VirnetX is a typical non-practicing entity (ie patent troll) whose sole business is to be suing other companies for infringement and charging other people who actually do make products. VirnetX's patents, including this new one, revolve around VPNs.
VirnetX's previous lawsuits include multiple victories against Microsoft and a case against Apple which is still pending.
In addition to the lawsuit, VirnetX has filed a complaint with the International Trade Commission seeking to ban imports of the allegedly infringing products.
According to their latest suit, Apple has been willfully infringing on VirnetX's brand new patent for several years. If you look at the patent, it certainly seems likely Apple has been using the method VirnetX claims to have invented.
VirnetX CEO and President Kendall Larsen has released a laughable statement on the ITC complaint saying, "We look forward to the ITC vindicating our substantial and significant efforts to innovate."
As with most patent troll lawsuits, that's because there really isn't anything new or inobvious about it. The entire patent is summed up in a diagram:
If you know anything about VPNs or networking, and perhaps even if you don't, there's probably nothing here you couldn't have come up with on your own.
Unfortunately for Apple, and really everyone since we all end up paying for these suits in the cost of new products, VirnetX is suing in an East Texas court known for being favorable for patent claims.
Is it any wonder Google is complaining about the patent system stifling innovation?
Written by: Rich Fiscus @ 9 Nov 2011 10:26