Cisco Systems Ordered to Pay $1.9 Billion for Patent Infringement
Centripetal Networks, a cybersecurity solutions provider accused Cisco of incorporating the startup’s network protection technology into its own products within a year of having presented to the networking giant.
US District Judge Henry Morgan issues verdict against Cisco
US District Judge Henry Morgan issued the verdict in Norfolk, Virginia after a month-long trial. The trial was held without a jury due to COVID-19.
The judge stated in his 167-page long judgement that Cisco had infringed four patents belonging to Centripetal Networks.
Cisco’s infringement of Centripetal Networks’ patents was “willful and egregious”
Having found that Cisco’s infringement of Centripetal Networks’ patents was “willful and egregious” the judge increased the $755.8 million he said Cisco owed the startup by 2.5 times.
In addition to this, Cisco was also ordered to pay Centripetal Networks a 10 percent royalty on some of its products over the next five years. The percentage will drop to 5 percent for the subsequent three years.
Cisco plans to appeal the decision
Cisco has decided to lodge an appeal with the US Federal Circuit Court of Appeals. It claimed that it provided “substantial evidence of non-infringement, invalidity and that the company's innovations predate the patents by many years."
