Appeal No. 2000-2080
Application 09/287,226
Id. 149 F.3d at 1374, 47 USPQ2d at 1602. In this case, the court
stated that "the transformation of data, representing discrete
dollar amounts, by a machine through a series of mathematical
calculations into a final share price, constitutes a practical
application of a mathematical algorithm . . . because it produces
'a useful, concrete and tangible result' . . . ." Id. 149 F.3d at
1373, 47 USPQ2d at 1601.
Significantly, the court concluded its analysis of the
mathematical algorithm issue as follows:
The question of whether a claim encompasses statutory
subject matter should not focus on which of the four
categories of subject matter a claim is directed to . . .
but rather on the essential characteristics of the subject
matter, in particular, its practical utility.
Id. 149 F.3d at 1375, 47 USPQ2d at 1602. With respect to the
Freeman-Walter-Abele test, the Federal Circuit held the district
court erred in applying it. According to the court, after Diehr
[602 F.2d 982, 203 USPQ 44 (CCPA 1979)] and Chakrabarty [571 F.2d
40, 197 USPQ 72 (CCPA 1978)] were decided by the Supreme Court,
the test had "little, if any, applicability to determining the
presence of statutory subject matter." Id. 149 F.3d at 1374, 47
USPQ2d at 1601.
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