i-Antitrust: time to give you your choice back, folks!

Fighting injustice. It’s just what we do – and keep doing. And that includes fighting major, large-scale injustice…

For example, in 2017, we managed to reach an agreement with Microsoft that encouraged it to stop giving unfair advantages to its own antivirus product. Sure, Microsoft is a modern-day Goliath. But we’re a modern-day David! And we need to be. For someone has to stand up to the giants now and again when they start throwing their weight around unfairly. Not doing so would mean users wind up with less choice.

Then last year saw us having to don the boxing gloves again for another dispute – again on an antitrust issue, but this time with another Goliath: Apple. Fast forward nearly a year – and I have two bits of news for you on this…

But first – quick rewind: some background.

 

Early on – halcyon daze…

Back in 2008, on the back of its extraordinary successes with its iPhones, Apple opened its App Store. And to fill out its ‘shelves’, it invited independent developers to use it as a platform to sell their for-iOS software. Those independent developers jumped right in, bringing with them thousands of apps (fast-forward 12 years and there are now literally millions). Users all over the planet were happy with all that choice, both Apple and the independent developers made tidy profits, all was well, there was peace and harmony, and it looked like everyone would live happily ever after.

But… business is business. At the end of the day Apple exists – like all commercial companies – to make a profit first and foremost. So it started branching out a bit. It created other iThings, all sorts of services, and a lot more besides. Yet still Apple yearned for more. Which was when it turned its gaze toward the markets of iOS applications made by independent developers in its own App Store.

Fast-forward to 2020.

I have a lot of respect for Apple. The company created a successful business model that’s much envied and much imitated. I neither envy nor imitate it, and I don’t agree fully with much of its policy (first and foremost – regarding cybersecurity), but that doesn’t mean I respect it any less (even though I personally don’t use any Apple products). We’ve been cooperating with Apple many years, in various areas, and until recently this was a partnership of equals.

Like tens of thousands of other independent developers, we create useful iOS apps – apps that increase the overall attractiveness of the platform. Together with Apple we had some profitable mobile business going on, but it was the users who benefitted most (as they were supplied with ever-more useful apps). Everyone had it good. Then, at the end of 2018, Apple announced its crusade against independent developers with the release of its Screen Time.

Competition is good, because competition works for the good of the user. In this case, more apps, better apps, more varied apps – more choice (and a developer not falling asleep at the top of the App Store listings)! But for competition to exist there needs to be a level playing field, i.e., fair rules. For everyone. Yet that level playing field – and competition with it – has been destroyed by Apple. Let me tell you how.

iStory that’s hard to believe.

Screen Time entered a mature market in which dozens of independent developers already operated. The App Store offered a great many apps providing parental controls, time management and other related tasks. And it’s here where the craziness begins.

Apple unexpectedly monopolized a wide range of critical functions, by simply turning them off for other developers!

So, like, how, for example, is a parental control app supposed to get by without configurable profiles, the ability to filter URL addresses, application control, and full fledged geolocation? That’s right: it can’t! But it can if it’s an Apple parental control app – for none of this critical functionality was limited in any of its own apps! It’s one rule for Apple’s apps, another for all the rest.

Now, of course, this audaciously odd-ball move was made under a smokescreen of ‘concerns’ about security and privacy; however (also ‘of course’) – these concerns were seen right through real quick to reveal their bogusness.

Next, Apple started banning developers from the App Store, delaying approval of new software builds, and rolling out new unacceptable requirements and conditions. Some apps were shut down, while others had their functionality restricted – rendering them useless. But some independent developers decided to fight back. Including us. Developers came together to form an association with the aim of working with Apple to try and secure fair rules for all, while some filed complaints with regional antitrust authorities and began a public campaign in the press and on social media.

Then, in June 2019, Apple looked like it had hit the brakes and even gone into reverse. However, actually, it was purely a tactical maneuver to feign an expression of goodwill, and which in no way helped solve the problem of equal rights for all – including Apple itself.

Then it released iOS 13… – with yet further restrictions to hit the ecosystem even harder!

Let me give you an example of how the ‘innovations’ of iOS reflected on our parental control app Kaspersky Safe Kids.

