IBM Lawsuit Accuses Zillow Of Patent Infringement

IBM Has Sued Zillow Over Patent Infringement

IBM has filed a patent infringement lawsuit against Zillow, claiming that the real estate company used key parts of IBM technology on its website, according to reports

IBM said the parts of Zillow’s site that estimate home values, as well as the way it does searches, are part of IBM’s patented technology. The computer giant has sued a number of other well-known companies in patent disputes as well.

There are seven patents named in the lawsuit, including one about Zillow using computing power to figure out how desirable a geographic area is to customers, and another one about searches fitting inside of a screen.

One of Zillow’s features, called Zestimate, gives estimates on how much a home is worth, and the search function is heavily reliant on maps.

The lawsuit was filed in a California federal court, and IBM claims that it has been trying to get Zillow to agree to a patent licensing deal for the past three years. IBM said it turned to the courts because of Zillow’s refusal to play ball.

“Because IBM’s over three-year struggle to negotiate a license agreement that remedies Zillow’s unlawful conduct has failed, IBM has been forced to seek relief through litigation,” the lawsuit said. “Among other relief sought, IBM seeks royalties on the billions of dollars in revenue that Zillow has received based on their infringement of IBM’s patented technology.”

IBM wants to ban Zillow from using any of the seven patents in the future, and it wants damages from the alleged infringement of the patents. 

“We are aware of the lawsuit filed in federal court. We believe the claims in the case are without merit and we intend to vigorously defend ourselves against the lawsuit,” Zillow said.

IBM said it spends a great deal of money on research and development and takes patent infringement very seriously. 

“IBM invests more than $5 billion annually in research and development, and relies on its patents to protect that investment,” IBM said in a statement. “We are acting to address Zillow’s unauthorized use and infringement of IBM intellectual property after years of trying to negotiate a fair agreement.”