On March 16, Microsoft was ordered to pay almost $106 million after a jury determined that it infringed another company’s patents. Starting in 2003, VirnetX Inc., a supplier of technology for securing real-time communications over the Internet, claimed that Microsoft infringed two of its patents regarding virtual private network (VPN) technology. VirnetX sued Microsoft, seeking $242 million in lost royalties for infringement from 2005 forward (it did not seek damages from before then). Microsoft argued that there was no infringement and that VirnetX’s patents were invalid due to obviousness and anticipation. It also contended that a reasonable royalty would be no more than $15 million. The jury found that both patents were valid and that Microsoft had willfully infringed them.
VirnetX Inc. v. Microsoft Corp., No. 6:07-CV-80
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