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$5000 To License GIFs?
Dateline: 08/30/99
Note: Links to some of the references in this article are no longer available on the Web.

“...this latest resurgence of the GIF controversy serves as fuel for the fire to get the PNG format the acceptance it deserves.”

The fact that the LZW compression technology used for the GIF format is patented is not new information. A good number of individuals who deal with graphics software understand that the software developers are required to purchase a license for the use of this patented technology if they want to provide read/write capability for the GIF format. However, a recent statement from Unisys (since removed), at first glance, seems to imply that anyone using GIF images on a web site may be required to purchase a $5000 to $7,500 license from Unisys. As a result, some web developers are contemplating converting all their GIF images to non-LZW compression formats such as JPEG and PNG. One individual has even gone so far as to propose a "Burn All GIFs Day".

Are they overreacting? I'll attempt to answer this question from a graphics software user's standpoint. First, let's take a look at the Burn All GIFs Day page where it says:

Unisys is now demanding that web sites pay them $5000 or more to use these now-obsolete GIF graphics.

Unisys is not asking for royalty payments on products they developed, or even on software based on their products. They are demanding payment from web sites that use independently developed software to create GIFs.

It's easy to overlook the key words in the above statement. That is, "They are demanding payment from web sites that use independently developed software to create GIFs."

The Unisys statement that inspired this page states that the license is intended for individuals using unlicensed software:

If you use any of the types of images specified above on your Web site that you received from an unlicensed software developer or service, you should have a license from Unisys to use the LZW patent.

In other words, if you are producing GIFs with a licensed program, you have nothing to worry about. It's fairly safe to assume that the major commercial software vendors will have licensed the use of GIF in their software. The question remains as to whether individuals using GIFs created with noncommercial software, such as freeware or shareware, are impacted by this.

If you have a concern, my suggestion would be that you consult the developer of the software before doing something as drastic as removing all the GIFs from your web site or spending $5,000 to $7,500 on a license. Even if your Web site does include GIFs of questionable origin, it would be extremely difficult to prove, and there is also the question of whether it is even enforceable at all.*

Meanwhile, this latest resurgence of the GIF controversy serves as fuel for the fire to get the PNG format the acceptance it deserves. PNG is undoubtedly superior to the GIF format for use on the Web, but the inconsistencies in browser support for the format prohibit its widespread use. In addition, the fact that PNG does not support simple animation has further increased the popularity of the GIF format.

Is this latest issue enough to undermine the popularity of the GIF format? Only time will tell, but it can't hurt to inform yourself now about the PNG format while we all wait to see how this unfolds. I'll post updates to this issue here as they become available, meanwhile, you're welcome to discuss it in the forum.

*Added 8/31/99:
For clarification on the shareware and freeware issue, you should read this post from Slashdot user Roblimo who went straight to the General Patent and Technology Counsel for Unisys, Mark Starr.

Added 9/02/99
About.com's IT Guide offers further explanation (since removed) of the licensing fees in a statement from Unisys PR spokesperson, Oliver Pitcher. This statement makes it very clear that the license is intended primarily for large corporations who develop their own software in-house.

Related Links:

Resources for Webmasters
If you're ready to give up your GIFs, this is where you'll find the resources you need to make the switch.

Burn all GIFs Day
Don Marti proposes that all GIF users should "gather at Unisys and burn all their GIF files, freeing the web of this silly patent and this useless, litigious company once and for all."

The GIF Controversy: A Software Developer's Perspective
A detailed history of the GIF controversy.

Sue Chastain
Your Guide to Graphics Software
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