A fighting chance for EchoStar against TiVo

By Scott M. Fulton, III | Published February 17, 2009, 5:14 PM

Today marks the resumption of what has become a remarkable showdown between satellite TV provider EchoStar and its one-time subsidiary Dish Network, and store-and-forward TV pioneer TiVo. Last October, in what appeared to be the final chapter of a long story, the US Supreme Court declined to hear EchoStar's appeal of a judgment declaring it and Dish in violation of TiVo's patents regarding its "Time Warp" functionality. The $105 million settlement fee has already been accounted for by TiVo.

A hearing scheduled for today in US District Court in Texarkana was originally supposed to feature EchoStar's presentation of a software-based "workaround" that would enable its and Dish's set-top boxes to implement a live recording feature similar to Time Warp, but without using TiVo's methodology. But last month, the US Patent and Trademark Office decided it would re-examine the validity of TiVo's patent -- a decision which doesn't necessarily call into question the validity unto itself.

That probably changes the entire focus of today's hearing, from making an effort to comply to the question of whether compliance is even necessary. Analysts are expecting TiVo to counter-argue -- if it must -- that EchoStar's workaround is a further infringement on that patent. That workaround is already being deployed nationwide.

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going by tterific's post this "story" seems to be more about trying to grab a headline than accurate reporting. So does someone know what really happened at today's hearing?

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The focus of the hearing remains the same. It is to gather evidence so that the Judge can make a determination as to whether Echostar is in contempt of court for ignoring the order of the court to shut down their DVRs. This is from the order for the hearing:

Before the Court is TiVo’s Motion to Hold EchoStar In Contempt For Violation Of This
Court’s Permanent Injunction. Dkt. No. 832.
The Court will hold an additional evidentiary hearing on this matter on February 17-18,
2009 to determine (1) whether the software downloaded to EchoStar’s DP-501, DP-508, DP-510,
DP-522, DP-625, DP-721, DP-921, and DP-942 is no more than colorably different from the
adjudged software; and (2) whether these receivers continue to infringe claims 31 and 61 of U.S.
Patent No. 6,233,389, either literally or under the doctrine of equivalents.

If you would like to review any of the documents in the case, you can view them on my web page at:
http://southernme.com/DAVY_v_GOLIATH/

Next time, if you would like to have someone check your facts, for a fee of course, feel free to email me via the comment to the webmaster link at the top of that page.

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The article is full of errors. Judge Folsom disallowed any discussion of patent validity at today's hearing by order on 02-04-09:

"...Therefore, all statements or arguments regarding the validity of the ’389 Patent,
specifically paragraphs 225-67, must be stricken from Dr. Rhyne’s expert report. In addition, the
parties shall be precluded from presenting evidence or argument concerning the validity of the ’389
Patent at the upcoming hearing.
IT IS SO ORDERED."

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While the discussion may have been disallowed, there's no question -- especially given EchoStar's lead in coming into today -- that the Patent Office's re-examination becomes the elephant in the room. And yes, the re-examination does not mean the patent is invalid...but that's what was written.

-SF3

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Wow. I can't even imagine that you could have come up with a report that would be more incorrect. If I were a professor at a journalism school, I would have expelled you.

Learn a bit about patent law. TiVo's patent is valid and presumed valid until the re-exam and all appeals. By the way, the re-exam was granted after DISH requested it (and that request required them to pay the cost of the re-exam).

Is there anyone left that reports accurate information?

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