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 © 2026 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

Segpay Partners With Corey Silverstein for Legal Services

Segpay has partnered with adult industry attorney Corey D. Silverstein for specialized legal compliance and policy support for its merchant network.

AEBN Reveals Kasey Kei as Top Trans Star for Q2 of 2026

AEBN has named its top trans stars for the second quarter of 2026, with Kasey Kei landing atop the leaderboard.

Missouri Governor Signs Bill Making AV Regulations State Law

Missouri Governor Mike Kehoe signed a bill into law on Thursday requiring adult websites to age-verify users in the state, finalizing a legislative “stamp of approval” for AV rules after Missouri’s attorney general unilaterally imposed similar regulations last year.

Utherverse Launches 'Adult Game Fest' Virtual Convention

Virtual reality and metaverse technology company Utherverse is launching its inaugural Adult Game Fest convention and trade show, taking place Sept. 24-26.

Ofcom Fines Fapello $845,000 for AV Noncompliance

U.K. media regulator Ofcom on Thursday imposed a fine of 630,000 pounds (about $845,000) against adult website fapello.com for failing to comply with provisions of the Online Safety Act.

KiwiSourcing Joins Pineapple Support as Sponsor

Outsourcing and consulting firm KiwiSourcing has joined the ranks of over 70 adult businesses and organizations committing funds and resources to Pineapple Support.

AdultHTML Introduces AI-First Development Services

AdultHTML has introduced an AI-first development service, giving clients access to experienced software developers who use AI to streamline software development.

Texas Court Orders Adult Site Domain Locked for AV Violations

A district court in Texas has issued a writ requiring domain registry Verisign to “lock” an adult website’s domain over noncompliance with the state’s age verification law.

Adult Web Hosting Service 'QloudHost' Launches

QloudHost, a new web hosting service for adult websites, has launched.

Peter Hooke Launches New Paysite

Peter Hooke has launched an official website through PAYSITE.

Show More