Honeywell Vs Nest: When the Establishment Sues Silicon Valley 228
An anonymous reader writes with this quote from an article at TechCrunch:
"Honeywell filed a multi-patent infringement lawsuit against Nest Labs and Best Buy yesterday. The suit alleges that Nest Labs is infringing on seven Honeywell patents. Honeywell is not seeking licensing fees. The consumer electronic conglomerate wants Nest Labs to cease using the technology and is actually looking to collect damages caused by the infringement. Damages? Bull****. This is about killing the competition."
Re:Really? (Score:4, Informative)
Typically compulsory licensing requirements include that the price must be fair. No reasonably human being (and likely no court) would feel that $1 billion dollars per thermostat is a fair licensing price when Honeywell is selling their thermostats for $50-$100 each. Presumably they'd have to sell their thermostats at $1b+ to claim that the patents were worth $1b per unit and seems likely that Honeywell would find themselves out of business pretty quickly if they demanded $1b+ per thermostat.
But the patents can be BS (Score:5, Informative)
TFS doesn't say (probably to drive more views to the linked page) but this is all about thermostats.
Some of the patents include "thermostat is round and can be rotated" [google.com], "thermostat asks the user questions" [google.com], and stuff like that. Considering how skeptical many people are about Apple's "design patents" on "rounded rectangles with touch screens", I would be skeptical of some of these as well.
Now some of the other patents, like leeching power off of the main system, may hold up under more scrutiny (though this technique has been in wide use throughout the industry; I recall two-wire sensors that derive their power parasitically from the data line, and if the patent covers similar technology then it should be revoked).
Also, FYI, you can compel some patents to be licensed. FRAND patents, for instance; Samsung got into hot water when they tried to use FRAND patents as a weapon against Apple.
IMO, you shouldn't be able to use patents to shut down competitors. Especially competitors that outsmarted you by building a better product than you could.
"This is about killing the competition." (Score:4, Informative)
No shit. What the hell do you think patents are for? They may or may not be socially desireable, but don't lose sight of the fact that they are government-granted monopolies. Preventing competition is what they are all about (Licensees are not competitors. They are customers.)
Re:Really? (Score:5, Informative)
You're obviously a legal genius compared to me, because I'm not even aware that such things exist. I'm sure you'll enlighten us all with numerous examples.
The GP was referring to RAND requirements. (Reasonable and Non Discriminatory, or something like that). Very common for industry standards organizations that accept patented technologies as part of the standard. If they do, they usual require RAND requirements from the patent holder.
Re:Really? (Score:5, Informative)
You're obviously a legal genius compared to me, because I'm not even aware that such things exist. I'm sure you'll enlighten us all with numerous examples.
Your sarcasm is as obvious as your lack of knowledge.
Here is a USA example [justice.gov] Search for the term "reasonabl" (last character purposely left off so you can hit the variations of the word).
Here is a WIPO Study. [google.com] Check out page 9. It seems to apply to the EU.
Next time, do your own homework. =D
Saw it coming - MagicStat (Score:5, Informative)
I kinda saw this coming, but didn't grasp the implications, e.g. patent issue.
When I saw Nest, I chuckled at their claims that this was such a revolution. Why, the thermostat will learn your usage patterns by itself!
Scroll back like 30 years or so ago when I lived in Dertroit. A friend of a friend, I think in Ann Arbor, invented this thermostat call MagicStat. It learned your usage patterns all by itself. That's why was was unimpressed by Nest's claims. Yawn. Long, 30-year yawn.
Honeywell bought the MagicStat patents. I presume they've maintained those and taken out new ones throughout the years.
Privacy policy and EULA (Score:4, Informative)
The thing has a privacy policy and an end-user license agreement. Remember, this thing is a slave to a server at the manufacturer, and they can download new firmware. So they have total remote control over your furnace. They disclaim all liability. There is no warranty. (Honeywell normally offers a 5-year warranty). They can discontinue the service at any time.
You can't even resell the thing. The software license doesn't transfer. So if you sell your house, the thermostat has to be replaced.