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This week in Other Barks & Bites: the Unified Patent Court (UPC) invalidates an Amgen patent in a historic case; the U.S. Court of Appeals for the Federal Circuit (CAFC) rules against tech giants Samsung and Apple in its patent dispute with a smaller Swedish firm; and Meta announces that its Llama AI model will not be released in the EU due to regulatory worries.
Bites
In Precedential Decision for Bose, CAFC Says District Court’s Invalidation of Wireless Earphone Claims Under 101 Moots Appeal from PTAB
The U.S. Court of Appeals for the Federal Circuit (CAFC) on Friday, July 19, issued a precedential decision dismissing as moot Koss Corp.’s appeal of the Patent Trial and Appeal Board’s (PTAB’s) invalidation of certain wireless earphone patent claims due to a prior district court decision finding the claims patent ineligible. Koss sued Bose Corporation in Texas for patent infringement and on the same day also sued Plantronics, Inc. on the same patents. Bose subsequently petitioned for inter partes review of the patents and the PTAB found all of the asserted claims of two of the patents unpatentable, and some of the claims of a third unpatentable. Koss appealed and Bose cross-appealed the patentability findings, but the CAFC said that, because Koss agreed to dismissal of the Plantronics case with prejudice, without reserving a right of appeal, the district court’s invalidation of the claims is final, and not superseded by Koss’s Second Amended Complaint, as Koss argued.
CAFC Rules Against Tech Giants in Patent Dispute with Swedish Company
On Thursday, July 18, the U.S. Court of Appeals for the Federal Circuit (CAFC) issued a nonprecedential ruling affirming a Patent Trial and Appeal Board (PTAB) decision that found Samsung’s arguments unpersuasive in its patent dispute with Swedish company Neonode Smartphone. Samsung and Apple initially launched an IPR arguing that Neonode’s patent for slide-to-unlock technology for smartphones should be invalidated. However, the CAFC agreed with the PTAB that the tech giants failed to present persuasive arguments against the validity of Neonode’s patent.
Meta Says Latest AI Model Won’t Be Released in EU Citing Strict Regulatory Environment
On Thursday, July 18, a Meta spokesperson told The Verge that the company would not be releasing its open-license multimodal AI platform Llama in the European Union one week after the EU finalized its new AI Act. “We will release a multimodal Llama model over the coming months, but not in the EU due to the unpredictable nature of the European regulatory environment,” Meta spokesperson Kate McLaughlin told The Verge. The move follows Apple’s lead who recently stated that the company would likely not release AI updates in the EU due to regulatory concerns.
UPC Invalidates Amgen Patent in First-Ever Patent Revocation Judgment
On Tuesday, July 16, the Unified Patent Court (UPC) ruled that an Amgen patent for the cholesterol-lowering drug Repatha was invalid in all 17 member states of the European Union that belong to the UPC. Rivals Sanofi and Regeneron launched the lawsuit a year ago when the court first opened, and the companies won the first patent revocation judgment from the UPC. The decision is provisional, and Amgen is still allowed to appeal the ruling.
CCC Announces First Collective Licensing Solution for Copyrighted Materials in AI Systems
On Tuesday, July 16, Copyright Clearance Center announced its Annual Copyright Licenses content licensing solution will include artificial intelligence re-use rights. According to the company, this inclusion makes it the first collective licensing solution for the internal use of copyrighted materials in AI systems. “To fulfill its potential, AI must be paired with an appreciation of, and respect for, creators and copyright, which fuels responsible AI innovation,” added Babis Marmanis, Executive Vice President and CTO of Copyright Clearance Center. “This incentivizes the development of creative works that serve as the foundational materials upon which AI systems are built.”
Barks
Google and Visier Agree to Settle Copyright Dispute.
On Wednesday, July 17, Google and Visier agreed to settle their trademark lawsuit and asked a California court to pause the legal proceeding while they finalized the agreement. Visier sued Google in 2022 accusing the tech giant’s “Vizier” machine-learning software of infringing on its copyright.
