Amazon.com Slaps Discovery With A Lawsuit

Posted May 20, 2009

Amazon.com, Inc. (NASDAQ:AMZN) is suing Discovery Communications (NASDAQ:DISCA) for violating four e-commerce patents that relate to search and recommendation technology.  In March, Discovery Communications filed a lawsuit against Amazon.com over the Kindle.  Discovery filed a lawsuit against Amazon.com at the U.S. District Court in Delaware because of a patent around an encyption system used for e-books.

Now that the two companies are suing each other over patents, it will most likely be settled and perhaps a partnership will come out of it.  This is what happened between Microsoft and TomTom.

The problem with patents is that a lot of them are too general and they are overly abused.  BusinessInsider pointed out that Apple has a patent on multi-touch mobile UI technology which the Palm Pre has as a feature.  But Palm has a lot of patents and Apple may inadvertently be violating them.