After spending a month in a trial held via Zoom, Cisco was found guilty of copyright infringement. The patents belong to the Virginia-based cybersecurity company Centripetal Networks. This is actually the first virtual trial of its kind, which was conducted using Zoom after the judge in the case rejected the notion of using Cisco's popular Webex offering after the company suggested it, citing security concerns.
There are four patents in question, and they date back to initial meetings the two companies had back in 2016 when the duo met to talk about technology designed by Centripetal. The technologies in question deal with speed and scalability as well as live updates and automated workflows. According to Paul Andre, the attorney representing Centripetal, the two companies met back in 2016 to discuss technologies under a non-disclosure agreement. He added, "Cisco kept coming back and asking more."
The ruling judge, in this case, District Judge, Henry Morgan, concluded, "The fact that Cisco released products with Centripetal's functionality within a year of these meetings goes beyond mere coincidence. It is clear and not a close call," he asserted. Morgan also decided that Cisco's conduct was 'wilful and egregious' and multiplied the $756 million Cisco owed by 2.5, bringing the total fine to the sum of $1,889,521,362.50. With interest, Cisco faces nearly $2 billion in penalties.
The networking giant said it would appeal the court's decision, stating it had sufficient evidence to prove its case and that it had not infringed upon Centripetal's copyrights. On Monday of this week, Cisco did just that, asking for a new trial in a new motion filed. In the motion, Cisco claimed the initial October 5 ruling was reached based on new theories Cisco was unaware of. Therefore, it had no time to defend itself against the claims.
