Apple has been ordered to pay patent troll VirnetX a whopping $625 million after losing a legal battle over the technology used for FaceTime and iMessage. The Cupertino company says it is “surprised and disappointed by the verdict,” and calls for patent reform.
VirnetX, which is based in Nevada, is labeled a patent troll because it exists solely to sue larger companies over patents it has purchased. In the past, it has successfully sued Microsoft twice, netting $224 million in total — plus Cisco, Siemens, Avaya, and others.
The company was also successful in another case against Apple back in 2013, which saw it awarded $368 million after a U.S. court decided Apple had infringed patents relating to FaceTime and VPN technologies used in iOS.
But VirnetX decided that wasn’t enough, so it took Apple back to court over patented technologies relating to FaceTime and iMessage — and won again.
“The jury saw what we have been saying all along: Apple has been infringing VirnetX’s patented technology for years,” said the legal firm that represents VirnetX. Apple, on the other hand, has a very different view.
“We are surprised and disappointed by the verdict and we’re going to appeal. Our employees independently designed this technology over many years, and we received patents to protect this intellectual property,” reads Apple’s statement.
“All four of VirnetX’s patents have been found invalid by the patent office. Cases like this simply reinforce the desperate need for patent reform.”
Apple will almost certainly appeal today’s decision, but with damage sums like this one, it’s no wonder why patent trolls like VirnetX continue to pop up.
Via: TechCrunch
Killian Bell is a freelance writer based in the U.K. He has an interest in all things tech and also covers Android over at CultofAndroid.com. You can follow him on Twitter via @killianbell.
21 responses to “Patent troll VirnetX grabs another $625 million from Apple”
USA: crazy, insane country.
Should be like this: Have a patent and haven’t done anything with it for 5 years. Invalidate it.
Agreed. I’d take it a step further and have a process that makes the applicant create a working demonstration within a year or the process is invalidated.
In the old days you had to present a working prototype in order to get a patent. I’m not sure why they stopped that.
Part of the problem is in the selling of intellectual property, including patents. The original owner of the patent could jump through all the hoops to get it, then sell it to a patent troll and we’re right back to square one. Plus now days, most patents are worded so vaguely, they can be interpreted in several different ways later on during these infringement cases. That needs to stop as well.
Good point. So maybe some combination of demonstration to acquire patent *and* expiry if it has not be used in X years.
Samsung has to pay less than this? Umg, this is not America, isn’t it? Signature by a German
Swinesung.
That’s because all the patents Apple sued over have since been invalidated, deemed not patent worthy.
Live by the sword, die by the sword…
I wish I could post images so that I can teach you the difference between apples and oranges.
If Apple lost against Microsoft or Google or Samsung, I’d be right there with you. This company does not produce anything, they’re leeches.
It’s one thing to sue because another company violated a patent you’re using in your own product. It’s another to buy concepts, never make anything, and sue when companies violate that patient.
How much do you know about VirnetX? I am guessing it is not much.
Uh principals of this company created the technology used in these patents.
Why should they have to “give it away” just because Apple felt they could steal it for free even AFTER Apple lost the court case a few years ago.
VirnetX didn’t buy the patents in question. The company is composed of the inventors.
Why does the title in this article refer to VirnetX as a patent troll? When Apple trolled Samsung everyone sang their praises. Apple was right and Samsung was wrong. Why shouldn’t VirnetX defend their patents. If Apple is guilty of using patents they did not pay for they should be forced to pay. Instead you have the apple fanboys screaming foul because the patent belongs to a company that has not produced anything with it as if this invalidates their inventions and their rights to protect it. The only folks hurting now are the apple fanboys. Grow up people.
Because SWINESUNG actually has a reputation of copying. Blackberry,Apple.Dyson and stealing and ripping off other company’s.
And Apple has a deserved reputation for stealing. Xerox, Sony, Samsung, VirnetX.
You wish loser. We all know Swinesung has stolen from Sony and Apple and continues to this days takes its design from Apple.
well said mate, Apple on one hand want reforms to the patent system, yet on the other hand don’t want appeals that could go against them to be re-heard.
The fact is that the guys at VirnetX developed a system and patented it (hell of a lot more work than goes in to rounding the corners off a rectangle and saying its a patent imho), Apple ripped it off and are now crying about it… Samasung made the mistake of making a rectangular phone… with rounded corners and Apple… I love Apple Macs but think that Apple need to look seriously at their own business, one that as stated below was built off the back of steeling other companies ideas
New headline…”Patent thief found guilty of stealing and Apple is ordered to pay 625 million”