When the BlackBerry debuted in 1999, carrying one was a hallmark of powerful executives and savvy technophiles.Most executives that wears ID lanyards might have already own a Blackberry.
People who purchased one either needed or wanted constant access to e-mail, a calendar and a phone. The BlackBerry’s manufacturer, Research in Motion (RIM), reported only 25,000 subscribers in that first year. But since then, its popularity has skyrocketed.
 Image courtesy RIM |
In September 2005, RIM reported 3.65 million subscribers, and users describe being addicted to the devices. The BlackBerry has even brought new slang to the English language. There are words for flirting via BlackBerry (blirting), repetitive motion injuries from too much BlackBerry use (BlackBerry thumb) and unwisely using one’s BlackBerry while intoxicated (drunk-Berrying). While some people credit the BlackBerry with letting them get out of the office and spend time with friends and family, others accuse them of allowing work to infiltrate every moment of free time.
In this article, we’ll examine the “push” technology at the center of the device’s popularity, RIM’s former dispute with patent holder NTP Incorporated and its current dispute with Visto Corporation. We’ll also explore BlackBerry hardware and software.
“Push” Technology
RIM Revenue
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A PDA does a lot of the same things a BlackBerry does, and the PDA made its
debut several years before the BlackBerry. But until recently, the only way to make the information on most PDAs match the
information on a person’s computer was to automatically or manuallysync the PDA. This could be time-consuming and inconvenient. It could also lead to exactly the conflicts that having a PDA is supposed to prevent. For example, a manager might schedule a meeting on the PDA, not knowing that an assistant had just scheduled a meeting for the same time on a networked calendar.
A BlackBerry, on the other hand, does everything a PDA can do, and it syncs itself continually throughpush technology. BlackBerry Enterprise Server or Desktop Redirector software “pushes,” or redirects, new e-mail, calendar updates, documents and other data straight to the user over the Internet and the cell phone network.
First, the software senses that a new message has arrived or the data has changed. Then, it compresses, packages and redirects the information to the handheld unit. The server uses hypertext transfer protocol (HTTP) and transmission control protocol (TCP) to communicate with the handhelds. It also encrypts the data with triple data encryption standard (DES) or advanced encryption standard (AES).
 A person can send and receive messages and phone calls on a BlackBerry from virtually any location. |
The software determines the capabilities of the BlackBerry and lets people establish criteria for the information they want to have delivered. The criteria can include message type and size, specific senders and updates to specific programs or databases.
Once all of the parameters have been set, the software waits for updated content. When a new message or other data arrives, the software formats the information for transmission to and display on the BlackBerry. It packages e-mail messages into a kind of electronic envelope so the user can decide whether to open or retrieve the rest of the message.
| BlackBerry Devices in the United States70 percent of BlackBerry subscribers live in the United States |
The BlackBerry listens for new information and notifies the user when it arrives by vibrating, changing an icon on the screen or turning on a light. The BlackBerry does not poll the server to look for updates. It simply waits for the update to arrive and notifies the user when it does. With e-mail, a copy of each message also goes to the user’s inbox on the computer, but the e-mail client can mark the message as read once the user reads it on the BlackBerry.
People describe BlackBerry use as an addiction, and this is why. Not only do they give people constant access to their phones, they also provide continual updates to e-mail, calendars and other tools.
Lately, RIM had been dealing with issues of patent infringement.
The Patent Dispute
Patent law can be tricky, and the claims companies make in their patents can be hard to quantify. But here is the basic dilemma that RIM and the BlackBerry were facing — NTP Incorporated holds several patents for wireless e-mail technology. RIM’s push technology is similar to, but more complex than, the technology NTP has patented. NTP had accused RIM of patent infringement, and judges and juries agreed. The patent dispute and a delayed rollout of new BlackBerry models caused a slight slowdown in RIM’s rapid growth.
The dispute between NTP and RIM started in 2001, when NTP sued RIM. Courts have generally ruled in NTP’s favor, granting monetary settlements and injunctions against RIM. RIM, however, has appealed the rulings and had requested a review of NTP’s patents. The United States Patent and Trademark Office (USPTO) has overturned several of the patents in question.
 People compose e-mail on a BlackBerry using a QWERTY keyboard and typing with their thumbs. Unfortunately, the BlackBerry’s e-mail capabilities are the focus of a patent dispute. |
In November of 2005, a United States district judge ruled that a previous monetary settlement between the two companies was not enforceable. On January 23, 2006, the United States Supreme Court turned down RIM’s request to review the district court ruling. The big concern was that this decision would lead to an injunction prohibiting BlackBerry sales and service in the United States. The U.S. Department of Justice requested a 90-day stay for essential government employees in the event of an injunction. RIM suggested the possibility of a software work-around that would not infringe on NTP’s patents, and RIM and NTP began negotiations through a court-appointed mediator.
RIM and NTP have settled their dispute. The cost — $612.5 million. The result — NTP grants RIM a license to NTP’s patents. According to a press release issued by both companies on March 3, 2006, here’s the agreement:
“The licensing and settlement agreement relates to all patents owned and controlled by NTP and covers all of RIM’s products, services and technologies. NTP grants RIM an unfettered right to continue its business, including its BlackBerry® related business. The resolution permits RIM and its partners to sell RIM products and services completely free and clear of any claim by NTP, including any claims that NTP may have against wireless carriers, channel partners, suppliers or customers in relation to RIM products or services, (including BlackBerry Connect and Built-In technology), or in relation to third party products and services, to the extent they are used in connection with RIM products and services.”
Next, we’ll look at the BlackBerry’s hardware and software.
| Future Cases?Although now settled, the RIM/NTP dispute raises the question of why other companies that provide smart phones with push technology are not in court as well. Some of these companies have licenses from NTP to use patented technology. Others use technology that does not conflict with NTP’s patents. Regardless of whether an injunction eventually shuts down RIM’s business in the United States, more companies are likely to introduce PDAs and smart phones with push e-mail and data capabilities, until constant access to e-mail and an updated calendar is as common as a cellphone. |