BlackBerry Patent Dispute: Don't Worry

The much-anticipated decision from U.S. District Judge James Spencer regarding NTP’s suit against Research In Motion (RIM) was announced Friday, and it was … inconclusive. (If you’re not familiar with this dispute, click here for a timeline on the matter from Reuters). The feared shutdown of BlackBerry e-mail service was not called for by the judge, but RIM was not let off the hook, either. The judge pointed out that courts had ruled that RIM had infringed on NTP’s patents in the past, and stressed his disbelief that the companies hadn’t settled, according to a New York Times article. He seemed to lecture RIM, as the article quotes him as saying, “I am absolutely surprised that you have left this incredibly important and significant decision to the court. I have always thought that this decision, in the end, was a business decision.” The judge promised to rule on the case at an undetermined later date, stating that he’d rule on a monetary compensation amount before ordering a service shutdown.

The only real conclusion that can be made, it seems, is that this issue will be in limbo for some time. So should enterprises fear a pending shutdown of services and frantically look for a solution? I don’t think it’s necessary. The BlackBerry patent dispute most likely won’t affect enterprises – beyond adding some sweat to CIOs’ brows and giving them even more news articles to read.

RIM has more than 3 million users in the United States, the bulk of them enterprise users. Federal agencies, transportation companies, healthcare entities, service organizations, and legal firms’ frontline workers rely on BlackBerry solutions to do their jobs. While some companies are looking to other e-mail and mobile application solutions as a replacement, migrating to another platform might costs enterprises up to $1,000 per user. To assuage its customers, on Feb. 9 RIM announced an e-mail workaround in the event RIM is ordered to shut down its existing e-mail services. Though some media columnists and analysts feel that details on the workaround are too sketchy for enterprises to rely on, it seems to be enough for most enterprises. Tim Oligmueller, director of sales force automation for adidas’ U.S. sales force, says, “I am not worried. BlackBerry has the workaround ready to go, should we [customers] need it.” Beyond the obvious customer service issues, a shutdown in service could bring millions’ of dollars worth of business to a standstill – there is no way RIM wants that on its shoulders. If for some reason the workaround doesn’t, well, work, I don’t doubt RIM will settle rather than allow its services to be cancelled.

Finally, RIM has had several successes related to this case from the U.S. Patent Office, which recently stated that for three of the five patents NTP is suing RIM over, NTP’s claims are invalid. Though Judge Spencer has refused to consider the patent office rulings in the legal case, the patent office’s dismissal of NTP’s claims of infringement influence public opinion and BlackBerry stock in positive ways.

So don’t worry unnecessarily about your mobile solution when you already have enough on your plate. Sure, follow the case so you’re not left in the dark, but feel free to relax a bit about the BlackBerry issue – I think we’re going to be here for a while.