Local.com saw its stock price rise 52% today after it was awarded patent number 7,200,413 by the U.S. Patent and Trademark Office. According to the text of the patent, it covers what they term “Enhanced Directory Assistance”, which will deliver keyword specific ad referrals based on user input via operator, SMS, WAP, or voice.
This is in addition to their recently granted patent number 7,231,405, which covers crawling the web and geocoding location based content. This seems similar to a pending patent application that Google already has. For more info, Bill Slawski has an exhaustive list of Google’s local search patent applications including term definitions. He has a similar page focusing on Microsoft’s local search patents.
A lot of other patents have popped up in the local search space. Free 411’s Jingle Networks was recently granted a patent for rolling contextual advertisements before delivering directory assistance. Google recently applied for an ambitious local search patent.
Local search companies have already started having patent fights. London-based Geomas, owner of patent 5,930,474, which enables users to select information from a map, is using the patent in a suit against Verizon.
There’s some suspicion of how Local.com will be using these patents. However, in a rather unambiguous reference to the competition, CEO Heath Clarke states that “We encourage directory assistance and free 411 companies that are interested in using our intellectual property to enter into licensing agreements with Local.com.”





I don’t mind legitimate patents, but it seems like I could get one for placing baby wipes next to the toilet these days. I encourage anyone who would like to use this idea to contact me for licensing.
There’s got to be some way to fix things in the patent office, but I’m sure it’s a complicated process.
local.com sucks. they’re operating at a loss.
they should just sell themselves to a larger co. who can better utilize the co./domain name somehow
Wait a second. This directly encroaches the maps.google.com’s “Find Businesses” space. So when is Local.com gonna sue google maps?????????????????????
Very cool and good for them.
Oh cmon…this is ridiculous! The US patent system is out of control and plain BROKEN. The silliest things these days are getting patents. This does nothing to foster innovation, it actually damages it.
This is very disturbing. The fact that the patent department will issues patents for such ubiquitous processes serves no one. I don’t even think it serves Local.com as it is only likely to result in more indefensible lawsuits.
As I am starting a multi-local service for rentals, iRent2u.com, this has a direct impact on how I can provide localized services to my customers. Like hell am I going to limit my service because some company decides to try and create patents on sliced bread and air.
All this is, is another win for lawyers. We should be working to assist entrepreneurs instead of tie their hands.
Real reason why stock jumped high on high tech stock.
1. Milk prices is too damn expensive. It’s like having greedy Government or people don’t care about kids and young children without getting vitimin & calicum. You see when kids died of diseases. Can governmnet afford to pay health care and medical expense. Nope. Not even government special loans.
2. Gas prices is too damn expensive. All oil corporate executives have billion dollar homes, corporate jets, golden parachute, and don’t care about people. The higher oil prices that goes on middle east and the world. They will be violence, riot, suicide nuts and bolts. When you ask question on corporate executives.
Do you care about global warming and ice berg falling apart? Yes.
How about terrorism? Nope.
If stock jump higher on startups & technology. Most likely we can pay off food cheaper than babyboomers food. I think the babyboomers were responsible for economic corruption. They took all the money, hedge funds, and brought million dollar homes. Now, I assume about 70% 20-40 years old are now living parents home rather than newly million dollar homes. Half of them can’t get it. Only 50-90 years old can get better home loans. You will see lot of gray hairs people living American dream. You will see lexus.
Can babyboomers fix it? I don’t know.
I refuse to help babyboomers now. I’m creating startup company to help me reduce the milk and oil prices. Pay off kids health is better way to shape the economy.
Some prior art…we did a lot of the stuff described in this patent at Topix back in 2003-2004. Our ‘zurl’ local directory product (since shuttered) also did geolocation within a website and extended that locality info to other associated pages on the site. Although I agree with the other commenters that this stuff seems pretty obvious. There’s probably even earlier examples from others.
patients mean very little. Look at all the engines who use Page Rank. its how you execute and local.com sucks.
A few months ago, this patent might have had some perceived value but after the Supreme Court’s recent decision on obviousness and what is “patent worthy”, I strongly doubt it if this patent can survive a spirited challenge.
Also the patent only has one claim, which is extraordinarily uncommon for a non-design patent and generally happens only if the patent offices trashes everything that is initially claimed and throws you a bone.
But patents have different purpose too - to give an impression of value to the investors and to increase the stock value, and in this case at least that part seems to have worked well.
To Rich Skrenta:
The patent was filed on July 30, 2003 but a related provisional patent application was filed on July 31, 2002. So the prior art references to knock out this patent need to be earlier then July 2001. The references circa July 2002 can only be used to argue obviousness.
What an excellent and relevant domain name.
so they just become the buyout targets of the big 3 web co’s
This is complete crap. If they had real IP then fine, but they don’t. Hopefully this patent will be deemed useless. This is nothing more than extortion. Local.com should be ashamed if they start demanding licensing fees from companies. This bullshit has to stop. Compete on the quality of your product or go out of business.
Very much agree to Andrew patents really dont mean much and the credential are questionable the usability is so limited.
Beyondwww
Andrew is right about the execution, but I don’t know if they mean very little. They seem to have a lot of value to whoever has the patent, but it’s not going to earn them success in their relationship with their users.
What’s the point of having a patent system for software ideas? It’s like patenting “Development of resorts and hotels in the moon” and start selling licenses for whoever wants to build there.. This “patents are worthwhile because we had the ideia first” makes no sense to me.
We seem to be locked into a whacked patent system - because as soon as we rewrite the rules - we null out patents that have been making alot of people alot of money -
- since they already have the money from the bad patents they will fight to keep them …. (they already are)
-RB
The industry is simply too young still to have patents on all this stuff… it’s like patenting the hammer and nail - some of these things are obvious.
Jon
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