Apple Ordered To Pay $368.2 Million To VirnetX Over Patented Technology Used In FaceTime

Bloomberg reports that a federal jury has ordered Apple to pay $368.2 million to VirnetX, an Internet Security related company, after it was found that Apple infringes VirnetX’s Virtual Private Network (VPN) related patents in its implementation of FaceTime on iOS and Mac.

VirnetX has a separate case against Apple pending in with the U.S. International Trade Commission along with several other high profile companies like Cisco and Siemens. The company also won a settlement of $200 million from Microsoft in a 2010 case.

From Bloomberg’s report:

The VirnetX patents cover the use of a domain-name service to set up virtual private networks, through which a website owner can interact with customers in a secure way or an employee can work at home and get access to a company’s electronic files. VirnetX had sought $708 million in damages.

“For years Apple refused to pay fair value for the VirnetX patents,” Doug Cawley, a lawyer with McKool Smith in Dallas who represents VirnetX, said in closing arguments. “Apple says they don’t infringe. But Apple developers testified that they didn’t pay any attention to anyone’s patents when developing their system.”

Apple’s defence lawyers unsuccessfully argued in court that VirnetX’s technology was a small part of a much larger, complex product.

AllThingsD says that Apple is expected to file an appeal with the court to reconsider the jury’s ruling.

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Categories: Apple News, Apple Patents