Mobile commerce and mobile payments in particular will be the next big thing in retail, but some well-known brands are facing patent infringement lawsuits for their mobile apps.  In a recent move in the USA, semiconductor company Maxim Integrated is defending at least four patents which it believes are being used illegally in both Android and iPad or iPhone apps.  Other companies involved include Expedia and Capital One.

It appears that Maxim Integrated is defending patents that it acquired when it bought Dallas Semiconductor in 2001; and at least one of the patents dates back to 1997, and is for “enabling a user to fill a portable module with a cash equivalent and to spend the cash equivalent at a variety of locations.”  Technology experts say that the patents in question seem to be relevant to any mobile payment system.  The cases have all been filed in an East Texas court and, as with many patent infringement cases, are unlikely to be a surprise to those involved; as Maxim will have written to the companies in question prior to filing.  In fact, a statement from Starbucks claimed that the company had tried to resolve things with Maxim amicably.

Retailers will be watching the outcome of these cases, as there may be a significant impact on mobile payments.  A technology that is likely to be here to stay, simply because of its convenience for big brands in particular, retailers will be waiting to see whether or not they are likely to have to pay large licensing fees to use the patents in question.  The fact that the patents relate so closely to the technology used by most mobile payment systems means that a significant number of retailers around the world, as well as those companies that develop the mobile payment apps, could be affected.

Protecting your intellectual property can help you to underpin your business and ensure that you receive appropriate remuneration from those who want to use your innovations or ideas for their own purposes.  An experienced, professional patent attorney can give you the legal and commercial patent advice you need in order to secure your IP portfolio.  At Stevens Hewlett & Perkins, your first hour’s consultation is free, so you can afford to make sure your business is in the strongest possible position.  Contact us today to book an appointment.