SGI, Back From Dead, Decides To Use Patent Litigation As New Business Strategy

from the losers-litigate dept

What were we just saying about the trend of companies who failed in the marketplace to resort to patent infringement lawsuits as a last gasp effort to stay alive? When SGI filed for Chapter 11 bankruptcy back in May, many didn't give the company much of a chance of amounting to much if it could even reorganize and come out of bankruptcy. Well, last week, the company triumphantly emerged from bankruptcy, claiming that it was "lean and mean." The company claimed it had new management, new business models and a new strategy. Of course, what they didn't mention was part of that strategy was to sue others for patent infringement. It certainly didn't take the "new" SGI long to send its lawyers after ATI for apparently infringing on a patent. Perhaps SGI has a real business strategy to become relevant again -- but to kick things off with a patent infringement lawsuit suggests that they're not convinced that actually competing with their products in the market place is going to take them very far.

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  1. identicon
    Ben(damnit, 24 Oct 2006 @ 11:25pm

    Hey

    It's big business to exploit the loop holes given to us by our government. It may not be right, but what better way to make painfully obvious the fact that the patent system isn't striving for innovation, but rather is just another outlet to acquire disproportionate amounts of money by essentially saying 'hey, that was my idea, and just because i couldn't get it to work better than you doesn't mean i shouldn't get paid.'

    We live in a capitalistic society. But that's almost an oxymoron. The practice capitalism requires that you capitalize something, which is kinda anti-social.

    why don't we all just share the ideas, and who ever can actually do it the best gets the rewards?

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