Mobile phone technology company, InterDigital Inc, has lost the first round of its patent violation claims against Nokia and ZTE. The US International Trade Commission judge Theodore Essex did not find the mobile manufacturers guilty of infringing on any patents owned by InterDigital Inc.
Essex said that there was no violation “by reason of infringement”. His decision is subject to review and the final verdict is expected to come in October. While InterDigital was trying to receive royalty payments, its share fell down by more than 10 percent. Though, the value of its share did recover a bit later on.
Nokia, which is now owned by Microsoft, is accused of infringing on a method to improve transmission. Whereas, ZTE is accused of infringing on three patents in total, one of which is the same as Nokia’s.
InterDigital found Essex’s decision “unfortunate” and said that it would appeal before the full commission. "Today's decision by the administrative law judge is unfortunate, and does not align with the validation of our portfolio and licensing practices that is reflected in our numerous agreements with major wireless companies worldwide," the company said in a statement.
If Nokia and/or ZTE are found guilty, ITC could ban the disputed products from being imported into the United States. In that context, ITC is more capable than other district courts.