Rovi Corporation
ROVI today announced that the Administrative Law Judge (ALJ) at the
United States International Trade Commission (ITC) has issued an initial
determination in its action against Netflix and Roku. The ALJ found three out
of the four Rovi patents involved in this action are valid, however has
determined that Netflix and Roku have not infringed the patents in the current
proceeding. In addition, the ALJ found that Rovi had satisfied the domestic
industry requirement of the ITC for all of the asserted patents and rejected
all the defense claims such as patent misuse and exhaustion that were raised
by Netflix and Roku.
"While we are disappointed in the initial determination of no infringement and
expect to exercise our right to petition the full Commission of the ITC for a
review of this decision, we are pleased that the majority of the patents
involved were confirmed valid," said Samir Armaly, executive vice president of
worldwide intellectual property and licensing for Rovi. "We continue to
believe in the strength, relevance and value of our patent portfolio, which is
evident from the extensive licensing we have successfully completed with many
leading companies throughout the world."
Mr. Armaly also noted that, "This initial determination involved only four
patents in Rovi's extensive worldwide portfolio of over 5000 issued patents
and pending applications. As with any patent litigation issue, the
determination made by the ITC is unique to the products of the parties
involved, and is not broadly applicable. We will continue to seek to license
companies to the technologies that we've developed and to protect our
intellectual property from unlicensed use, including in the pending federal
district court action against Netflix, in which certain issues required in the
ITC are not part of Rovi's case."
This ITC action, In re Certain Products Containing Interactive Program Guide
and Parental Control Technology, Inv. No. 337-TA-845, was filed on April 30,
2012, by Rovi. Prior to this decision, Rovi reached and announced settlement
and license agreements with the other three leading consumer electronics
companies that were part of the original complaint and same action.
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