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Cisco Ordered to Pay $1.9 Billion In Patent Infringement Lawsuit

Cisco Systems Inc has been ordered to pay $1.9 billion in a patent infringement lawsuit brought by Centripetal Networks Inc, a privately held company focused on threat intelligence software and network security. Centripetal Networks accused Cisco of copying its patented cybersecurity features which it alleged were integrated into Cisco’s own products after meetings to discuss a possible partnership had taken place between the two companies. On Monday, a US judge ruled that Cisco had infringed on four patents held by Centripetal Networks Inc. No infringement was found of a fifth patent. 

Alongside the $1.9 billion award, the judge also ordered that Cisco pay a 10% royalty on sales of some of its products for the next three years and 5% in royalties for three years after that. Cisco has denied the allegations, saying its cybersecurity features had been developed long before Centripetal Networks was even founded. The company intends to bring an appeal to the US Court of Appeals for the Federal Circuit which is known for its decisions on patent law.

We have included a selection of our most popular market research on cybersecurity below.

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