Settling a patent lawsuit, the U.S court orders Apple to pay 4308.5 million to Personalized Media Communications. Bloomberg reports that a federal jury in Marshal, Texas has found the Cupertino tech giant guilty of infringing a digital rights management patent.
Personalized Media Communications (PMC) owns a fundamental patent portfolio relating to the control of networked equipment, including online and mobile environments. All of PMC’s patents claim priority from 1981 or 1987 and have terms lasting until at least 2027 with many lasting until the 2030’s. PMC’s portfolio consists of over 100 issued patents. PMC’s licensing strategy focuses on mutually beneficial business outcomes. This approach has resulted in licenses with clients including Cisco Systems, DirecTV, Motorola, Sony, and Zynga.
Apple loses a patent lawsuit and is asked to pay $308.5 million
As per the report, the communications company sued Apple over infringement of patent with technology including FairPlay which used for distribution of digital content via iTunes, App Store, and Apple Music.
One expert for Sugar Land, Texas-based Personalized Media had calculated Apple owed $240 million in royalties. After a five-day trial, the jurors in Texas ordered Apple to pay a running royalty, which is generally dependent on the level of sales or usage.
Disappointed by the court’s ruling, Apple said that such companies harm consumers by only acquiring patents and not developing respected technology.
“Cases like this, brought by companies that don’t make or sell any products, stifle innovation and ultimately harm consumers,” the company said in an emailed statement.
The case was originally filed in 2015 but was challenged by Apple at the Patent Trial and Appeal Board. However, the decision was reversed by a U.S appeal court in 2020. Personalized Media Communications has also filed infringement suits against Netflix, Google, and Akamai over streaming media patents.