Cisco infringed on four patented technologies and the court ordered it to pay US$1.9 billion

Tuesday, October 6, 2020 – 4:52 GMT

The US network equipment maker Cisco was ordered to pay almost US$ 1.9 billion after four proprietary inventions were considered by the court to be infringing.

Centipetal Networks, a private corporation headquartered in Virginia, USA, has previously accused Cisco of infringing on its patents for network security. On Monday, local time, Judge Henry Morgan of the United States District Court in Norfolk , Virginia released a decision directing Cisco to pay the private business in Virginia $1.89 billion.

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According to the article, Morgan found after a month-long trial without a jury that Cisco had infringed the four patents of the claimant Centipetal Networks, but did not find that it had infringed the fifth patent claimed by the claimant corporation.

This award is estimated on the basis of 2.5 times the real loss of US$ 755.8 million currently incurred by Centipetal Networks, a private corporation. It is a penalty for the “willful and evil” actions of Cisco.

Cisco did not have any credible and fair court testimony during the proceedings about the violation of these four patents. “Morgan wrote in the decision.”

On June 20, 2017, Cisco violated these proprietary inventions. It is used in its own products, and Cisco later stated in its technological and marketing records that the sales of these products have risen substantially.

Cisco voiced profound disappointment in response to Morgan’s order and claims that there is substantial evidence that it has not violated the patent of the applicant, the patent of the applicant is invalid, and the innovative technology of Cisco is many years earlier than the patent of the applicant.

They plans to cater to the U.S. Responding to Morgan ‘s decision, the Court of Appeals for the Federal Circuit.

Cisco achieved US$ 49.3 billion in revenue last fiscal year and US$ 11.2 billion in net profit.

Founded in 2009, Centripetal Networks is a network security service provider. Paul Andre, said in a statement: ”the decision is undeniably a significant win for all independent, creative firms.”