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January 21, 2016

GENBAND Prevails in Patent Infringement Case over Metaswitch

By Christopher Mohr, Contributing Writer

Last week a jury in Texas returned a verdict in a federal civil case which found that Metaswitch Networks infringed on seven different VoIP patents held by GENBAND (News - Alert). As a result of the verdict, which came almost two years to the day since the case was originally filed, GENBAND was awarded over $8.1 million in damages.



On January 21, 2014, GENBAND filed a patent infringement case in the United States District Court for the Eastern District of Texas. In the filing, GENBAND alleged that Metaswitch infringed on patents involving Internet protocol communication, a type of firewall, communication between broadband and telecom networks, communication over data networks, and interworking between IP telephony protocols.

The case was known as Genband US LLC v Metaswitch Networks Ltd., Metaswitch Networks Corp. and Metaswitch Inc. Case No. 2:14-cv-00033-JRG-RSP.

Based in Frisco, Texas, GENBAND develops real-time communications software, and hardware including session border controllers and gateways. Metaswitch is a London-based company that develops consumer and business communications, network interconnectivity, and cloud technology.

GENBAND faced some potential obstacles before the jury made its decision. Two of the patents were able to pass what is often known as the ‘Alice test’, which refers to a U.S. Supreme Court decision in Alice Corp. v. CLS Bank International. In that case, the court ruled that abstract ideas run on a computer are not patentable. About week prior to the verdict, a federal magistrate in Texas recommended that the Alice test should not cause the two patents in question to become invalid.

Metaswitch countered that suit was simply an attempt on GENBAND’s part to harm a competitor. It also claimed that GENBAND held back some information on one of the patents it filed, and that the royalties on other patents were unfair.

The jury was unanimous in finding that GENBAND had proven by a preponderance of evidence that Metaswitch had infringed on the seven different patents as defined in the original case filing. It was also unanimous in finding that Metaswitch failed o provide clear and convincing evidence that any of the seven patent claims were invalid.

Metaswitch appeared unfazed by the ruling, as its CEO suggested to RCRWireless.com that these lawsuits are routine in the technology industry. The company currently has a deal with AT&T (News - Alert) that uses some of Metaswitch’s SBCs for LTE interconnectivity.

Contrary to Metaswitch’s non-reaction to the GENBAND verdict, this case is a big deal, because of it has significant implications in phone technology transitioning from PSTN to IP telephony. Companies developing solutions in this area have to be careful to avoid infringement, given that GENBAND will fight to protect its intellectual property and has so far been successful doing so. 




Edited by Kyle Piscioniere
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