Patent Office to Reexamine ‘JPEG Patent’

AUSTIN, Texas — The U.S. Patent and Trademark Office has agreed to review the validity of Forgent Network’s claim that one of its patent’s entitles it to royalties from companies that use the JPEG compression standard.

Forgent obtained U.S. Patent No. 4,698,672 in 1997 when it bought Compression Labs. In 2002, the company announced that it believed the patent covered the JPEG compression technique used by many PC and electronics makers and began suing and demanding licensing payments from companies that use JPEG technology.

Forgent has filed suit against 44 companies in all, including Apple, Dell, Hewlett-Packard and IBM, and negotiated usage agreements with 35 others. The company has received an estimated $105 million in licensing fees.

But a nonprofit group called the Public Patent Foundation filed a request last November asking the Patent Office to take a closer look at Forgent’s patent and submitted evidence that it said would prove Forgent has been fleecing companies out of millions of dollars in a “campaign of harassment” based on bogus intellectual property claims.

On Thursday, the Patent Office agreed to reexamine the patent.

“This is the first step towards ending the harm being caused to the public by Forgent Networks’ aggressive assertion of the patent,” Public Patent Foundation Executive Director Dan Ravicher said.

Mike Masnick, CEO of analysis site TechDirt, was less diplomatic in his enthusiasm about the prospect of the patent being ruled invalid.

“The patent in question had absolutely nothing to do with the eventual creation of JPEG image compression,” Masnick said. “[Forgent] made a bit of a stretch and said it covered JPEG compression and started suing everyone. You have a patent that obviously had nothing to do with the actual innovation, but was simply applied retroactively as a ‘lottery ticket’ to take money from those who actually did innovate.”

While he praised the Patent Office for reevaluating the patent, he also criticized it for routinely granting what he said are fraudulent patents and allowing companies to keep money collected on patents that are later invalidated through 3rd-party research.

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Michigan Legislators Propose Online Porn Ban

Michigan lawmakers have introduced a bill that would make it illegal to distribute pornography via the internet in the state.

Florida AG Sues Aylo, Segpay Over State AV Law

Florida Attorney General James Uthmeier filed lawsuits against Aylo and Segpay today with the 12th Judicial Circuit Court of Florida for noncompliance with HB3, the state's age verification law.

Colombian Court Sides with Esperanza Goméz in Meta Account Deactivation Battle

On Friday, Colombia’s Constitutional Court ruled in favor of adult performer Esperanza Gómez in her legal battle against Meta over repeated suspensions of her Instagram account.

Missouri AG Announces Age Verification Rule to Take Effect Nov. 30

Newly appointed Missouri Attorney General Catherine Hanaway announced Friday that the state's recently approved age verification regulation for adult websites will go into effect on Nov. 30.

Aylo, Woodhull Freedom Foundation to Host 'Online Censorship' Event

Aylo and Woodhull Freedom Foundation will co-host a virtual panel addressing online censorship on Sept. 30.

Severe Sex Films Relaunches Site Through YourPaysitePartner

Severe Sex Films has relaunched its official website through YourPaysitePartner (YPP).

Judge Awards Plaintiffs Over $400K in Attorneys Fees in Derek Hay Civil Case

California Superior Court Judge Gail Killefer has awarded former clients of LA Direct Models over $400,000 in attorneys fees and court costs, to be paid by agency founder Derek Hay.

ChickPass Rebrands as 'ChickPass Cinematic Universe'

ChickPass has announced that it has rebranded its network of sites as ChickPass Cinematic Universe.

Brazilian Adult Industry Association ABIPEA Launches

Brazilian Association of the Adult Entertainment Industry and Professionals (ABIPEA) has officially launched its organization.

New Adult Social Media Platform 'Havven' Opens Beta Phase

Havven, a new adult social media platform, has opened its beta phase and will officially launch Oct. 5.

Show More