Press Releases
FAQ – LizardTech’s Lawsuit Against Earth Resource Mapping
What is the nature of the lawsuit LizardTech filed against Earth Resource Mapping (ERM)?
In 1999, LizardTech filed a patent infringement lawsuit against ERM in the U. S. District Court because the company believes the ECW compression technology produced by ERM, a former licensee of LizardTech image compression technology with access to LizardTech’s Software Development Kit (SDK), infringes on one of LizardTech’s most important patents covering a method for wavelet encoding of large geospatial images.
Why is LizardTech appealing the decision issued by the U. S. District Court?
LizardTech has a moral and contractual obligation to defend the patent for wavelet compression technology, originally funded by the U. S. Federal Government and developed at Los Alamos National Laboratories.
A judge in U. S. District Court issued an order granting ERM’s motion for summary judgment. This is the second time the same judge ruled in favor of the defendant’s motion to dismiss LizardTech’s claim. LizardTech took the case to Federal Circuit Court of Appeals where the lower court’s decision to dismiss the claim was reversed and LizardTech’s patent claim was upheld. LizardTech believes it is likely to prevail once again in its case against ERM upon appeal in Federal appellate court.
LizardTech is disappointed with the judge’s ruling, and with unsuccessful attempts to conclude settlement negotiations with ERM. As a result, LizardTech is forced to continue litigation.
Does the judge’s ruling mean LizardTech’s patent is invalid?
There are a number of technical issues involved in the suit. The judge’s ruling does not invalidate the most important patents licensed by LizardTech. This patent covers a method for wavelet encoding large images and how computer memory is utilized to achieve effective results during this operation; it does not pertain to file formats. LizardTech’s technology is still protected by U. S. patents.
How does this case relate to JPEG 2000?
JPEG 2000 is a file format specification, not a technology. ERM and LizardTech patents cover methods for creating a seamless wavelet compressed file with a small memory footprint. ERM’s ECW is a proprietary technology while JPEG 2000 is an ISO standard established with the consensus of the industry including LizardTech. LizardTech is working with the Open GIS Consortium (OGC) to extend JPEG 2000 capabilities for the geospatial market.
What is LizardTech’s position on other companies building wavelet encoding applications, specifically JPEG 2000?
LizardTech has participated in the development of the JPEG 2000 standard. Additionally, LizardTech is a technical committee member in the OGC and an active participant in furthering the development of and consensus for international standards around JPEG 2000 for geospatial applications. LizardTech supports the development of an internationally approved standard and, in fact, is working with partners to help develop integrated solutions supporting JPEG 2000.
How does the appeal affect LizardTech’s business or product strategy?
The appeal will have no impact on LizardTech’s product roadmap. LizardTech has been developing wavelet technologies for over 10 years and the MrSID wavelet image compression format is the de-facto standard for geospatial imagery. LizardTech will continue to develop and provide the most robust wavelet imaging tools on the market for geospatial imaging. LizardTech’s image compression technology is embedded in over 65 versions of industry-leading GIS and image processing systems.
Shouldn’t LizardTech focus on its business rather than litigation?
LizardTech’s primary focus is on its business and delivering outstanding and innovative image products to the market. This legal action is not something the company decided lightly; the decision was given considerable attention and consideration. However, because LizardTech has a responsibility to guard the interests of its shareholders, employees, customers, partners and the U. S. Government patents, LizardTech is obligated to take this action in order to protect its innovations and patents.
About LizardTech
Since 1992, LizardTech has delivered state-of-the-art software products for managing and distributing massive, high-resolution geospatial data such as aerial and satellite imagery and LiDAR data. LizardTech pioneered the MrSID technology, a powerful wavelet-based image encoder, viewer, and file format. LizardTech has offices in Seattle, Denver, London and Tokyo. For more information about LizardTech, visit www.lizardtech.com.
About Celartem
Celartem Technology Inc. http://www.celartem.com develops and sells innovative technologies for storage, access and distribution of rich media content. Celartem has developed technology in the areas of digital image compression, scalable image viewing and secure content distribution and management. Celartem is listed on the Osaka Securities Exchange, JASDAQ: 4330. Established in 1996, Celartem is headquartered in Tokyo, Japan and has a wholly owned subsidiary, Celartem Inc. d.b.a. LizardTech with headquarters in Portland, OR.
