A plurality of computer nodes communicate using seemingly random Internet Protocol source and destination addresses. Data packets matching criteria defined by a moving window of valid addresses are accepted for further processing, while those that do not meet the criteria are quickly rejected. Improvements to the basic design include (1) a load balancer that distributes packets across different transmission paths according to transmission path quality; (2) a DNS proxy server that transparently creates a virtual private network in response to a domain name inquiry; (3) a large-to-small link bandwidth management feature that prevents denial-of-service attacks at system chokepoints; (4) a traffic limiter that regulates incoming packets by limiting the rate at which a transmitter can be synchronized with a receiver; and (5) a signaling synchronizer that allows a large number of nodes to communicate with a central node by partitioning the communication function between two separate entities.
There's nothing that Apple would need in that list of stuff.
Apple told the court that they were able to design around the VirnetX patents. When challenged to show how they would do it their experts produced nothing to defend the claim.
Apple internal memos were produced showing Apple’s inability to design around the patents and have their phones work right. Oops. Discovery is a bitch I guess. Even the hayseed rubes in East Texas could understand that.
Apple is using the VirnetX IP in their iPhones. The VirnetX expert witnesses were able to demonstrate this to the court. Apple is not paying VirnetX for this IP. They are simply stealing it. They were found guilty.
The software in question was developed by SAIC when they were producing communications security for the CIA and other intelligence agencies. VirnetX was spun off in order to market commercial versions. The software was created by SAIC/VirnetX and the IP rights are owned by them.
We see people referring to the defense of IP rights as “patent trolling”. Well if that’s the case let’s see them copy and sell some Apple software since IP apparently can’t be monetized and defended in their little universe. Let’s see how that works. Apple has been stealing. It’s a legal matter. A conscious business policy that too many large corporations have decided to use rather than license the IP that they want to use.
VirnetX can still be denied the right to collect on their own IP through gaming of IPRs at the PTAB. There is a bias against non practicing entities at the CFAC that effectively has been stripping IP developers of their property rights. Fewer people are going to innovate in this sort of environment.
Courts have begun to get wise to the “patent troll” excuse manufactured by the likes of Apple and judges are now addressing this phony construction in their decisions. There will be more of this to come. Property rights of inventors are going to be defended once again after a decade of having these rights trampled upon and their property taken at will. The “patent troll” excuse is nothing other than a demand to steal.