Adobe Wins Patent Trial Against Macromedia
Adobe and Macromedia met in court this week. Read what both companies tell about it. We'll leave it up to you to interpret it your own way.
Adobe's press release:
SAN JOSE, Calif. — May 2, 2002 (NASDAQ: ADBE) — Adobe Systems Incorporated, the leader in network publishing, today announced that it has received a favorable jury verdict in its intellectual property case against Macromedia, Inc. in the U.S. District Court of Delaware, finding willful infringement of U.S. Patent No. 5,546,528. The patent at issue covers Adobe's reconfigurable tabbed palette patent, which is Adobe's method of displaying and working with multiple sets of information in the same area of the computer screen. The patented invention allows users to customize how the functions in the product are organized on their workspace.
"We are very pleased with the verdict," said Bryan Lamkin, senior vice president of Adobe's graphics business unit. "We've maintained all along that Macromedia infringes this patent. While we would have preferred to settle this issue out of court, we are satisfied that the validity of this key innovation has been upheld."
Adobe was awarded $2,822,280 in damages and the company anticipates that the court will issue an injunction to stop Macromedia's infringement.
About Adobe Systems Incorporated
Founded in 1982, Adobe Systems, Incorporated (www.adobe.com), the leader in network publishing, offers a comprehensive line of software for enterprise and creative professional customers. Its products enable customers to create, manage and deliver visually rich, compelling and reliable content. Based in San Jose, Calif., Adobe is one of the world's largest software companies with annual revenues exceeding $1.2 billion.
Note to editors: More information surrounding the case can be found by visiting: www.adobe.com/adobefacts/main.html
Macromedia's press release:
SAN FRANCISCO—May 2, 2002—Macromedia, Inc. (Nasdaq:MACR) today announced that a jury ruled in favor of Adobe Systems, Inc. in its patent infringement suit against Macromedia. The verdict included a damage award of $2.8 million. Macromedia expects no material impact from this judgment on the Company's financial condition or market leadership.
"It is unfortunate, and we believe wrong, that Adobe has chosen this field to compete. Ultimately, it is our customers, and particularly our mutual customers, that will be harmed," said Rob Burgess, chairman and CEO, Macromedia. "Nonetheless, we have no choice but to protect our right to innovate and must defend ourselves on this playing ground."
In August 2000, Adobe filed suit against Macromedia in the U.S. District Court of Delaware. Macromedia filed counterclaims of patent infringement in response to Adobe's lawsuit in the U.S. District Court of Delaware in September 2000. Macromedia will be presenting its case as it relates to its patents beginning on Monday, May 6, 2002. In October 2001, Macromedia brought a patent infringement suit against Adobe in the Northern District of California relating to additional patents that Macromedia believes that Adobe infringes.
Except for the historical information contained herein, matters discussed in this news release may be considered forward looking statements that involve risks and uncertainties, including those related to customer acceptance of new products and services and new versions of existing products, the impact of competition, the risk of delay in product development and release dates, the potential for unpredictable outcomes related to litigation, risks of product returns, and the other risks detailed from time to time in the Company's SEC reports, including without limitation its quarterly reports on Form 10-Q and its annual report on Form 10-K for the year ended March 31, 2001 as they may be updated or amended with future filings. The actual results the Company achieves may differ materially from any forward looking statements due to such risks and uncertainties. The Company assumes no obligation to update the forward looking information contained in this press release, except as otherwise required by law.
Macromedia www.macromedia.com empowers millions of designers and developers to create effective user experiences across the widest array of platforms and devices. Through an open, integrated family of client, tool, and server technologies, Macromedia is driving a new generation of rich Internet applications that will radically improve the Internet experience.