Apple hit with $5.7bn bill after shock patent trial loss

Apple is under scrutiny after they were hit by a patent trial verdict in the United States. A jury says the company has to pay more than $5.7B to Taction Technology. But Apple plans to fight the decision, so the case is not over yet.

Apple faces huge bill after patent loss

As reported by BBC, a US jury ruled on September 25 that Apple has to pay Taction more than $5.7B over two patents linked to haptic technology. The verdict is one of the largest of its kind in the US to date. The case is about Apple’s Taptic Engine. It creates the small taps and vibrations, which the users feel on devices. The system is used in products such as the iPhone and Apple Watch.

Taction had reportedly filed the lawsuit in 2021 in the US District Court for the Southern District of California. The company said Apple used its patented ideas without proper approval. The two patents in the case are US Patent No. 10,659,885 and US Patent No. 10,820,117. They cover technology linked to vibration and touch feedback. The jury has found that Apple’s Taptic Engine is in violation of the claims from both patents. It did not, however, find that the infringement was willful.

Long legal fight reaches a jury

This was not a quick legal battle, Taction first brought its case against the tech giant in 2021. A San Diego judge later ruled in Apple’s favour in 2023 and found that the company is yet infringed any patent. That was not the end of the story. The US Court of Appeals for the Federal Circuit dug up the case again last year. The dispute then returned to court for a new trial.

The jury trial started on September 14. Seven jurors then spent two days discussing the case before reaching their decision on September 25. Taction said the ruling was an important moment after years of legal action. Its lead lawyer, Lance Yang, said the company has been waiting for almost six years for the case to reach trial. Apple’s team has strongly rejected the ruling.

Apple plans to appeal verdict

Apple said it disagreed with both the damages and verdict awarded. The company will probably appeal the decision. The fact that the jury is yet to find willful infringement also matters. Had the jury made that finding, the damages could have been increased by up to three times under US patent law.

For now, the $5.7 billion figure is an award, while the legal fight can continue through the appeal process. Large patent awards can also be changed later by courts. The case could now become a long chapter in Apple’s legal battles over technology. For Taction, the verdict is a major win in a case that has lasted more than five years. For Apple, the next step is clear: challenge the decision in the appeal process.

The dispute also shows how a piece of technology can become the centre of a huge legal fight. Those tiny vibrations on a phone or watch may feel simple, but the patents behind them can be worth billions.

Author’s Opinion

Apple’s loss is a major legal setback, but the case is not finished. The appeal may change the outcome or the amount. For now, the verdict shows how costly patent disputes can become for even the biggest tech firms today.

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