Apple has lost a significant legal battle regarding 3G wireless patents, with a jury ruling that it infringed on patents held by TOT Power Control. As a result, the tech giant is required to pay over $110 million in damages, according to a decision made on June 30 and released by a Delaware federal court. The lawsuit, which has been ongoing, centered on Apple’s cellular chips found in its iPhone, iPad, and Apple Watch.
The jury concluded that these components violated certain patents owned by TOT Power Control. The verdict revealed that the damages would be calculated as a “running royalty” at a rate of $0.25 per unit sold. In response to the verdict, an Apple spokesperson announced plans to appeal the decision.
TOT’s CEO, Alvaro Lopez-Medrano, expressed satisfaction with the jury’s decision, stating that the validation of their patents was a significant win. The origins of the complaint date back to 2021 when TOT Power Control filed suit over two patents issued in 2009. These patents describe techniques for managing power control to prevent interference in wireless communications.
While the telecommunications industry has well-defined standards for inner loop power control, specifications for outer-loop algorithms are less established. TOT’s patented system aims to optimize signal-to-interference metrics to enhance wireless channel efficiency. Despite some perceptions of TOT Power Control being a patent troll, it operates differently; it develops and licenses its patents, rather than buying them for litigation purposes.
The company has taken a proactive approach, marketing its technology to various carriers to improve older 3G networks. The damages in this case, while substantial, are relatively minor compared to the larger sums Apple has faced in similar legal situations, including a recent ruling in the UK that raised its payment obligation to Optis Cellular to $502 million, and another case in the US where a patent infringement verdict was overturned, saving Apple $300 million.
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