Apple Must Pay VirnetX $440 Million for Patent Infringement, Appeals Court Rules

Apple must pay VirnetX $440 million after an appeals court upheld an earlier judgement in favor of the patent holding company, reports Reuters.

The U.S. Court of Appeals for the Federal Circuit today denied Apple's appeal of a 2016 verdict that awarded VirnetX $302 million, which increased to $439.7 million when taking into account damages and interest calculated during retrials.


VirnetX first sued Apple in 2010, accusing FaceTime of infringing on patents held by VirnetX. The two companies have been fighting in court since then, and Apple in 2017 said it would appeal the final $440 million judgement.

In a separate case that is also still unsettled, VirnetX was awarded an additional $502.6 million from Apple after a court found that Apple's FaceTime, iMessage, and VPN on Demand features infringe on four VirnetX patents related to communications security.

Apple in total owes VirnetX $942 million, but is likely to continue to fight both rulings, as the patents in question have been ruled invalid by a separate court. Apple said it is disappointed with the ruling and will once again appeal.


This article, "Apple Must Pay VirnetX $440 Million for Patent Infringement, Appeals Court Rules" first appeared on MacRumors.com

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Apple Plans to Appeal $439M ‘Final Judgment’ in FaceTime Patent Lawsuit With VirnetX

VirnetX today announced that the United States District Court for the Eastern District of Texas has denied all of Apple's motions in a longstanding FaceTime-related patent lawsuit between the two companies.


The court also granted all of VirnetX's motions in the retrial and increased the royalty rates that Apple owes during the infringement period, resulting in a revised final judgment amount of $439.7 million.

"We are elated with the Court's Final Judgement of $439 million in that not only did it affirm the jury's verdict of $1.20 per infringing iPhone, iPad and Mac Product, but also added for willful infringement, interest and attorney fees. This is the third time a jury has ruled in our favor against Apple," said Kendall Larsen, VirnetX CEO.

VirnetX originally sued Apple in 2010 over allegations that FaceTime's peer-to-peer connection technology infringed upon its patents. VirnetX won its case in 2012, and Apple was hit with a $368.2 million judgment, but the appeals and retrial process has dragged on for over seven years until now.

Of note, the United States District Court for the Eastern District of Texas is a hotbed for patent infringement lawsuits given several favorable outcomes for patent holding entities like VirnetX. Some would even call the company a patent troll, although it does appear to offer at least one product of some kind.

A spokesperson for Apple confirmed that it plans to appeal this final judgment, according to TechCrunch. It noted that the motions can still be appealed even if the original case was already appealed and lost.


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