Twitter Threatens to Sue Meta over Threads Platform

(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
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Twitter Threatens to Sue Meta over Threads Platform

(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)

Twitter has threatened to sue Meta Platforms over its new Threads platform in a letter sent to the Facebook parent's CEO Mark Zuckerberg by Twitter's lawyer Alex Spiro. Meta, which launched Threads on Wednesday and has logged more than 30 million sign ups, looks to take on Elon Musk's Twitter by leveraging Instagram's billions of users.
Spiro, in his letter, accused Meta of hiring former Twitter employees who "had and continue to have access to Twitter's trade secrets and other highly confidential information," News website Semafor first reported.
"Twitter intends to strictly enforce its intellectual property rights, and demands that Meta take immediate steps to stop using any Twitter trade secrets or other highly confidential information," Spiro wrote in the letter. A Reuters source with knowledge of the letter confirmed its contents on Thursday. Spiro did not respond to a Reuters request for comment. "No one on the Threads engineering team is a former Twitter employee — that's just not a thing," Meta spokesperson Andy Stone said in a Threads post.
A former senior Twitter employee told Reuters they were not aware of any former staffers working on Threads, nor any senior personnel who landed at Meta at all. Meanwhile, Twitter owner Musk said, "Competition is fine, cheating is not," in response to a tweet citing the news.
Meta owns Instagram as well as Facebook. Since Musk's takeover of the social media platform last October, Twitter has received competition from Mastodon and Bluesky among others. Threads' user interface, however, resembles the microblogging platform.
Still, Threads does not support keyword searches or direct messages. To press a trade secret theft claim against Meta, Twitter would need much more detail than what is in the letter, said intellectual property law experts including Stanford law professor Mark Lemley.
"The mere hiring of former Twitter employees (who Twitter itself laid off or drove away) and the fact that Facebook created a somewhat similar site is unlikely to support a trade secrets claim," he said.
Jeanne Fromer, a professor at New York University, said companies alleging trade secret theft must show they made reasonable efforts to protect their corporate secrets. Cases often revolve around secure systems that were circumvented in some way. The newest challenge to Twitter follows a series of chaotic decisions that have alienated both users and advertisers, including Musk's latest move to limit the number of tweets users can read per day.



Nintendo Switch Software to Be Playable on Successor Device

A logo of Nintendo is seen at a store in Shibuya district in Tokyo November 5, 2024. (AFP)
A logo of Nintendo is seen at a store in Shibuya district in Tokyo November 5, 2024. (AFP)
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Nintendo Switch Software to Be Playable on Successor Device

A logo of Nintendo is seen at a store in Shibuya district in Tokyo November 5, 2024. (AFP)
A logo of Nintendo is seen at a store in Shibuya district in Tokyo November 5, 2024. (AFP)

Nintendo President Shuntaro Furukawa said on Wednesday that software for the company's Switch console would be playable on the successor device.

The Kyoto-based gaming company has said it plans to make an announcement about a successor device during the financial year ending March 2025 but has not provided further details.

"Nintendo Switch is currently being played with by many customers so we decided it would be optimal for them to be able to play their Switch software on the successor model," Furukawa said.

"Customers will be able to enjoy the games they own and choose their next title from the lineup of games already on the market," Furukawa told a management policy briefing.

Offering backwards compatibility could help encourage consumers to transition to the new device and boost the appeal of existing software.

"It's not a big surprise but might be another hint the next device will be similar to the current one," said Serkan Toto, founder of the Kantan Games consultancy.

Nintendo has sold more than 1.3 billion software units for the Switch, which is in its eighth year on the market and has an install base of more than 145 million units.

The Kyoto-based gaming company has had success in extending the lifecycle of the hybrid home-portable Switch with hit games and a series of hardware refreshes.

Hardware sales are losing steam, with Nintendo on Tuesday cutting its full-year sales Switch forecast by 7% to 12.5 million units ahead of the key year-end shopping season.

"We are not surprised by the miss on the (hardware) side, given that Nintendo's target markets appear fairly saturated in most geographies," Jefferies analyst Atul Goyal wrote in a client note.

"Software sales picked up in 2Q and are expected to continue in 3Q," Goyal wrote.

Nintendo sold 39.6 million software units in the second quarter ended September, a 29% increase compared to three months earlier.

The company's shares climbed 6% in Tokyo, compared to a 3% rise in the benchmark index.