IBM Sues Amazon over Web Patents

Oct 24, 2006

IBM Corp. filed two lawsuits against Inc. claiming key aspects of the internet retailer's websites violate patents held by Big Blue. According to the lawsuit, Amazon is accused of infringing on five IBM patents, including technologies that govern how the site handles customer recommendations, advertising, and data storage.

IBM said hundreds of other companies have licensed the same patents, and that it tried to negotiate licensing fees with Amazon "over a dozen times since 2002" but " has refused every time." IBM said its two lawsuits were filed in U.S. District Court in the Eastern District of Texas, one in the Tyler Division and the other in the Lufkin Division.