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Lenovo sued over MPEG patent ..

From: Doug Mentohl
Subject: Lenovo sued over MPEG patent ..
Date: Sun, 01 Mar 2009 19:55:55 +0000
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"Friday's complaint in Manhattan federal district court against Lenovo Group Limited .. is none other than Sullivan & Cromwell. Sullivan's team is led by partner Garrard Beeney.

Beeney's clients claim that Lenovo knowingly violated their patent on a type of compression technology called MPEG-2, which is used in everything from DVDs to satellite television. (MPEG-2 compresses data into a more manageable form. Without it, an analog movie converted to DVD, for instance, would require dozens of disks.)

The complaint notes that Lenovo's competitors, such as Hewlett-Packard Company, Apple Inc., and Sony Corporation, have licensed the technology, while Lenovo -- which has a 40 percent market share in China and about 25 percent in the United States -- has not. The plaintiffs are expected to seek eye-popping damages ..

"The development of the standard itself took less time than the patent negotiations"

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