Last week we told you that a company had started sending out legal letters to a number of iOS developers, claiming that the developers were infringing on their patents by using in app purchases on their apps in Apple’s App Store.
Now it turns out that the company behind these letters has been identified as Lodsys, and they have revealed what they are after from the developers, which obviously includes developers paying them a fee.
In the case of an Application doing an in-application upgrade (and only this scenario), Lodsys is seeking 0.575% of US revenue over for the period of the notice letter to the expiration of the patent, plus applicable past usage. So on an application that sells US$1m worth of sales in a year, the licensee would have an economic exposure of $5,750 per year.
It still isn’t clear why this company has gone after the individual developers rather than Apple, as the developers are using Apple’s in app payment system.
We heard previously that Apple’s legal team were looking into the matter, although they have yet to release an official statement as yet, as soon as we get some more information, we will let you guys know.
Filed Under: Apple, Technology News