Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Simon Dingle

      ‘South Africa has to abolish exchange control’

      10 August 2026
      New rand stablecoin market opens into a potential regulatory wall

      New rand stablecoin market opens into a potential regulatory wall

      10 August 2026
      The most dangerous customer is the quiet one - Jannie van Zyl

      The most dangerous customer is the quiet one

      10 August 2026
      Eskom fixed the fleet and the customers left

      Eskom fixed the fleet and the customers left

      7 August 2026
      DStv chops channels as Canal+ leans harder on sport

      DStv chops channels as Canal+ leans harder on sport

      7 August 2026
    • World
      Meta AI will now tell parents if their teen is in crisis

      Meta AI will now tell parents if their teen is in crisis

      17 July 2026
      IBM shares crash 25% as AI upends software spending - Arvind Krishna

      IBM shares crash 25% as AI upends software spending

      15 July 2026
      Jony Ive's first OpenAI device: an AI smart speaker - Jony Ive and Sam Altman

      Jony Ive’s first OpenAI device: an AI smart speaker

      15 July 2026
      Stripe, Advent in talks to buy PayPal for $53-billion

      Stripe, Advent in talks to buy PayPal for $53-billion

      15 July 2026
      Memory crisis sends smartphone market into steep decline

      Memory crisis sends smartphone market into steep decline

      13 July 2026
    • In-depth
      The plan to stop AI from breaking the world - Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
      The internet has a Strait of Hormuz problem

      The internet has a Strait of Hormuz problem

      15 July 2026
      AI boom sparks rally, frenzy and fear

      AI boom sparks rally, frenzy and fear

      11 June 2026
      Every plug-in hybrid on sale in South Africa, ranked by price - Lamborghini Temerario

      Every plug-in hybrid on sale in South Africa, ranked by price

      7 June 2026
      What Wi-Fi 8 will mean for wireless networks

      What Wi-Fi 8 will mean for wireless networks

      1 June 2026
    • TCS
      TCS+ | Specops' Darren James on continuous trust in an AI world

      TCS+ | Specops’ Darren James on continuous trust in an AI world

      7 August 2026
      TCS+ | How AI is turning hardware into a subscription service - Shane van der Merwe Merchant West

      TCS+ | How AI is turning hardware into a subscription service

      6 August 2026
      TCS+ | Why South African workers must become supervisors of digital labour - Accelera Digital Group Cliff de Wit

      TCS+ | Why South African workers must become supervisors of digital labour

      31 July 2026
      TCS | Rapid deployment rules can't work without municipalities: ACT - Nomvuyiso Batyi

      TCS | Icasa’s rules skip the real bottleneck: ACT

      30 July 2026
      TCS+ | iStore Business on why Apple makes sense for SMEs - Sudesh Pillay and Tamia Nontsikelelo

      TCS+ | iStore Business on why Apple makes sense for SMEs

      30 July 2026
    • Opinion
      The author, Jannie van Zyl

      Selling vapour is corporate suicide in slow motion

      16 July 2026
      Brazil's online gambling crackdown is a lesson for South Africa

      How Amazon outmanoeuvred Starlink in South Africa

      15 July 2026
      The Popia problem with agentic AI - Herman Haasbroek

      The Popia problem with agentic AI

      14 July 2026
      The author, Fanie van Rooyen

      South Africa can still catch the AI wave – here’s how

      7 July 2026
      The author, Fanie van Rooyen

      The AI utopia South Africa can’t afford

      1 July 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM Telecom
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » World » Yahoo vs Facebook: making a tough job harder

    Yahoo vs Facebook: making a tough job harder

    By Editor16 March 2012
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    When you can’t beat them, sue them. That seems to be the modus operandi of Yahoo, a former Web star whose fondness for lawyers has grown as its commercial fortunes have faded. On 12 March, the ailing company sued Facebook, alleging that the social networking giant had violated 10 patents that belong to it. Yahoo’s aggressive move has sparked an outcry among the tech elite, many of whom have been quick to leap to Facebook’s defence.

    Lobbing patent lawsuits at one another has become something of a pastime for technology companies. In such sectors as the mobile phone industry, barely a day goes by without some new legal tussle hitting the headlines. But the world of social networking has been pretty much immune to this flood of litigation — at least until now. Yahoo’s suit not only broadens the field of hostilities, it also comes at a sensitive time for Facebook, which is preparing for a multibillion-dollar stockmarket listing that is expected to take place in the next few months.

