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IP company hoist by own petard

Forbes: A Patent On Porn. It seems Acacia Research, an intellectual-property ‘shell’ company, has a bunch of crappy software patents on streaming media (to go with their patent on the ‘V-Chip’, remember that?).

Things haven’t been going too good recently. Apparently, they decided to ‘monetize’ these streaming-media patents — in other words get all Sopranos on a bunch of small players, namely 700 porn site operators, sending some legal threats to ‘pay up — 1-2% of gross — or get sued’ their way.

What happened? Did the pr0nsters roll over and cough up? Not a hope.

Eight firms (of 700) agreed to Acacia’s terms. But 40 didn’t, and Acacia promptly slapped them with lawsuits. Rather than buckling, though, several of the porno sites joined together and stood their ground. Now Acacia is in the fight of its life and may even face a shareholder revolt as a result.

Read on for the rest

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