

Monday June 10, 2024 3:57 am PDT by
iOS 18 will be compatible with the same iPhone models as iOS 17, according to a post on X today from a private account with a proven track record of sharing build numbers for upcoming iOS updates. iOS 18 will be compatible with the iPhone XR, and hence also the iPhone XS and iPhone XS Max models with the same A12 Bionic chip, but older iPhone models will miss out. Here is the full...
ios 18 tile summary

Apple Announces iOS 18 With New Customization Features, Redesigned Photos App, and More

Monday June 10, 2024 10:17 am PDT by
Apple today previewed iOS 18, the next major update to the operating system for the iPhone, with new customization features, a redesigned Photos app, and more. iOS 18 features new customization tools for the Home Screen. App icons now feature Dark Mode and users can tint them with a color to create a unique look. Apps can also now be placed anywhere on the Home Screen freely. The Control...
WWDC24 Live Coverage Article

WWDC 2024 Apple Event Live Keynote Coverage: iOS 18, Apple's AI Push, and More

Monday June 10, 2024 9:20 am PDT by
Apple's Worldwide Developers Conference (WWDC) starts today with the traditional keynote kicking things off at 10:00 a.m. Pacific Time. MacRumors is on hand for the event and we'll be sharing details and our thoughts throughout the day. We're expecting to see a number of software-related announcements with a focus on Apple's efforts to infuse AI throughout its operating systems and apps....
iOS 18 Siri Integrated Feature

Massive iPhone Upgrade Coming This Week But These Devices Will Miss Out

Sunday June 9, 2024 1:25 pm PDT by
Apple is planning a major AI overhaul in iOS 18, with a feature set it is referring to as "Apple Intelligence." However, these new features will not work on older iPhones, even if they do appear on the new operating system's device compatibility list. Apple's initial AI roadmap for iOS 18 is said to come in two parts: Basic AI features that will be processed on-device, and more advanced...
Next Gen CarPlay WWDC24 1

Apple Provides Updated Look at Next-Generation CarPlay at WWDC 2024

Monday June 10, 2024 7:11 pm PDT by
Apple today shared a few WWDC 2024 coding sessions related to its upcoming next-generation CarPlay system ahead of its launch later this year. The sessions include lots of updated next-generation CarPlay images, with one revealing new Vehicle, Media, and Climate apps in action for the first time. MacRumors previously discovered evidence of these apps in the iOS 17.4 beta. Next-generation...
iPad Air 5

New: iPadOS 18 Drops Support for These iPad Models

Monday June 10, 2024 4:16 am PDT by
iPadOS 18 will drop support for iPad models equipped with the A10X Fusion chip, according to a post on X today from a private account with a proven track record of sharing build numbers for upcoming iOS and iPadOS updates. In other words, iPadOS 18 will drop support for the 10.5-inch iPad Pro and the second-generation 12.9-inch iPad Pro. Support for the sixth-generation iPad, which uses the...
ios 18 button bulge

iOS 18 Adds Pop-Out Bezel Animation When Pressing iPhone Buttons

Tuesday June 11, 2024 10:40 am PDT by
iOS 18 includes a small but interesting change for the buttons on the iPhone, adding more of a visual element when changing volume, activating the Action button, or locking the screen. When you press an iPhone button in iOS 18, the display bezel bulges outward slightly. This feature is available for the volume buttons, Action button and the power button, and it will also likely be used for...

Top Rated Comments

TWSS37 Avatar
144 months ago
But what will MR post about? This eliminates about 65% of front page posts! ;)
Score: 38 Votes (Like | Disagree)
GeekLawyer Avatar
144 months ago
Thank you, Mr. President!
Score: 33 Votes (Like | Disagree)
MultiMediaWill Avatar
144 months ago
This may be the first thing Obama has done well in office.
Score: 21 Votes (Like | Disagree)
apfeljonas Avatar
144 months ago
It'd be great if this was really thorough legislation that really worked...but...well, knowing the US Government...
Score: 15 Votes (Like | Disagree)
fins831 Avatar
144 months ago
He can propose whatever he wants, it has to pass Congress, which should only happen by the time Haley's comet comes around.
Score: 14 Votes (Like | Disagree)
Coleman2010 Avatar
144 months ago
Hah, it's so funny how a president gets in a scandal or two and then suddenly his smiling face starts appearing on every web site in the world with him suddenly making various announcements about this that and other -- anything to create news that is different from the scandal news :)

I don't mean that in negative way. although I do suppose it is a bit sad...
Scandals? What scandals? Check President Obama's job approval polls. Hasn't dropped an inch. They're only scandals in the fevered minds of Republicans. The rest of us see through all of the bloviating coming from the right.
Score: 13 Votes (Like | Disagree)