Out-Law News

British firm asserts patent rights over internet downloads


A British firm that is the exclusive licensee for a portfolio of six US patents which appear to cover the downloading of updates for software and virus protection has begun negotiations with several companies that it believes should be paying royalties.

British Technology Group, or BTG, has been around for over fifty years, in various guises. It was originally set up in 1948 by the UK Government to commercialise publicly funded research. Initially known as the National Research Development Corporation, in 1981 it joined together with the National Enterprise Board to form BTG.

Over the years it has been responsible for patenting such inventions as the drug Interferon and Magnetic Resonance Imaging. In 1998 it became the exclusive licensee for a patented technology from inventor Richard Reisman, founder of Teleshuttle Corporation. At the time, Teleshuttle's technology was already being used by Blockbuster to automatically download monthly updates for the rental chain's Guide to Movies & Videos.

Andy Burrows, BTG's Director of Investor Relations, confirmed that his company has been in talks for a few months with a number of companies regarding royalty arrangements. The identities of those companies presently remains confidential.

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