First, Apple loads and activates Screen Time automatically on devices upon installation of the new version of the iOS – even if the user already has onboard a similar application. Don’t know about you, folks, but that, to me, doesn’t have much of a ring of ‘free competition’ to it. Looks more like just the opposite: with a ring of intrusion, aka thrusting, aka foisting, aka gatecrashing the party, i.e. – uninvited.

Second, new features on iOS 13 now permit a child to easily delete Safe Kids (i.e., a complete cancelling out of the very meaning of ‘parental control’), and also view websites via Safari (it has become impossible to hide it) instead of via the built-in safe browser that permits filtration of undesirable content. No, really folks!

Third, changes to the policy of accessing the geolocation of a device have taken away parents’ ability to track their child’s location! (No. I am not making this up. And all in the name of security – remember?!)

But wait – here’s what really takes the proverbial biscuit. Are you sitting down?…

All features that have become forbidden to independent developers remain completely ok and wholesome and accessible to… – ta-daa – Apple!

iAudaciousness on this scale simply couldn’t go unnoticed.

Encouragingly, the issue hasn’t gone unnoticed. It’s been resonating at the very highest legislative levels around the world. In the U.S. Senate it was suggested to forbid Apple and other large companies from placing their own apps in their own marketplaces, since they, by default, will create preferences for their own products.

In Russia antitrust proceedings have been initiated. In the EU they’re still at the pre-investigation phase. Indeed, slowly but surely the negative consequences of this lowering of competition are coming to the surface. Even from the user side – Screen Time is taking a lot of flak for its functionality shortcomings (even with its functional superiority given that its competitors have all had their functionality curtailed!). Some independent developers see the only way of getting round the issue to be to urge users to move over to Android if they want to keep their kids safe.

And now for that news I said I’d be telling you…

I’m not sure yet if it’s good news or not, but at least some movement must be a good thing – and we’ve been trying to fight for equal opportunities for everyone. This spring, the Federal Antimonopoly Service of Russia will deliver its verdict on our claim regarding the abuse by Apple of its dominant position and the creation of unlawful competitive advantages for Screen Time. Almost all arguments and evidence in the proceedings have already been given and submitted. For us it’s been a very long, complex process (details – here), which has taken up much time, effort and money energy. But we’ve explained our position well, and I have Hope that the decision will be in our favor. Fingers crossed…

When Jobs was in charge – there was nothing like this.

Do you know what this crusade of Apple’s against independent developers gets me thinking about? A fight of the iOS ecosystem against the App Store ecosystem! The former gradually absorbs the juiciest, most profitable markets of the latter. And it looks all the more unsavory given that it is thanks to the App Store that the iOS platform has risen to now make up the basis of the business of the company. Without it, Apple would have had just another failed project – the kind of which there have been many in the history of the IT business.

It all reminds me a little of the infamous letter of Steve Jobs that announced the ‘holy war‘ against Google; in particular one sentence within it: ‘Tie all our products together, so we further lock customers into our ecosystem’.

Probably only Mr. Jobs himself knows exactly what he meant by that. But though he was originally against third-party apps for the iPhone (he later changed his mind), I’ve no doubt whatsoever that among his greatest expectations were those he vested in independent developers: to have their inspiration and resources help create for Apple the best ecosystem. And one thing’s for sure, Jobs wouldn’t have allowed Apple to transform itself into a self-important dictator and turn on the very developers that helped it and subject them to out-and-out discrimination.

I’ve already said this above, but I’ll say it again: I respect Apple. And I have a feeling that there are no issues in our relations we can’t resolve. Apple could opt for a sensible compromise and reconsider the unfair rules of the game. This would make its platform even stronger by permitting independent developers to supply to it full-fledged apps so as to serve the needs of its millions of users optimally.

Finally, please support us in this struggle to secure your right to choose exactly what you want, not what one large corporation decides is best for you. And stay tuned. I’ll be back with news re the FAS’s verdict once it arrives…

Patently great work.

Last month was a great month for K-intellectual property. So nice to get such good news to brighten up dull, damp, dreary March days.

But we’ve had other great months IP-wise of late too…

In September of last year, for the second year in a row we were included in the Derwent Top 100 Global Innovators listing, making us the first – and only – Russian company to get onto this meticulously researched list of the world’s 100 most innovative organizations! Hurray!

