IBM wins $45 mln verdict against Zynga in internet tech patent trial

Reuters09-16

By Blake Brittain

Sept 16 (Reuters) - IBM has convinced a federal jury in Delaware that mobile-game maker Zynga owes $44.9 million in damages for violating IBM's patent rights in what the tech giant called "foundational" internet technology.

The jury determined on Friday that Zynga games including entries from its "Farmville" series infringed two IBM patents related to web-based communications.

Zynga had denied IBM's allegations and argued that the patents are invalid. Spokespeople for Zynga did not immediately respond to a request for comment on the verdict on Monday.

An IBM spokesperson said on Monday that the company was pleased with the verdict.

Armonk, N.Y.-based IBM sued Zynga in 2022. IBM has also targeted other internet-based companies with infringement lawsuits over related technology, some of which it developed for its late-1980s internet service Prodigy.

IBM ended its related case against pet-food seller Chewy in March and settled with Japanese tech company Rakuten in June for an undisclosed amount of money. Online marketplace Groupon settled IBM's lawsuit against it for $57 million in 2018 following an $83 million jury verdict in IBM's favor.

The case is International Business Machines Corp v. Zynga Inc, U.S. District Court for the District of Delaware, No. 1:22-cv-00590.

For IBM: John Desmarais, Karim Oussayef, Tamir Packin and Tuhin Ganguly of Desmarais LLP

For Zynga: Alyssa Caridis, Clement Roberts and Richard Martinelli of Orrick Herrington & Sutcliffe

(Reporting by Blake Brittain in Washington)

((blake.brittain@tr.com;))

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