Irvine’s Maz Ignites Row Over Encryption Software
Irvine Sensors Debuts Camera; Telelogic Lands Telecom Deal
TECHNOLOGY by Andrew Simons
Little Maz Technologies Inc., an Irvine-based maker of encryption software, is causing a big headache for Westlake Village’s PC Dynamics Inc.
Maz recently sent a letter to PC Dynamics, another small maker of encryption software, saying PC Dynamics based one of its products on a computer security technology covered by a Maz patent.
The patent is for “a method of encrypting an electronic document which is open in an application program running on a general purpose computer,” according to the letter.
Nonsense, says Peter Avritch, PC Dynamics’ chief executive.
“This is a technology that’s been around since 1978,” said Avritch, who added many companies have used the same method of safeguarding data before.
But Maz isn’t kidding about the technology, saying in the letter that it wants PC Dynamics to fork over $25,000 for a patent license. A lawyer for Maz dismissed Avritch’s claims about the technology.
PC Dynamics “hasn’t even had a patent attorney look at this,” said Steven Sereboff, an attorney with Thousand Oaks’ Koppel, Jacobs, Patrick & Heybel who represents Maz.
Avritch has some choice words in response: “I’m going call them a bully. They want you to pay the fee because they know it costs just that much, if not more, to secure an attorney to even look at it.”
The real culprit in the case is the U.S. Patent and Trademark Office, according to Avritch. The agency simply doesn’t have enough people to properly research the tens of thousands of patent claims filed every year.
Because of the shortage, some patent claims fall through the cracks. That’s what happened with Maz’s patent, Avritch argues. A patent filed in 1993 does the same thing as the Maz patent, he said.
Maz fires back: “This guy’s just going straight to the press with this story. He hasn’t even read the claims of the patent,” Sereboff said.
Maz only is asking for a one-time fee, which the company sees as nominal for a business. “These are things that are a normal cost of business for a company,” Sereboff said.
So far, attorneys for Avritch and Maz have exchanged a few amicable letters and no lawsuits have been filed.
“I know with these types of things, it gets considerably less friendly as it goes on,” Avritch said. “But they picked a tenacious son of a gun when they chose to pick on me.”
Irvine Sensors’ Hot Camera
A unit of Costa Mesa’s Irvine Sensors Corp. said it recently completed production of a line of tiny video cameras that take pictures by capturing heat emission.
The new technology could be used for night vision weapons and small unmanned drone aircraft. The new video camera was developed for use in a government program and now is being made available for production orders, principally for government use.
The new camera is the first product in a family of products from the Irvine Sensors subsidiary, called Vision Systems, which are set to use thermal imaging systems. This specific camera is thought to be the world’s smallest, lowest-power thermal camera.
“In addition to our own investments in the (thermal camera) technology, a number of U.S. government agencies have supported its development and are continuing and broadening such support with a view to making this capability available to meet national needs as rapidly as possible,” said Robert Richards, chief executive of Irvine Sensors.
The new camera comes after a string of promising products from Irvine Sensors that failed to live up to expectations. Last year, the company saw the bankruptcy of its Silicon Film Technologies unit, which offered a canister that turned film cameras into digital ones.
Irvine Sensors has another big idea,what it calls a “super router.” The router, a networking device, boosts Internet speeds by cryogenically freezing the electronic switches inside the router’s circuitry. The idea is that the colder electronic signals get, the faster they go. The company is seeking funding to produce the router.
Telelogic Lands Contract
Sweden’s Telelogic AB, which has its U.S. unit in Irvine, landed a two-year, $1.5 million contract with an unnamed U.S. telecommunications company. Telelogic’s software helps large businesses cut down on software development costs.
The deal adds more than 500 new licenses for two of Telelogic’s applications that help manage system and requirements configurations, the company said. The contract also gives Telelogic a two-year maintenance and services pact worth more than $400,000 annually.
“This is a strategic win for Telelogic and demonstrates why Fortune 500 companies are elevating Telelogic to a preferred vendor status,” boasted Anders Lidbeck, Telelogic chief executive.
Magic Targets IBM Users
Israel’s Magic Software Enterprises Inc., which has its U.S. arm in Irvine, is looking to tap users of software and computers from IBM Corp. Magic, which makes software that assists developers in writing company-specific software, recently launched a new sales program designed to increase the number of Magic customers using IBM gear in their daily business.
“We want to make it easier for new partners to work with Magic Software,” said Menachem Hasfari, chief executive officer of Magic Software.
