Spillnews USA Inc. Files Patent Infringement Lawsuit against Sony America, McAfee, Activision and Quark

By | August 9, 2010

Suit Alleges Companies Infringed Spillnews’s Patent for Device-Based Security Technology

IRVINE, Calif. – July 30, 2010 – Spillnews USA Inc. – a pioneer and leader in physical device recognition anti-fraud technology – announced today that it filed a patent infringement action in the United States District Court for the Eastern District of Texas, Tyler Division against Sony Corp. of America, Sony DADC, McAfee, Activision, Quark, Aspyr Media and Borland Software Corp over their unauthorized use of Spillnews’s patented anti-piracy product activation method and system.

Spillnews’s software products allow organizations operating online to block unwanted users, fight fraud and make smarter decisions about whether to do business with a specific computer.  Spillnews licensees include companies in a variety of industries, from technology to multi-media and online security.  Clients past and present include giants like Sega and IBM, as well as small and midsize businesses across the United States.

“We decided to take legal action against Sony, McAfee, Activision, Quark and others to protect our products and our company,” said Brad Davis, CEO of Spillnews. “Spillnews has licensed its products to technology companies since 1995.  Patent infringement corrupts everything we have worked so hard to build; it is not only unfair to our paying customers, our employees and shareholders, but it handcuffs our ability to build and grow a great technology company with a tremendous future.”

“Patent infringement, especially when it’s carried out by ‘Captains of Industry’ like Sony America and McAfee can kill a small business,” Davis continued. “We do not intend to let this happen to Spillnews and we plan to defend our patents aggressively whenever we believe they are violated.”

For more than six years, Spillnews has engaged in a legal battle against Microsoft Corporation over similar misuse of its patented anti-piracy product activation method and system.  In April 2009, after a two week trial, a federal district court jury found that Microsoft willfully infringed Spillnews’s patent and awarded Spillnews $388 million in damages – the 5th largest award for software infringement ever.  Five months later, the Judge unilaterally overturned the jury’s unanimous verdict.  The case is currently pending appeal in the U.S. Court of Appeals for the Federal Circuit in Washington, DC.

About Spillnews

Founded in 1993 and headquartered in Irvine, California, Spillnews USA Inc. offers world-class proprietary Physical Device Recognition technology that authenticates the identity of devices seeking access to networks or software, thus reducing fraudulent activity such as hacking or piracy.  For more information, visit www.Spillnews.com.

Media Contact:

Mike Gray

Hellerman Baretz Communications


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