    This is not the first time that Yahoo has reached for its lawyers to target a firm about to go public. In 2004, it launched a legal assault on Google involving patents shortly before the search firm staged its own listing. Google ultimately agreed to a settlement over the matter, taking a US$200m charge against its earnings to do so. Yahoo is no doubt hoping that Facebook will throw in the towel as well to avoid awkward legal wrangling in the run-up to its initial public offering (IPO).

    If Facebook does give in, it will not be because Yahoo’s case is a strong one. Yahoo argues that it is simply defending inventions that it has spent billions of dollars to develop. But many of the patents at issue cover common practices in online advertising, privacy controls and instant messaging. With a bit of effort, Facebook’s lawyers should be able to show these were already in widespread use before Yahoo laid claim to them.

    Nor is Yahoo’s argument that Mark Zuckerberg, Facebook’s co-founder and CEO, knowingly pinched its ideas likely to stand up to scrutiny. In its complaint, the firm’s lawyers quote Zuckerberg saying that if Facebook had not created its network when it did, someone else would have. In a desperate attempt to bolster a feeble case, they claim that this is proof of Facebook violating Yahoo’s patents. If that is the best they can do, then Facebook should have little to worry about if it has its day in court.

    This is not the first time that others have asserted prior ownership of Facebook’s ideas in lawsuits. Two of Zuckerberg’s fellow students at Harvard University, Tyler and Cameron Winklevoss, claimed that he stole their idea for a social network after doing some programming work for them (which earned them the moniker “Winklevii”). After bouts of protracted legal wrangling, Zuckerberg managed to see off that challenge. Facebook says it also intends to defend itself “vigorously” against what it calls Yahoo’s “puzzling actions”.

    Yet the Internet firm’s legal gambit is not really puzzling at all. Silicon Valley is full of companies with amazing growth stories to tell and innovative ideas to promote. Sadly, Yahoo is no longer one of them. Instead, the company has shed senior executives and board members as it desperately tries to turn itself around. Now it seems to be taking a leaf out of the book of other once-glorious businesses that have fallen on hard times, such as Eastman Kodak, which have tried to exploit their large patent portfolios to raise badly needed cash.

    Even if Yahoo does end up trousering millions from Facebook, it will be a pyrrhic victory for the business. The lawsuit has already done much damage to the firm’s image. Although some folk have backed the company, many have criticised it. One of its former board members, Eric Hippeau, has described the suit as a “pathetic and heartbreaking last stand for Yahoo”, and a former employee has publicly castigated the firm for “weaponising” the result of his work. If Yahoo is to pull itself out of its nosedive, it needs to attract Silicon Valley’s best and brightest to its ranks. By lashing out at Facebook now, it has made an already tough job far harder.  — (c) 2012 The Economist

    • Image: Los Angeles Times (used with permission)
    • Subscribe to our free daily newsletter
    • Follow us on Twitter or on Google+ or on Facebook
    • Visit our sister website, SportsCentral (still in beta)
    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Facebook Mark Zuckerberg Yahoo
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleBitTorrent: we are not a piracy company
    Next Article Absa dismisses talk of mass job cuts

    Related Posts

    Meta cash flow collapses as AI bill hits $145-billion - Mark Zuckerberg

    Meta cash flow collapses as AI bill hits $145-billion

    30 July 2026
    WhatsApp eyes its next act: a global superapp

    WhatsApp eyes its next act: a global superapp

    25 June 2026
    Vodacom eases dividend policy to fund growth push - Shameel Joosub

    The millions Vodacom spends protecting its CEO

    14 June 2026
    Company News
    African Bank signs on as GEC+Africa 2026 partner

    African Bank signs on as GEC+Africa 2026 partner

    7 August 2026
    What a cloud review reveals about how a company actually runs - LSD Open

    What a cloud review reveals about how a company actually runs

    6 August 2026
    Manufacturing from a garage is now a realistic business plan - MaxLaser

    Manufacturing from a garage is now a realistic business plan

    6 August 2026
    Opinion
    The author, Jannie van Zyl

    Selling vapour is corporate suicide in slow motion

    16 July 2026
    Brazil's online gambling crackdown is a lesson for South Africa

    How Amazon outmanoeuvred Starlink in South Africa

    15 July 2026
    The Popia problem with agentic AI - Herman Haasbroek

    The Popia problem with agentic AI

    14 July 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Simon Dingle

    ‘South Africa has to abolish exchange control’

    10 August 2026
    New rand stablecoin market opens into a potential regulatory wall

    New rand stablecoin market opens into a potential regulatory wall

    10 August 2026
    The most dangerous customer is the quiet one - Jannie van Zyl

    The most dangerous customer is the quiet one

    10 August 2026
    Eskom fixed the fleet and the customers left

    Eskom fixed the fleet and the customers left

    7 August 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}