Skip to main content

Lawsuit alleges Google stole idea for Project Loon from Arizona company

alphabet-project-loon
Image used with permission by copyright holder
Space Data Corporation has put a pin in Google’s balloons. The Arizona company is suing Google; its parent company, Alphabet; and experimental labs X over Project Loon, a moonshot experiment to provide internet access via solar-powered balloons.

X, formerly known as Google X before the Alphabet Inc. reshuffling, attempts to make such moonshot projects a reality. Current and previous projects include Glass, which became Google Glass; Google Watch, which turned into Android Wear; self-driving cars; and Project Wing.

Recommended Videos

Project Loon is also a current wild experiment that uses large solar-powered balloons with wireless routers that fly through the earth’s stratosphere, above planes and weather, to bring internet access to anyone who needs it.

But Space Data Corporation says Google stole its trade secrets after a meeting in 2007 between company executives — the Arizona company has its own balloon technology and provides wireless services to oil companies and the U.S. Armed Services, according to Fortune. And so Space Data claims Google has been infringing on two of its patents related to making those airborne networks and “safely retrieving ‘lighter-than-air’ objects from the sky.”

Google contemplated purchasing Space Data Corporation back in 2007, and while it was deciding, the two companies signed a nondisclosure agreement, or NDA. While discussions continued, Space Data gave away its trade secrets, business concepts, and confidential information about its balloon technology to Google.

A Google spokesperson told Digital Trends the company respectfully declines “to comment at this time as we’re still reviewing.”

Alphabet CEO Larry Page and president Sergey Brin, who are also Google’s co-founders, attended these talks on February 15, 2008, along with two other Google employees, according to Fortune citing the lawsuit documents. They were given demonstrations, and there’s even a photograph of Brin with one of Space Data’s balloons.

A few days later, on February 24 of that year, a Google employee told Space Data that the search giant would “not engage in further discussions” with the Arizona company. The reason? According to the lawsuit, Google didn’t like that Space Data blathered about its business to the Wall Street journal in a February 20, 2008, article — the article even mentioned that Google was interested in contracting with or acquiring the company.

After discussions ended, the lawsuit claims that unofficial work on Project Loon began, although the project was officially announced in 2013. Space Data says Project Loon has damaged its reputation and business “among potential and existing customers, business partners, investors, and in the industry in general.”

It’s unclear why the company waited so long, but the lawsuit is a means to put an end to Project Loon — to stop Google from using the company’s trade secrets. Of course, the company is seeking an unspecified amount of compensation and punitive damages.

Julian Chokkattu
Former Digital Trends Contributor
Julian is the mobile and wearables editor at Digital Trends, covering smartphones, fitness trackers, smartwatches, and more…
Intuit QuickBooks summer savings have us excited for bookkeeping and more
Intuit QuickBooks Online and Payroll Indepence Day deals used by business owner

Being honest, accounting, bookkeeping, and various administrative tasks aren't exactly what most people would call exciting, even if they own a business. It's something you have to do, but not that you necessarily want to do. But you absolutely have to stay on top of it; otherwise, things could get out of hand later, like when you're filing taxes or trying to calculate expenses. As a leader in small business fintech, Intuit QuickBooks is helping over 7 million customers worldwide do precisely that. From a startup to scaling up, the Intuit QuickBooks ecosystem delivers products and services that are a core component of small business growth. Accounting, payroll, payments, capital, and even marketing assistance via Mailchimp are just a few examples of what you can expect from a QuickBooks subscription. Thanks to its current Summer Sale, you can save a never-before-seen 70% off Intuit QuickBooks plans. That offer and these prices excite us for something that, typically, wouldn't be considered exciting.

 
These Intuit QuickBooks Summer Savings are unprecedented
This is the first time we've ever seen prices this low, and it may actually be the only time it happens. Time will tell, but the point is that you can save big on QuickBooks plans that you need for your business. The deal offers 70% off QuickBooks Online for your first three months. With Simple Start -- the base plan -- you get your first three months for just $9 per month instead of $30. That saves you $21 monthly for $63 across your initial three months of service. By comparison, the Essentials tier is only $18 per month instead of $60, and the Plus tier is only $27 per month instead of $90. If you want to splurge and go with Advanced, it's only $60 monthly for your first three months instead of $20h. Those are some incredible savings.

Read more
Grammarly should be your next AI writing partner for all things text
Grammarly-featured-image-with-creative

Not everyone is a writer, and that's okay. However, we do a lot of writing throughout our lives, from essays and school papers to dissertations, work reports, letters, emails, and beyond. Even with the advent of digital platforms, there's still a lot of writing to be done. But some tools can help significantly, like Grammarly.

Despite what the name espouses, Grammarly helps you with a whole lot more than just basic writing structure and grammar. That's thanks to an integrated AI writing assistant that can enhance your writing skills and improve the quality of the content you create. You'll get real-time suggestions about grammar, spelling errors, punctuation, and style. Ultimately, that leads to better writing from you with the complete confidence and clarity of a skilled artisan. Let's take a closer look at what Grammarly has to offer, well, everyone.

Read more
What is Microsoft Teams? How to use the collaboration app
A close-up of someone using Microsoft Teams on a laptop for a videoconference.

Online team collaboration is the new norm as companies spread their workforce across the globe. Gone are the days of primarily relying on group emails, as teams can now work together in real time using an instant chat-style interface, no matter where they are.

Using Microsoft Teams affords video conferencing, real-time discussions, document sharing and editing, and more for companies and corporations. It's one of many collaboration tools designed to bring company workers together in an online space. It’s not designed for communicating with family and friends, but for colleagues and clients.

Read more