Supreme Court to decide patent fracas between Google and Microsoft

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Friday, December 06, 2013

Bloomberg Businessweek: A bitter software patent case that has split the high-tech industry will be heard by the Supreme Court and its ruling could have major implications for the U.S. economy.

The justices today agreed to hear arguments on a patented system for limiting the risk that one party to a derivative trade won’t follow through on its obligations. The case splintered a federal appeals court in a ruling that one judge said called hundreds of thousands of patents into question.

On one side of the debate are Google Inc. (GOOG:US), Facebook Inc. (FB:US) and JPMorgan Chase & Co. (JPM:US), which say patent standards for software are too lax and open companies to unwarranted lawsuits. On the other are Microsoft Corp. (MSFT:US) and Oracle Corp. (ORCL:US), whose trade group told the appeals court that limiting protection for genuine innovation could hurt the nation’s economy.

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