For infringing on patents owned by a Texas company, Apple is being ordered by a jury to pay $23.6 million in damages, closing a lawsuit filed in 2013.
According to the lawsuit, Apple used technology patented by Mobile Telecommunications Technologies in the 1990s on Airport Wi-Fi products and iOS devices. For infringing on several patents, MTel wanted Apple to pay around $1 for every device on which the technologies were used amounting to $237.2 million in damages. The jury decided in favor of MTel for six patents it claimed was infringed. In the original complaint, seven patents were called into question.
"A damage award of $237 million is not common sense; it's not logical," said Brian Ferguson, Apple's lawyer, adding at most MTel should be entitled to $1 million.
Deron Dacus, MTel's lawyer, countered.
"Apple is refusing to acknowledge the contributions of others. This case is about fairness," he said during his closing argument.
Apple argued that it did not infringe on the use of emojis, digital icons expressing emotions, which MTel is taking credit for, as well as calendar invites, pointing out that the patents in question are invalid given these don't cover new innovations and didn't do that as well during the first time they were issued.
MTel is described as part of an operating company but follows a business model similar to "non-practicing entities."
Back in the 1990s, it was a wireless messaging pioneer. It's biggest moment? The release of the SkyTel 2-Way paging system. Today, MTel is the licensing arm of United Wireless, a company that operates and co-owns the SkyTel network used by doctors and first responders.
According to United Wireless CEO Andrew Fitton, MTel's work on SkyTel put it ahead of its time. The jury's decision is a vindication of the kind of work it did and its contributions.
Since 2012, MTel has sued a number of companies, including Amazon, BlackBerry, AT&T, Clearwire, LG Electronics, Leap Wireless, HTC, Sprint Nextel, ZTE, Samsung, T-Mobile, and United Parcel Service.
Most of the lawsuits are still ongoing, filed with the Eastern District of Texas. On Dec 15, MTel is set to meet Samsung in the very same courtroom that the jury handed in their decision for their case against Apple.
