Microsoft VC-1 Codec May Face Patent Suits

REDMOND, Wash. — Microsoft may be finding itself in the middle of a costly legal battle soon over the VC-1 video codec, based on Windows Media Version 9 and recently adopted by the Society of Motion Pictures and Television Engineers as an industry standard.

Rethink Research revealed in late January that the software giant’s codec is currently the target of claims from 12 separate companies that the new standard relied on their technology. The claims are currently on file with the MPEG Licensing Authority, an industry organization specializing in one-stop codec licensing agreements.

While MPEG LA would not comment on the claims or name the companies involved, they did tell Rethink’s Faultline news service that there were ongoing negotiations to create a “fair” license.

Speculation on the companies involved include those with prior MPEG codecs, including Samsung, Sharp, Philips, Sony and Toshiba.

Insiders at MPEG LA are now saying that the talks have broken down and at least two of the companies, thought to be Sony and Philips, are considering litigation against Microsoft.

The two companies received at least $440 million as part of an out-of-court settlement with Microsoft in April for another patent infringement claim related to Digital Rights Management concepts.

Sony and Philips have not yet commented on the most recent issue, but a legal squabble over VC-1 technology may have grave implications for the video community. Currently, the VC-1 codec is used on approximately 400 million different devices and was recently adopted by both the Blu-ray Disc Association and HD-DVD for use in their high-definition, high-capacity optical storage standards.

“Questions need to be asked such as : ‘Did Microsoft have access to this technology? Would interference suits against Microsoft filings mean that many of its inventions reverted to other companies? How might a court allocate damages? What other remedies would a court impose if it found Microsoft guilty of patent infringement?’,” said Rethink. “This last could include a consent decree to keep out of the digital market entirely.”

A court ruling against Microsoft in the case could result in licensing fees for all new copies of Media Player and as much as $5 billion in damages.

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

New Creator Directory 'TrustyFans' Launches

TrustyFans, a new directory for creators, has officially launched.

Corey Silverstein to Host Webinar on 'SCOTUS Age Verification Ruling'

Where Does Age Verification Go From Here," to livestream July 10 at 4 p.m. (EDT).

FSC Publishes Guidance on Google Analytics Lawsuits

The Free Speech Coalition (FSC) has published guidance on how adult websites can protect themselves in the wake of several consumer class action lawsuits filed against sites for using Google Analytics.

BranditScan, CreatorTraffic Partner for 'Creators & Agencies' Initiative

BranditScan and advertising network CreatorTraffic have partnered for an initiative to help creators and agencies generate traffic and protect their content.

Teasy Agency Joins Pineapple Support as Supporter-Level Sponsor

Teasy Agency has joined the ranks of over 70 adult businesses and organizations committing funds and resources to Pineapple Support.

Aylo, Pineapple Support Partner for Mental Health Video Series

Aylo has teamed up with Pineapple Support to create a safety video series aimed at educating performers and creators about mental health.

Ofcom Investigates FTV Sites for Possible AV Noncompliance

U.K. media regulator Ofcom is investigating First Time Videos, which operates the sites FTVGirls.com and FTVMilfs.com, for possible failure to comply with age assurance requirements under the Online Safety Act.

Stalwart Defender: Jeffrey Douglas on 30 Years Fighting for Free Expression

“If you had told me in 1995 that I would be on the FSC board for 30 years, I would have laughed out loud,” says Jeffrey Douglas.

FSC Publishes Analysis of Federal Trade Commission Event Promoting AV

Free Speech Coalition (FSC) has published an analysis of a Federal Trade Commission (FTC) event held this week that promoted age verification among other forms of speech regulation.

GirlsDoPorn Owner Michael Pratt Pleads Guilty to Sex Trafficking

Michael Pratt, former owner of the rogue website GirlsDoPorn, pleaded guilty in the U.S. District Court for the Southern District of California on Thursday to sex trafficking and conspiracy to commit sex trafficking charges, according to a report by City News Service.

Show More