Netflix Sues Blockbuster Over Online Srvc

By Geoff Duncan April 5, 2006

Online DVD rental company Netflix has filed suit against rival video rental firm Blockbuster claiming Blockbuster’s online rental business infringes upon Netflix’s patented business methodologies.

If you’re wondering why Netflix waited until 18 months after Blockbuster started up its own online DVD rental business to file suit, it’s because Netflix was only just awarded a key patent for its business model. Netflix’s claims are based on Blockbuster infringing on Netflix’s patent; it’s asking a California federal judge to shutter Blockbuster’s online rental service and award Netflix damages for infringement.

In 2003, Netflix was awarded a patent on the method by which Netflix customers select and receive a a particular number of rental titles, and return them for different selections.

Since launching its online rental service in August 2004, Blockbuster has shoveled more than $300 million into developing its business, with a almost maniacal determination to do in upstart Netflix. But far from going under, Netflix has thrived under the heavyweight’s competition (growing its subscriber base to 4.2 million, compared to the 1 million users Blockbuster has managed to sign up) and Blockbuster has been forced to roll back its marketing due to significant company debts of more than $1 billion.

Editors' Recommendations

Former Digital Trends Contributor

Geoff Duncan writes, programs, edits, plays music, and delights in making software misbehave. He's probably the only member…

Smart Home

Google Nest Hub still lacks a camera, but it can watch over you while you sleep

The Google Nest Hub on a table.

It knows when you are sleeping, it knows when you're awake ...

Google's latest smart display is breaking new ground in the health and wellness space. The Nest Hub (2nd Gen) is packed with useful features, but its newest addition is its Sleep Sensing capability. This feature allows the Nest Hub (2nd Gen) to know when you're asleep, when you're awake, and even what time you go to bed -- all without an onboard camera.

Smart Home

Are your kids choosing video games over homework? Smart home tech can help

Working from home for close to a year now has brought this question to my mind: Are kids playing video games now more than ever because of the pandemic? I’m brining up this idea because of my neighbor's son, who is constantly playing video games whenever I’m working in my home office. In fact, I can hear him chatting with his friends on a daily basis -- as well as yelling whenever he dies in a battle.

Schools around my area plan to offer a hybrid strategy, where students have in-school sessions paired with virtual learning. At the moment, however, it seems like he’s home more than at school. Even though I don’t have children, it made me wonder how working parents, especially who that don’t have the option to work from home, can ensure that their children are doing their homework and not playing video games.

Health & Fitness

Are connected home gyms handcuffed by their tight control over data?

Boxing in front of the Mirror.

I exercise on an iFit-powered treadmill, wear a Garmin fitness watch, and follow my athlete friends on Strava. I love all the data that I am accruing on my health and fitness, but I am increasingly frustrated with how siloed these ecosystems are. I cannot easily send my treadmill data to my Apple Watch, nor can I send my Apple Watch data to iFit on my treadmill. It's maddening because, at the end of the day, people want to better themselves the best way they can.

This tight control of your fitness data can be a significant detriment to using a connected home gym, but it doesn't have to be a deal-breaker. Not all connected home gym equipment restricts your fitness data, and those that do, often have platforms that offer the analysis and social sharing that you want. We break down some of the disadvantages of using a closed platform and then highlight the ways some of these companies are encouraging sharing within their own community.
Sharing, if allowed, is time-consuming
Before you jump into the connected gym market, you should consider how important sharing your data between services like Strava is to you. Not all fitness trackers and connected home gym platforms support the open and equal sharing of data. Garmin leads the way with a platform that both imports and exports data to other platforms. Peloton also is open, automatically syncing your workout data to Strava.