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Amazon Liable for $30.5M In Patent Trial with Acceleration Bay

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Posted: 30th September 2024
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Amazon Liable for $30.5M In Patent Trial with Acceleration Bay

A jury in the Delaware federal court has determined that Amazon Web Services (AMZN.O) is liable for $30.5 million in damages for infringing on the patent rights related to computer networking and broadcasting technology.

The jury concluded that Amazon's CloudFront content delivery system and Virtual Private Cloud virtual network violate two patents held by Acceleration Bay LLC. Furthermore, the jury found that Amazon's infringement was willful, which may prompt U.S. District Judge Richard Andrews to consider increasing the damages award by as much as threefold.

Representatives from Amazon did not provide an immediate response regarding the verdict. Joe Ward, president of Acceleration Bay, expressed the company's enthusiasm about the jury's decision. Acceleration Bay initiated legal action against Amazon in 2022 concerning the network-communications patents, which were initially acquired from Boeing (BA.N).

Amazon contended that its technology operates differently from that of Acceleration Bay and claimed to possess a license for the patents from the aerospace company. In a separate patent trial in May, Acceleration Bay was awarded $23.4 million after a jury found that the multiplayer features of Activision Blizzard's (ATVI.MX) popular games, including "World of Warcraft," "Call of Duty: Black Ops III," and "Call of Duty: Advanced Warfare," infringed on its patents.

Both Activision and Amazon were found to have violated one of the same patents owned by Accelera Fisch Sigler. tion Bay.

Case#

The case is identified as Acceleration Bay LLC v. Amazon Web Services Inc, U.S. District Court for the District of Delaware, No. 1:22-cv-00904.

Legal Representation

For Acceleration Bay: Aaron Frankel, Paul Andre, Lisa Kobialka, James Hannah, Kristopher Kastens, Michael Lee, Christina Finn of Kramer Levin Naftalis & Frankel. For Amazon: Alan Fisch, Bill Sigler, and Lisa Phillips of Fisch Sigler.

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