A few details about this top-100: Every year the independent U.S. company Clarivate Analytics chooses its most innovational companies in the world based on the quality of their patent portfolios. In particular, Clarivate selects its top-100 based on the following four criteria:

  1. How successful a company is with its patent applications in actually being granted patents;
  2. How global a company’s innovations are;
  3. How often a company’s patents are cited elsewhere (in applications of other IT companies); and
  4. The total number of patents a company has.

This year eight IT players made the list: Amazon, Facebook, Google, Microsoft, Oracle, Symantec, Tencent and us! Nice to be rubbing shoulders with such worthy contemporaries!

Now for an update to the numbers of our IP team, who never cease to amaze with their hard work and successful results: Our patent practice was established back in 2005; since then our patent portfolio has grown from 0 to 930+ patents obtained in Russia, the U.S., Europe, China and Japan! Besides, we have more than 500 patent applications pending; we’ve won nine court cases, two are ongoing, and we’ve lost none!

In short, we continue to fight – and beat – patent trolls. Trolls – take note!

That’s all for today folks. See you again tomorrow!…

Enter your email address to subscribe to this blog
(Required)

Victoria Falls 2020.

Across desolate desert we drove, down Skeleton Coast we cruised, over dusty dunes we danced. All a bit… dry. It was time for something very wet. And it can’t get much wetter than the Victoria Falls in Southern Africa, so that’s just where we were headed next – on the border between Zambia and Zimbabwe.

Victoria Falls aren’t the largest or tallest waterfalls in the world. Nor are they the most powerful in terms of flow rate. However, they do come out the clear winner in another category – the area of the falling water: around 1.8km at ~100+ meters. Which adds up to a most grandiose body of falling water – especially when the level of the Zambezi River is high during rain season. Meanwhile the mid-level water looks like this:

Read on…

More good news from the IP frontline.

I couldn’t help but notice the buzz our latest patent news had gotten about our patent lawyers’ amazing win :). So I’m excited to keep the ball rolling with news of another bombshell victory just a few days later…

We reign victorious in a very important patent lawsuit again! This time against Uniloc (the same Uniloc that managed to snake $388 mln from Microsoft). You should know they sued us over the same patent in 2018, but we came out on top.

Recently, during the negotiation process of yet another patent infringement lawsuit filed by Uniloc, we received a message from the company’s representatives that they’re tired of fighting and ready to end this. Meaning: they’re ready to drop the suit if we are. Of course we were, only without the red tape and within the hour. So we drafted a joint statement on the spot for ‘dismissal with prejudice’, which is a final judgement meaning the case is not subject to further action.

Now to get down to brass tacks…

According to Uniloc, the software license and settings management software used in our My Kaspersky license manager was ‘stepping on the toes’ of other patents. My Kaspersky is a web service to remotely renew subscriptions, launch scans, get product reports, and do all sorts of other useful stuff.

Below is a list of the patents containing descriptions of configurable settings for authorized users. The general idea is that a user with several devices who configures their settings on one can then open the product on another and the settings are already saved. All of these patents (with a priority date of 1998) were acquired from IBM. They had 31 respondents, including Akamai, SAP (represented by subsidiary Concur Technologies), Oracle (represented by subsidiary Netsuite), Ubisoft, Tencent (represented by subsidiary Riot Games), and Zendesk.

US6324578
US7069293
US6510466
US6728766

Expert analysis put our potential damages at $7 million, assuming a claim amount of $90 million.

This was a long-haul case starting back in 2016, but it was temporarily put on hold because the patents in one of the claims processes started before us were invalidated. A year later, the United States District Court of Texas confirmed the invalidation of two patents: `766 and `466, but upheld `578 and `293. Regardless, this was still a win for us, even if we were only involved indirectly. It’s important to understand that when patents ‘survive’ the court of appeals, trolls start doubling down on respondents. However, Uniloc withdrew its claims against us, all the while continuing litigation against other companies. This court of appeals decision was one of three key points on our path to victory. We also helped other companies getting sued to formulate their arguments, as we held a stake in their verdicts as well.

The second major point was our case, which Uniloc was already well acquainted with. We had to keep it ironclad to hold up against all their pressure.

And third was an eight-hour face-to-face mediation with the Uniloc team.

