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Yahoo-Facebook spat could spark patent reform

by Shaun Nichols

14 Mar 2012

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Technology entrepreneur Mark Cuban has weighed in on Yahoo's patent suit against Facebook, suggesting that the case could generate reform in the way intellectual property cases are handled.

In a post to his personal blog, the Broadcast.com founder and technology investor said that he hopes Facebook gets "crushed" by Yahoo and pushed into financial obilvion.

Cuban said that the opinion was not based on ill will towards Facebook, but rather his belief that high-profile case could finally bring home the battle being waged by technology vendors over patents.

"When I read that Yahoo was suing Facebook my immediate reaction was disdain," Cuban wrote.

"As I thought more about it, I came to realise that this case could be the watershed moment that causes enough people to recognise just how horrific our patent law is."

The remarks come just one day after Yahoo filed suit against Facebook.

The search vendor claims that Facebook is using its patents without compensating Yahoo or paying a licence.

Among the patents said to be involved with the case are technologies used in the Facebook news feed and the social network's advertising platform.

Facebook disputes Yahoo's claims.

Cuban argues that should Yahoo prevail and win a large settlement against Facebook, the public would demand patent reform.

"I hope Yahoo is awarded $50bn. It is the only way that consumers will realise what is at stake with patent law as is," he wrote.

"Then maybe we can get it right and further innovation and competition in this country."

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