Apple Ordered to Pay $502.8 Million to Patent Troll VirnetX

Apple has been ordered to pay $502.8 million to patent troll VirnetX as per a jury’s ruling in Texas.

VirnetX had dragged Apple to over a decade ago for infringing its patents and technology in FaceTime.

The jury was to decide the damages Apple had to pay to VirnetX in royalties for VPN on Demand feature. VirnetX had demanded $700 million from Apple, while the latter argued that it should only pay $113 million based on the royalty rate of 19 cents per unit. However, the jury decided on a rate of 84 cents per unit which

Apple and VirnetX are involved in two separate patent battles. Last year, the case for royalties for the VPN on Demand feature was awarded to VirnetX with Apple asked to pay $503 million. However, Apple appealed the decision and the court ruling stated that the damages must be recalculated or a new trial should be held. Sadly for Apple, the revised amount from the jury is only slightly lower than what the court order had initially ordered it to pay last year.

Apple vs. VirnetX: The History

VirnetX had originally filed a lawsuit against Apple in 2010 for infringing upon secure communications-related patents without paying for them. In 2012, the Nevada-based firm was awarded $368 million in damages. These damages were, however, thrown out two years later after the Cupertino-headquartered company filed for an appeal.

In 2016, the IP firm was awarded $440 million after calculating damages, interest, and legal costs. The iPhone maker was also denied from turning aside the court’s ruling. The same year, VirnetX won another patent lawsuit against Apple, and the latter was ordered to pay $625.6 million for violating four patents. The iPhone maker had vowed to appeal against the ruling. However, it lost the appeal earlier in January this year to have the patent judgment set aside.

In April, VirnetX was awarded $502.6 million against Apple after a federal jury in Texas found Apple infringing upon the former company’s patents without paying for them.

[Via Bloomberg]