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Tuesday, 06 October 2020 11:13

Cisco ordered to pay US$1.9b for patent infringement Featured

Cisco ordered to pay US$1.9b for patent infringement Pixabay

Networking giant Cisco Systems has been found to have infringed four cyber-security patents owned by Virginia firm Centripetal Networks, with a judge ordering the company to pay US$1.9 billion (A$2.64 billion) in damages.

Reuters reported that US District Judge Henry Morgan in Norfolk, Virginia, came to the decision after a non-jury trial that lasted for a month.

The judge found that a fifth patent was not infringed.

Justice Morgan said in his 167-page decision said the case was clear-cut, adding that Cisco's evidence had inconsistencies, and its own technical docuemnts which Centripetal produced at the trial proved the applicant's case.

The payment is made up of US$755.8 million in actual damages, multiplied by 2.5 because of Cisco's "willful and egregious" conduct, plus pre-judgment interest.

Justice Morgan said in his judgment that “Cisco did not advance any objectively reasonable defences at trial" about the four patents.

“The infringing functionality was added to their accused products post 20 June 2017, and resulted in a dramatic increase in sales which Cisco touted in both technical and marketing documents,” he added.

Cisco said it would appeal the decison to the US Federal Circuit Court of Appeals.

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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