Kanye West Accused of Stealing Artists’ Musical Composition
Wednesday, July 17, a number of award-winning musical artists sued rapper Kanye West, alleging copyright infringement of their musical composition and song recording through his songs Hurricane and Moon, the two leading tracks on his album, Donda. According to the complaint, West requested permission to use the work for the song Hurricane but that request was denied, and “rather than simply forego using the Work or discontinue using the Work, Defendants decided to steal it and continue to use it without permission.” The artists claim that West used the work “as the dominant musical part of both songs” and that it forms “the heart, melody and soul of both Hurricane and Moon.”
New York Court Partially Freezes Assets of Infringers of Abbott Diabetes Test Strips
On Wednesday, July 17, the U.S. District court for the Eastern District of New York granted-in-part Abbott Laboratories’ request to freeze the assets of Howard Goldman, President of medical supply distributor H&H Wholesale Services, Inc.; and Lori Goldman, Goldman’s wife and an H&H employee; as well as two trusts affiliated with the Goldmans. The court granted an asset freeze against the Howard B. Goldman Irrevocable Trust and SGE I, LLC but denied the request as to the Lori M. Goldman Irrevocable Trust. The case relates to a ruling ordering H&H to pay $33.4 million for its infringement of trademarks held by Abbott on diabetes test strips improperly repackaged for sale within the United States.
Game Developers File Supreme Court Amicus Brief Challenging USPTO Trademark Rule
On Tuesday, July 16, the International Game Developers Association filed an amicus brief with the U.S. Supreme Court challenging the U.S. Patent and Trademark Office (USPTO) rule that requires all trademark applicants to provide their address when applying for a registration. The organization argues that the rule unnecessarily exposes applicants and opens them up to harassment. “This case highlights a failure to provide adequate notice or solicit meaningful input from those most impacted by the rules, particularly affecting individuals in the digital entertainment and game development sectors where privacy concerns are paramount,” said Brandon J. Huffman, founding attorney at Odin Law and Media, the firm representing the filers.
USCO Appoints Malcolm Hawkins as Deputy Director of Operations
On Monday, July 15, the U.S. Copyright Office (USCO) appointed Malcolm “Hawk” Hawkins as Deputy Director of Operations for the USCO. Hawkins has worked at the USCO since 2020 as Chief of the Administrative Services Division. The new Deputy Director of Operations will assist with strategic planning, financial management activities, and business processes.
JP Morgan Settles Patent Infringement Lawsuit with Data Security Patent Owner
On Monday, July 15, a Texas court filed an order dismissing a patent infringement case between JP Morgan and DigitalDoors after the parties agreed to dismiss the case. Last November, DigitalDoors sued 11 banks accusing them of infringing on four patents related to data security. As part of the agreement, each party will bear its own costs and attorney fees.
This Week on Wall Street
Musk Moves SpaceX and Social Media Company X to Texas
On Tuesday, July 16, Elon Musk announced on X, formerly known as Twitter, that he would be moving Space X and X headquarters from California to Texas. Musk made the announcement in response to California Governor Gavin Newsom signing a bill into law that would stop schools from sending an alert to parents when students change their pronouns or identify as transgender. While Musk called the law the “final straw”, the company’s move to Texas had long been rumored.
Powell Encouraged by Economic Data
On Monday, July 15, Federal Reserve Chairman Jerome Powell spoke with the Economic Club of Washington and said recent economic data adds somewhat to the Fed’s confidence that inflation is trending downward. However, Powell declined to provide further insight as to what the Fed’s interest rate moves will look like in the coming months. Powell also said that he plans to serve his full term until 2026 regardless of who wins the presidential election in November.
Quarterly Earnings – The following firms identified among the IPO’s Top 300 Patent Recipients for 2023 are announcing quarterly earnings next week (2023 rank in parentheses):
- Monday: Verizon (75), SAP SE (83), NXP Semiconductors (106)
- Tuesday: Alphabet (8), Microsoft (17), Texas Instruments (34), General Motors (45), Comcast (78), 3M Company (104), Visa (118), Danaher Corporation (175)
- Wednesday: IBM (3), AT&T (72), Boston Scientific Corporation (96), Thermo Fisher Scientific (169)
- Thursday: RTX Corporation (13), Honeywell (44), Sanofi (215)
- Friday: Exxon Mobil (192)