Spotify’s U.S. launch has been met with fanfare, acclaim, and one sure sign that the Sweden-based company has “made it” in America: litigation.
PacketVideo is suing Spotify for patent infringement, claiming that the company has violated patent No. 5,636,276, “a device for the distribution of music information in digital form.” PacketVideo, which is was acquired by Docomo in 2010, obtained the 1995 patent “a few years ago,” according to TechDirt.
These small details all beg the question: Is this a case of patent trolling? Spotify says it will “strongly contest” what appears to be a vague patent that would include other companies providing similar music streaming and sharing services, writes Venture Beat’s Sean Ludwig. Spotify boasts more than 10 million users worldwide, has raised $120 million in funding, and has a valuation of $1 billion. Is Spotify simply the biggest target?
Read more at Venture Beat.