Google has said (via email) that Rates Technology Inc.’s (RTI) lawsuit against it for patent infringement has no merit and ‘will defend it vigorously’.



The reason Google has chosen to fight RTI in the courts rather than settle or pay RTI’s fee is dodgy. It must be noted that Google’s VoIP counterparts like Yahoo and Microsoft, have reached agreements with Rates Technology. Time Warner Inc also is in discussions with it about its AOL unit’s voice services.



However, I must say that if Google has taken a stand here against a patent squatter about it must be commended. For a change, it has been refreshing news.



However, to dampen my feel-good spirits on this, Vonage has decided that it is better to give in.



Well, this may be because:



a) It doesn’t want any lawsuit pending against it if attempting to find an exit

b) It has some money to spend now



Rates Technology is currently in a settlement process with eBay for it put Skype on notice about over a year ago as it was using its patented technology for SkypeOut. About this Rates Technology president Jerry Weinberger said ‘it seems eBay never found out about’.



If Google manages to win this case against RTI then it will prove to be a turning point for IP telephony.



We shall wait and see.



News: Computer Business Review