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Now Facebook Sues Yahoo For Patent Infringement

Social networking giant Facebook has sued Yahoo in San Francisco's federal court accusing the internet behemoth of infringing its ten patents.

The move seems to have inspired from Yahoo’s claims in which Yahoo filled a lawsuit against Facebook a month ago accusing Facebook of copying its ten patents. That law suit came when Facebook was looking to launch its IPO and the patents include on-line advertising technology.

The law suit

According to Facebook’s claims yahoo infringed its on-line advertisement business, which accounts 80 per cent of Yahoo’s 2011 revenue. The law suit also states that Yahoo’s photo sharing service Flickr also infringed various Facebook patents.

The patents involve identifying people in the photo, creating personalized news feeds and ability of connecting with other users. The US government data base suggests that, Mark Zuckerberg is one of the creators of a method of tagging digital media.

Yahoo's Reactions after law suit

After the law suit Yahoo's spokesperson Eric Berman said, “Facebook's counterclaim is nothing more than a cynical attempt to distract from the weakness of its defense.”

Facebook’s general counsel,Ted Ullyot retorted, “From the outset, we said we would defend ourselves vigorously against Yahoo's lawsuit, and today we filed our answer as well as counter-claims against Yahoo for infringing ten of Facebook's patents”

Impact of the lawsuit

This recent patent infringement battle between Yahoo and Facebook is another addition to the long list of patent litigations which are going on. Companies like Apple Inc, Microsoft Corp and Motorola Mobility Holdings Inc are tangled in patent violation battle already.

Whenever these types of claims are drafted they impact the shares of the company. After the lawsuit Yahoo shares fell to $15.09 by 2.4 per cent in the afternoon trading on Tuesday and stands at $15.27 at the moment.