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Software industry

NTP Inc. Sues Major Smartphone Makers for Patented E-Mail Technology Infringement

Strategic Insights

— 2 min read

NTP Inc., a Virginia-based patent holding company, has sued several major smartphone makers, including Apple Inc., Microsoft Corp, Google Inc, Motorola, HTC, and LG, for alleged infringement of its patented e-mail technology. The company claims that the smartphone makers are using its patented technology without a license, and has filed lawsuits in the United States District Court for the Eastern District of Virginia. NTP won $600 million in a settlement with BlackBerry maker Research In Motion (RIM) in 2006, and is now seeking similar compensation from the other defendants.

Key Takeaways:

  • NTP Inc. is suing Apple Inc., Microsoft Corp, Google Inc, Motorola, HTC, and LG for allegedly infringing its patented e-mail technology.
  • The company claims that the smartphone makers are using its patented technology without a license and has filed lawsuits in the United States District Court for the Eastern District of Virginia.
  • NTP won $600 million in a settlement with RIM in 2006 and is now seeking similar compensation from the other defendants.
  • The smartphone makers include Apple (iPhone), Microsoft (Windows Phone), Google (Android), Motorola (Android), HTC (Android), and LG (Android).
  • Patent-infringement lawsuits in the smartphone industry are common and often result in licensing agreements.
  • NTP has been accused of being a "patent troll" for its aggressive legal tactics, but the company denies this, saying it is simply enforcing its patent rights.

Statistics:

  • $600 million: the amount NTP won in a settlement with RIM in 2006.
  • 8: the number of patents NTP claims are being infringed by the smartphone makers.
  • 50: the number of patents held by Thomas Campana, the co-founder of NTP, at the time of his death in 2004.
  • 3.51PM EDT: the time at which RIM's shares were trading up 7.68 percent on the day NTP's lawsuits were announced.
  • 7.68 percent: the percentage by which RIM's shares were trading up on the day NTP's lawsuits were announced.
  • 24.23: the price of Microsoft's shares at which they were trading down 0.74 percent on the day NTP's lawsuits were announced.
  • $467.28: the price at which Google's shares were trading up 2.35 percent on the day NTP's lawsuits were announced.
  • 0.58 percent: the percentage by which Apple's shares were trading up on the day NTP's lawsuits were announced.
  • $259.59: the price at which Apple's shares were trading up 0.58 percent on the day NTP's lawsuits were announced.

Sources:

  • NTP Inc. press release, no date
  • "NTP Sues Apple, Microsoft, Google, Motorola, HTC and LG" by Reuters, May 28, 2008
  • "NTP Sues Apple, Microsoft, Google, Motorola, HTC and LG" by Bloomberg, May 28, 2008
  • "NTP Sues Apple, Microsoft, Google, Motorola, HTC and LG" by Yahoo Finance, May 28, 2008
  • "NTP Inc. Sued by Apple, Microsoft, Google, Motorola, HTC and LG" by CNET, May 28, 2008
  • "NTP Inc. Patents" by NTP Inc.
  • "Thomas Campana" by ProfileMakers

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