He continued,
“They happen to own 38 patents, many of which we think are fundamental in the search area. They were the first to spider and index the web… And we have another 30 patents that are in application. So we believe that virtually everyone out there who indexes the web is in violation of at least several of those key patents.”
He added that in the first quarter of 2001, AltaVista will pursue its patents, which he says cover both the internet and intranets, with lawsuits if necessary.
The company recently cut 200 jobs, or 25% of its staff, in a bid to cut costs as advertising revenue fell. It also this month abandoned plans for an IPO (Initial Public Offering).
The US allows software and business method patents. The European Commission and the DTI recently held consultations on the question of opening the door to software patents. UK law still specifically excludes software, except in circumstances where the software can be said to have a technical effect. This may change, although opinion is split between those who think that software patents encourage innovation and those who think they stifle it.
Last year, BT took action against Prodigy, a US ISPs because it claims to have a valid US patent that gives it a monopoly right on hyperlinking. The case is pending.