The following is excerpted from a July 29, 2011 article by Chenda Ngak at CBS News' Tech Talk:
Popular music streaming service Spotify faces a patent-infringement lawsuit.
PacketVideo, a software company that enables wireless streaming of music and videos on mobile devices, filed the suit against Spotify on Wednesday, claiming that the U.K.-based company violated a patent for "distribution of music in digital form."
The plaintiff cited a violation of U.S. patent 5,636,276 and says "Spotify USA has offered for sale, sold, and imported products and/or services configured to infringe the '276 patent, and instructed and encouraged others to use the '276 patent in an infringing manner."
According to CNET, "PacketVideo's victory could have a profound impact on the marketplace. It appears that the patent is quite broad, and there's no telling if the company will go after other music-streaming services that haven't fallen in line."
Read the full article here.