Case Study

Patent Damages, Reasonable Royalty – Virtual Reality and Consumer Electronics

1Overview

Ms. Raffalovich provided reasonable royalty damages analysis and expert testimony on behalf of Immersion Corporation in patent litigation involving haptic technology used in virtual reality systems. Haptic technology provides users with a sense of touch through tactile feedback, helping create more immersive and intuitive interactions with virtual objects and environments. Immersion alleged that Meta Platforms, Inc.’s virtual reality systems infringed six patents relating to haptic feedback technology. The matter proceeded in the U.S. District Court for the Western District of Texas.

2The Challenge

Valuing haptic technology within an integrated virtual reality ecosystem

The engagement required an economic assessment of patented haptic functionality within an integrated virtual reality ecosystem that included hardware, software, content, and related services. Ms. Raffalovich evaluated the role and revenue contribution of the asserted technology, relevant license agreements, convoyed and collateral sales, product profitability, and the structure and amount of a reasonable royalty. The matter presented complex issues involving apportionment, license comparability, the appropriate royalty base, and the relationship between haptic functionality and revenues generated across Meta’s virtual reality products and services. Ms. Raffalovich developed a damages framework that assessed the economic contribution of haptics while distinguishing that contribution from the value of other product features.

2Our Approach

3The Outcome

Reasonable royalty analysis supports resolution of virtual-reality patent dispute

Ms. Raffalovich submitted expert reports and provided deposition testimony concerning the economic value of the asserted haptic technologies and the resulting reasonable royalty. The matter settled prior to rulings on the parties’ Daubert and summary judgment motions.

The engagement demonstrates our team’s ability to develop and defend sophisticated patent damages analyses involving interconnected hardware, software, and digital content in emerging consumer technology markets.

Case Experts
Aminta Raffalovich, J.D.
Aminta Raffalovich, J.D.
Managing Director

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