“In 2012, Apple won the year’s biggest patent verdict — more than $1 billion against Samsung,” Joe Mullin reports for Ars Technica. “The company also lost one of that year’s biggest cases when an East Texas jury ordered it to pay $368 million to a company named VirnetX for infringing patents related to FaceTime and VPN On Demand functions used in iPhones, iPads, and Macs.”
“VirnetX is a company some call a ‘patent troll’ because its only business is now patent enforcement,” Mullin reports. “Then, in March, US District Judge Leonard Davis ordered an ongoing royalty to be paid to VirnetX. The number was downright stunning: 0.98 percent of revenue from iPhones and iPads sold in the US.”
“To no one’s surprise, Apple is fighting tooth and nail to avoid this outcome. A decision published yesterday shows that one creative strategy that Apple tried to use went too far,” Mullin reports. “The decision puts VirnetX back in the driver’s seat, in a stronger position to collect a patent tax of nearly 1 percent on the most popular product produced by the world’s richest tech company. One estimate suggests that VirnetX could soon be collecting around $340 million from Apple annually unless VirnetX’s patents are vanquished on appeal.”
Read more in the full article here.
[Thanks to MacDailyNews Reader “David G.” for the heads up.]
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Judge upholds $368 million patent suit verdict for VirnetX against Apple – February 27, 2013
Jury slaps Apple with $368.2 million fine over VirnetX patents – November 7, 2012
VirnetX awarded new security patent files new complaint against Apple – November 1, 2011