Apple wins appeal over patents
Business
Apple wins U.S. appeal over patents in $502m VirnetX verdict
WASHINGTON (Web Desk) - Apple Inc persuaded a U.S. appeals court on Thursday to uphold a patent tribunal's ruling that could imperil a $502 million verdict for patent licensing company VirnetX Inc in the companies' long-running fight over privacy-software technology.
The U.S. Court of Appeals for the Federal Circuit affirmed a decision from the U.S. Patent and Trademark Office that invalidated the two patents VirnetX had accused Apple of infringing.
VirnetX Chief Executive Kendall Larsen said in a statement that the company was disappointed with the decision and considering seeking a rehearing or appealing to the U.S. Supreme Court.
VirnetX stock fell more than 14% by Thursday afternoon following the ruling. It had been up 55% in the morning before the decision was published, after the company announced it would pay a special cash dividend to shareholders and anticipated a future potential payout from the Apple case.
The two companies have waged a 13-year court battle that has included several trials and appeals. An East Texas jury awarded VirnetX $502 million in 2020 after deciding that Apple infringed the virtual private network (VPN) patents at issue in Thursday's decision.
VirnetX separately won a $302 million verdict against Apple in an East Texas court in 2016, which was later increased to $440 million, over related allegations that the tech giant used its internet-security technology in features like FaceTime video calls.
