Yahoo has been preparing to take “formal action” against Facebook over and unresolved patent claim. The homepage giant is claiming Facebook has violated its social networking and online advertising patents. Today, Yahoo has sued Facebook and released the following statement:
Yahoo! has invested substantial resources in research and development through the years, which has resulted in numerous patented inventions of technology that other companies have licensed. These technologies are the foundation of our business that engages over 700 million monthly unique visitors and represent the spirit of innovation upon which Yahoo! is built. Unfortunately, the matter with Facebook remains unresolved and we are compelled to seek redress in federal court. We are confident that we will prevail.
Talks with both companies had been in the works for the past couple of months, but an agreement could not be found. Facebook released the following statement.
We’re disappointed that Yahoo, a longtime business partner of Facebook and a company that has substantially benefitted from its association with Facebook, has decided to resort to litigation. Once again, we learned of Yahoo’s decision simultaneously with the media. We will defend ourselves vigorously against these puzzling actions.
All Things Digital’s Kara Swisher reports that Yahoo’s new chief executive Scott Thompson was behind the lawsuit against the social networking giant.
With Thompson’s takeover in January, the company has been restructured, with co-founder Jerry Yang and Chairman Roy Bostock leaving the company.
The lawsuit comes at a dangerous time for Facebook as the company prepares for its IPO. Yahoo used a similar tactic against Google when they were filing for IPO and managed to walk away with some pre-IPO shares.
The 10 patents Yahoo is using to sue Facebook can be found here
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