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Netflix believes Blockbuster copied the way it allows customers to rent movies over the Internet

Netflix recently accused Blockbuster Inc. for patent infringement and has asked a federal judge to shut down Blockbuster's online movie rental service, according to reports.  Netflix holds two patents, one of which was issued on Tuesday.  The lawsuit states that Netflix's second patent, issued yesterday, "covers a method for subscription-based online rental that allows subscribers to keep the DVDs they rent for as long as they wish without incurring any late fees, to obtain new DVDs without incurring additional charges and to prioritize and reprioritize their own personal dynamic queue--of DVDs to be rented," the lawsuit claims.

Netflix sends out enough DVDs that it is one of the U.S. Postal Service's highest volume customers.  Netflix has also had a very strong impact on the way Blockbuster operates:  The movie rental chain store decided to drop late fees last year for all tardy rentals.


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RE: bleh
By isaacmacdonald on 4/5/2006 9:48:33 AM , Rating: 2
I agree -- it's *patently* ridiculous for models like "renting DVDs through packets transmitted over networks" to be declared intellectual property. It's like patenting pizza delivery via vehicles running on internal combustion engines.


RE: bleh
By Pythias on 4/5/2006 4:35:45 PM , Rating: 2
quote:
I agree -- it's *patently* ridiculous for models like "renting DVDs through packets transmitted over networks" to be declared intellectual property. It's like patenting pizza delivery via vehicles running on internal combustion engines.


Bad pun and good point. :)


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