Since the launch of the ITunes App store back in summer 2008 iOS developers didn't experience any significant legal patent problems. That remained the case until May 13, 2011, when Lodnys, the in-app purchase patent holder, began to threaten several companies with legal action. These developers had  been informed that they had 21 days to license technology related to in-app purchasing systems. Obviously the news came out of the blue for these developers as up until that moment they had certain minor issues with Apple Inc. related to the rejection of certain apps or app reviewing delays, but nothing on such a serious legal scale.

Among the first victims were the makers of "PCalc Lite,"James Thomson and Patrick McCarron. Both were sent letters via FedEx claiming patent infringement related to iOS software. Specifically the complaint was about U.S.Patent No. 7222078 "Methods and Systems for Gathering Information from Units of a Commodity Across a Network. The in-app purchase feature itself was presented by Apple in 2009, initially to be used within paid apps only but later allowed to be utilized within free apps as well.

On May, 16 Lodsys explains its legal threats: Apple is licensed but IOS developers are not. Also Lodsys indicated that it considers both Google and Microsoft to be in the same situation as Apple. SO, to sum it up we have Apple, Google and Microsoft on one plate of a balance and Lodsys on the other and we have our struggle. Please contain any laughter or David vs. Goliath allusions. It seems easy to realize that Lodsys was trying to claim some pretty serious money, and could be construed as something of a “patent troll”. Whether this was the case or not remained to be seen.

On May, 17 Apple’s legal department was actively investigating the Lodsys threats and it was about this same time that many developers had begun wondering if Apple would actually step up and protect them or simply back away.

A week later, on May 18, Apple, because of Lodsys’ legal claims, temporarily suspended several iOS apps that utilized in-app purchasing features. To put it lightly people simply weren’t prepared for such an issue. At this time Lodsys’ appetites – in terms of financial compensation for the alleged patent infringement -- was officially expressed. Lodsys sought 0.575 percent of all U.S. revenue covering the period from the distribution of their initial notice letter to the expiration of their patent, as well as applicable usage fees. The company noted that this compensation would amount to $5,750 per year for an application that made $1 million in annual sales.

May, 20 – EFF – The Electronic Frontier Foundation – stepped up and said that Apple should support iOS developers from Lodsys’ patent threats. EFF staff attorney Julie Samuels published a blog post expressing concern over "Apple's failure to defend" third-party iOS developers who received letters from Lodsys last week accusing them of infringing on a patent that covers in-app purchasing functionality.

May, 23 - Apple sent a formal letter to Lodsys in which it asked the patent holder to cease legal threats against iOS developers who utilize in-app purchases. At last - Apple has taken a step to protect iOS developers. "Apple is undisputedly licensed to these patents and the App Makers are protected by that license," Bruce Sewell, Apple's senior vice president and general counsel, wrote in the letter to Lodsys.

May, 31 - Lodsys filed a patent infringement lawsuit against several iOS developers, making good on its threat to pursue legal action over the use of technology related to in-app purchasing. And sure enough the suite was filed with the U.S District Court for the Eastern District of Texas, a jurisdiction well known for providing a favorable outcome for patent holders.

June, 10 - In an effort to protect its iOS developers, Apple has filed a motion to intervene in legal action taken by patent-holder Lodsys over App Store in-app purchases. In its filing, Apple asserted that its iOS developers are covered by an existing license agreement with Lodsys. Developers reported being asked upon logging into the iTunesConnect application management service if they had any apps that “may have a legal issue” so developers would have a way of reporting any issues with Lodsys directly to Apple.

July, 26 - Lodsys targets new iOS developers as Apple awaits the court’s decision. The latest complaint, filed on July 22, sees one developer, Vietnamese company Wulven Games, dropped from the matter but five new ones added. Chief among the additions are Angry Birds developer Rovio and Electronic Arts, one of the largest and lucrative game publishers in the world. This move could signal increased confidence on Lodsys’ part in suing developers with extensive resources.

August, 1 - Mike Lee, a former Apple Inc. employee and founder of Netherlands-based development initiative Apperstadm has founded a coalition, codenamed "Operation Anthill," to help the iOS developer community fight back against legal threats from patent licensing companies like Lodsys. Lee has managed to form a group of about 60 people to help him with this effort. Thus, after several months of dealing with Lodsys’ legal actions individually, the iOS development community had finally decided to stand together and protect their interests from Lodsys and any new similar legal actions which they may take in the future.

"Intellectual Ventures and their ilk are many tentacled beasts who use thousands of shell companies to do their dirty work. When they send blood-sucking tentacles like Lodsys into our community, we need to cut them off," Lee wrote. "Eventually the head will figure out to stop losing tentacles."

He went on to explain the coalition's codename, noting that stepping on an anthill in Texas draws an attack from swarming, biting ants. "You could, in theory, crush them one by one, but it’s much easier to just avoid anthills," he said.

"Let App Makers be as the ants of East Texas, minding their business until someone invades their anthill. Then Swarm! Swarm! Swarm!" he continued. "We will let the patent trolls know: if you attack one indie, you attack all indies, and we will file every motion we can against you, we will attack your patents, and we will show you for the mafioso thugs you are."

If you are an iOS developer and this latest initiative resonates with your feelings regarding Lodsys’ recent legal claims, please don’t be shy. Support Operation Anthill, make yourself heard, and show your support.

By Artyom Diogtev, Head of Social Media