Note that Uniloc revoked its claims exactly one week after GBAS closed its case against us. That just goes to show that our reputation as an uncompromising destroyer of dubious patent practice proceeds us. And I couldn’t be happier!

By the way, this was just one of three lawsuits we’ve been tangled up in against Uniloc, all of which ended in our favor — 3:0.

Our overall patent lawsuit score is 9:0 (not counting pre-trial dismissed claims).

1:0 IPAT v Kaspersky
2:0 IPAT v Digital River (indemnity)
3:0 Lodsys v Kaspersky
4:0 Device Security v Kaspersky
5:0 Wetro Lan v Kaspersky
6:0 Uniloc (1) v Kaspersky
7:0 GBAS v Kaspersky
8:0 Uniloc (3) v Kaspersky
9:0 Uniloc (2) v Kaspersky (the lawsuit I’m writing about here).

So there you have it. Don’t bother wasting your time or money.

Namibian quivering aloes and hungry cheetahs.

Enough about dead nature (rocks). Now for some nature that’s alive. And let’s begin with trees.

Yet another absolutely wonderful tourist attraction in Namibia is the aloe Quiver Tree Forest. It comprises around 250 specimens of aloidendron dichotomum, known locally as the quiver tree. And it’s amazing (just like so many other things in Namibia, an amazing country)! The quiver trees here are huge and, according to internet, live for 200-300 years (how does the internet know? It’ll only turn 30 soon:).

But let’s get back on topic. Wanna see the photos of the mentioned above aloidendron dichotomum?

Read on…

A playground for giants’ children.

Don’t hope there won’t be any more Namibian stories :).

Last time, I promised to elaborate on a rock theme. Well, here you go!… in the Giant’s Playground.

It’s the perfect name for this place. Just imagine – giants that once inhabited our planet arranged here a playground for their children, where they frolicked as all children do, and played with toy blocks. Well this is what’s left of them:

Read on…

Swimming pool in the desert.

It’s time I wrote a few things about Namibian ‘lodges’. I’m afraid I’ve practically no photos thereof as we’d check in late in the evening and leave at dawn. However, at the Fish River Canyon, we planned for an early night and late rise, since our next day’s trip was going to be quite short – only 270km. The place was pretty good: Canyon Lodge Gondwana. Reception and the restaurant and bar are in one building, while the guesthouses are set in a most picturesque landscaped setting:

Read on…

Amazing ancient artifacts of Santorini.

It’s been a while since we’ve had any excavation news from the Minoan Bronze Age settlement of Akrotiri. But that doesn’t mean the archaeologists there aren’t still working away diligently. In fact, today I’ll show you how they’ve been continuing to expand our understanding of the ancient world.

You might be asking yourself: why Akrotiri, and not some other ancient city? Here’s a synopsis if you’ve missed my past posts.

In the Aegean Sea, the island of Santorini is probably best known for its Insta-friendly white houses, blue roofs, and breathtaking sunsets. But what a lot of people don’t know is that the island was once the site of one of mankind’s most significant natural disasters. Around 3,600 years ago, the Theran eruption destroyed a flourishing ancient culture. When excavations began here in the mid-20th century, archaeologists discovered an amazingly well-preserved city buried in volcanic ash, including two and three-story buildings. The settlement was incredibly advanced for the time, boasting structures with built-in sewage and water supply lines (I repeat: three thousand six hundred years ago!). Researchers have unearthed frescoes, pottery, furniture and numerous other artifacts attesting to the unbelievable cultural advancement of this ancient seaside society.

But when archaeology budgets were cut in Greece, excavations stopped due to lack of funding. Here and there some minor digging continued, but overall the project went into conversation mode. That’s where my obsession with the excavation begins, in 2006, when I first got acquainted with the settlement’s history. And when I put my mind to making the world a better place in some specific way, I get it done (or in this case, started!). So in 2016, lo and behold, excavations were resumed, after more than a decade, with our financial support! That’s how I ended up getting a chance to do a little digging myself, and dig I did! I even discovered a Cycladic statuette dated ~5,000 years old. Now every year we learn more and more about how the island’s ancient inhabitants lived.

So what were the highlights of 2019? There’s lots of fascinating progress to share in different areas:

Read on…