Skyhook Sues Google for Business Interference and Patent Infringment

According to Skyhook Wireless, Google has taken some unsavory actions to disrupt Skyhook’s contracts with major cell phone manufacturers. Skyhook, based in Boston, develops a technology which allows mobile phones to find their physical location without the aid of GPS satellites. This is done using nearby WiFi signals. Skyhook has worked with the likes of Apple (who later ditched the technology for their own) and Motorola.

In the later case, Skyhook says Google changed their handset compliance rules in such a way that Skyhook found it impossible to pass (No, I didn’t know Android handsets had to be approved by Google either). After reaching out to Google representatives for help in fixing the problem and getting no response, Skyhook was forced to file suit to protect their business interests. According to those familiar with Skyhook, their pay technology is superior to Google’s free offering in this area. Motorola had already dumped Google in favor of Skyhook, so the question is did Google actively take actions to prevent Skyhook from doing business?

Skyhook filed a business interference lawsuit in the Massachusetts Superior Court in Boston today, and a patent infringement lawsuit in the U.S. District Court of Massachusetts. According to Skyhook, Google took advantage of their close relationship with handset manufacturers like Motorola to push Skyhook out, costing them millions. The patent infringement lawsuit sites four patents and Skyhook has requested an injunction on the Google WiFi location software.

Skyhook CEO Ted Morgan points out that, while Android is touted as being an open platform, that doesn’t always turn out to be true. This is presumably because Google has the final say in approving each device, something that seems more Apple than Google.

“The message that Android is open is certainly not entirely true. Devices makers can license technology from other companies and then not be able to deploy it.” — Ted Morgan, Skyhook CEO

“Their behavior in this case is contradictory to their message of openness,” Skyhook Chief Executive Officer Ted Morgan said today in an interview. “In areas that are very important to Google, the rules seem to change.” Does Google have a dark side that we don’t yet know about or is this a misunderstanding? Google has released no official comment yet as they have not been officially served.

via GigaOm, Bloomberg, Business Insider


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