The Social Network All Over Again

The Social Network told the story of Facebook's legal troubles. Should traders worry that the same thing could happen to other major enterprises?

Now out on Blu-ray and DVD, The Social Network focuses on Mark Zuckerberg, the creator of Facebook, and Tyler and Cameron Winklevoss, the two brothers who sued Zuckerberg claiming he stole the idea from them. The Winklevoss twins created another site, ConnectU, which ultimately failed.

This left us wondering: what other companies might have evil twins lurking in the shadows, just waiting to sue?

Groupon's Evil Twin: Too Many To Count

It seems like everyone and their brother (and their brother's girlfriend, and her ex, and her ex's ex, and so on) has been interested in starting a coupon site that involves daily deals, group buying, and/or local retail involvement. Google (NASDAQ: GOOG) tried to enter this space several years ago and failed, hence the company's interest in buying Groupon. You know what they say: if you can't beat ‘em, buy ‘em.

But Groupon's real enemy could be from the plethora of similar sites that are out there, such as BuyWithMe, CrowdSprout, and Group Buying Edge.

On the bright side, if Groupon does have an evil twin, the resulting story should make for an excellent film by David Fincher.

Sony's Evil Twin: Apple?

It's no secret that Sony (NYSE: SNE) wishes that the PlayStation Portable could have been the next iPod. Now, with the iPhone and iPod Touch taking lead, Sony is hoping that the PSP's successor (the presumably titled PSP2) can overtake Apple's (NASDAQ: AAPL) best invention.

With a big touch screen and buttons underneath, the rumored PSP phone seems to be a happy marriage between the original PSP and the iPhone. But Sony needs to be cautious about the phone – and the next game platform – it develops. The last time a company tried to beat the iPhone at its own game, Apple sued, claiming patent infringement.

If you think that Sony's too smart to avoid such a lawsuit, think again. Both Sony and Microsoft (NASDAQ: MSFT) were sued in 2002 for infringing on the intellectual properties of Immersion Corporation (NASDAQ: IMMR).

Apple And Adobe's Not-So-Evil Twin: Avid

Final Cut Pro might be all the rage among college students, indie filmmakers, and a growing number of professionals, but before Apple purchased and refined the video editing tool, there was one innovative leader: Avid.

Developed by Avid Technology (NASDAQ: AVID), Avid is responsible for creating the primary features of modern video editing. With Final Cut, Apple seems to be dedicated to copying everything Avid does right, and eliminating (or improving upon) the things it does wrong. Like it or loathe it, at its core, Final Cut is an Avid clone.

Most recently, Adobe's (NASDAQ: ADBE) video editing software, Premiere, has transformed into an Avid clone, leaving Vegas Pro (from Sony) as the only major video editor available that is significantly different.

Thus far, Avid has kept quiet on the matter; rather than sue, the company has continued to beat the competition in filmmaking by providing the most powerful software available. But just as Apple sued HTC over iPhone infringement – even though Apple could rest easy knowing that the iPhone was the superior product – don't rule out the possibility that one day Avid will have had enough.

Activision's Evil Twin: Electronic Arts
Electronic Arts' Evil Twin: Activision

Few game companies have spent as much time in a courtroom together as Activision (NASDAQ: ATVI) and Electronic Arts (NASDAQ: ERTS). Between the publishing rights to Brutal Legend (a game Activision dropped but did not want anyone else to have) and the fiasco involving former Infinity Ward executives that left the Activision subsidiary to start a new company with Electronic Arts, Activision has made one thing crystal clear: the publisher has its eye on EA.

Strangely, Activision seems completely oblivious to the fact that if it weren't for EA and its creation of the Medal of Honor series, Call of Duty (Activision's prized, record-breaking franchise) might not even be here. Call of Duty was reportedly built with developers who worked on Medal of Honor. Though both series have evolved a lot over the years, the first Call of Duty was not that different from Medal of Honor. It was a better game, and that would be any developer's argument in the event of a lawsuit. But let's not kid ourselves: with Activision's claims getting as much traction as they have, there's a good chance EA could fight back with a lawsuit of its own.