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By JCausey, Section IP Articles
A couple weeks ago news broke about a company in Charlotte, North Carolina - Scientigo - who was planning to enforce patents that they claim gives them rights to XML. Once again, we have an example of how poorly patents on software and business methods serve the public good they(patents) were supposed to be granted for. The fact that this company is trying this tact should come as no surprise though. Some have suggested Scientigo has looked to the SCO v. IBM case as a "model" for how to sow FUD and slow down a market in which a company is about to become extinct. However, it could easily be the other way around. As you will see, Scientigo CEO Doyal Bryant has been involved with similar schemes in the past and the "team" he has put together appears to have no qualms about software patents.
The Patents
Before getting into some of the background about the parties involved, I would like to quickly mention the two patents involved. One is 5,842,213 which is titled Method for modeling, storing, and transferring data in neutral form. This particular patent was filed in January 1997 with inventors listed as Paul S. Odom and Michael J. Massey. The other patent, 6,393,426 is a continuation of the other patent and was filed in July 1999. The interesting thing that some others have pointed out is that the original patent was filed AFTER the XML draft specification was publicly released. Of course, this followed on over ten years of work on SGML, of which XML is a subset. So, it appears this is yet another patent that never should have been issued (even if one accepts the concept of software/business method patents).
Party #1 - Scientigo is designed to find and effectively leverage information across the enterprise, whether contained in an Intranet, email, C drives, file servers, or in a database on the network.Now, I don't know about you, but it sounds like Google Desktop Search to me. I'm sure there are probably other products out there that are similar (I'm still trying to get Beagle for my SuSE desktop to work). Scientigo also recently acquired a "product" from Convey Systems, OnDemand CRM. From what I've been able to find so far, Convey Systems has ceased to exist as Convey, being swallowed up by Scientigo/Market Central. Convey was formerly a part of The TAG Group, Inc. Interestingly enough, TAG also appears to have ceased to exist (at least on the web - nothing at www.tagginc.com), though its other line of business, techumbrella is still alive. The fact that both TAG and Convey Systems have apparently ceased to exist is probably related to the fact that the CEO of both of those companies, Doyal Bryant, was part of the deal when Market Central acquired Convey Systems. Mr. Bryant became the new CEO of Scientigo. Mr. Bryant has a background with several companies, mostly in the telecomm industry including ZTEL, Premiere Technologies, CommSouth, Talk.com, PrimeTec International, and ATMNet. It appears to me that this connection is most closely related to his role as a managing director with Emerging Technology Advisors, a firm that provided consulting services in the telecomm industry. For instance, in this article he is discussing prepaid dailtone services and we see Z-Tel's name pop up as well. It is through this background that we find out he is familiar with the concept of patent litigation. This is not the first time he has tried something like this - back in 1998 he was advising Marvin E. Marshall who claimed to hold patents on technology used by calling card companies. As you read the linked article, you can see how the strategy of submarine patents was alive and well back in the 1990's.
Party #2 - Sterne Kessler Goldstein & Fox
Party #3 - Wilson Sonsini Goodrich Rosati
Party #4 - Inflexion Point Strategy
Conclusions - stock scam in the making? Another likely theory is "stock scam". I ran across a report by Ron Struthers, who operates playstocks.net, in which he was really talking up Scientigo back in March 2005. As he explains, there is big potential for someone to capitalize on search engines and he apparently thinks Scientigo has just the right "technology" to do that or as he puts it, they could be the "next big thing in search technology." The parallels with SCO are almost humorous -
Thanks for reading,
Scientigo-A-GoGo | 11 comments (11 topical, 0 editorial, 9 hidden)
Scientigo-A-GoGo | 11 comments (11 topical, 0 editorial, 9 hidden)
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Related Links~ news broke~ Scientigo ~ 5,842,213 ~ 6,393,426 ~ some others ~ one web site ~ Google Desktop Search ~ acquired ~ techumbrel la ~ this article ~ was advising ~ Sterne Kessler Goldstein & Fox ~ filing patents ~ press release ~ A Long-Term View: Software Should Be Patentable in Europe ~ Wilson Sonsini Goodrich Rosati ~ Why directors must take responsibility for intellectual property ~ list of results ~ Inflexion Point Strategy ~ extensive history ~ report ~ playstocks .net ~ presentati on ~ Taglich Brothers ~ initiated coverage ~ Yahoo listing for Market Central ~ More on Patents ~ Also by JCausey |