Microsoft hit with nearly $106M fine in patent dispute with VirnetX, says will appeal
By APTuesday, March 16, 2010
Microsoft hit with $106M fine in patent dispute
SAN FRANCISCO — Microsoft Corp. has been hit with a nearly $106 million fine for violating two patents held by a communications company.
The verdict came today after a weeklong trial in U.S. District Court for the Eastern District of Texas.
Lawyers for VirnetX Holding, which is based in Scotts Valley, say the $105.75 million verdict was $71.75 million for infringing one patent, and $34 million for infringing another.
The patents cover ways to establish virtual private network, or VPN, connections, which are used to protect Internet and other data traffic from snoops. The traffic is generally encrypted, or scrambled so outsiders can’t decipher it.
Microsoft says it is disappointed by the jury’s verdict and that it believes it didn’t infringe the patents. It says it will appeal.
Tags: North America, San Francisco, Technology Issues, Technology Law And Ethics, United States
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March 16, 2010: 9:33 pm
That’s a pretty big fine for Microsoft.Even if they’re disappointed with the decision, they can’t do pretty much anything except pay for the fine. Not a good day for Microsoft. |
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