IBM and Groupon have been involved in a legal conflict over patents since 2016. The tech giant blamed that the deals website is contaminating 4 of its e-commerce IPs without getting permission. IBM is now demanding 167 million U.S dollars from Groupon. The company informed the court that other companies such as Facebook and Amazon have purchased licenses between 20 and 50 million U.S dollars for using its technologies, but the deals marketplace rejected to buy licenses. The lawyer of IBM John Desmarais issued a statement that Groupon rejects taking responsibility for using IBM’s technology. The company has been spending billions of U.S dollars on research and development every year in making our lives comfortable.
Point to be noted that 2 of the patents mentioned in the lawsuit are old inventive properties. Both patents were introduced as the pre-internet genius online service since 1980. The lawyer of Groupon, David Hadden said that the case is invalid due to both patents didn’t invent by IBM and don’t cover the WWW (World Wide Web). Hadden also blamed that the tech giant is using its own patents to extract money out of other companies. He added that IBM has another business that they didn’t discuss it in their commercials. Bloomberg also indicated that IBM has been winning a large number of patents in the United States every year since last 25 years. The IP licensing has been considered a massively profitable business for the company, but it still collects just 2% of its revenue.