Kodak in patent infringement row with web photo publisher Shutterfly

22 Dec 2010

Eastman Kodak Co and Shutterfly Inc, a net-based photo publishing service, have filed patent-infringement suits against one another, even as the legal battle over photo-sharing turns messy.

Kodak has accused Shutterfly.com of infringing on its patents by making and selling images through its website. The beleaguered photo film giant, which is trying to reinvent itself as a digital imaging firm, had earlier filed suits against Apple Inc and Research in Motion. Apple had counter-sued and the matter is still pending before a court.

Analysts expect the dispute to have larger implications on other photo-sharing sites including Yahoo's Flickr, Google's Picassa, and even Facebook, the hugely popular social networking site, where millions of photographs are downloaded and viewed daily.

Kodak had in the past filed suits against several firms for violating its patents. Even South Korean electronics giants Samsung and LG Electronics had to agree to hefty royalty deals last year with Kodak. Smaller players have had to agree to license Kodak's technology and pay royalty to it.

Kodak filed its suit against Shutterfly earlier this month in the US for allegedly infringing on its patents related to the display of digital images. It claims that it owns the patent to the selection of photographic images using index prints and sought an injunction against Shutterfly. The latter then filed a counter-suit against Kodak, accusing it of infringing one of its own patents.

The growing popularity of online photo sites has triggered off a surfeit of suits in recent months, with companies claiming their patents have been infringed.

But this is the first time that a major player like Kodak – which has over 400 patents to its credit – has dragged another rival to court. Both Kodak and Shutterfly, who had cooperated in the past, have been offering competing services to customers.