Apple Won't Have to Pay $309M After Judge Accuses Patent Troll of Abusing System to Fleece Tech Companies

Apple today scored a victory in an ongoing patent dispute with Personalized Media Communications (PMC), with the judge overseeing the case tossing out the $308.5 million verdict that Personalized Media Communications won in March, reports Bloomberg.

PMClogonewer
Apple was a victim of PMC's plan to milk the tech industry for high royalties on old ideas, U.S. District Judge Rodney Gilstrap said when delivering the verdict. The judge decided that PMC's patent for digital rights management is unenforceable because the company delayed its application with the U.S. Patent and Trademark Office in an attempt to get more money.

PMC filed hundreds patent applications in the 1980s and 1990s, but no patents were awarded until 2010. The company took advantage of a loophole that allowed for an indefinite application process and then a patent valid for 17 years. This was addressed in 1995, but didn't apply to the patents used against Apple because they were filed earlier.

PMC delayed receiving its patents until after the technology in the patent had already been adopted, letting it make more money from tech companies.

Internal documentation from PMC suggested the company had thought that Apple would be a "natural candidate" to target with delayed patents, along with Intel, IBM, and Microsoft.

PMC won a $308.5 million verdict against Apple in March after a jury said that Apple infringed on DRM patents with its FairPlay technology that is used to distribute encrypted content through iTunes, the App Store, and Apple Music.

Popular Stories

2024 iPhone Boxes Feature

Apple Adjusts Trade-In Values for iPhones, iPads, Macs, and More

Thursday November 6, 2025 11:12 am PST by
Apple today updated its trade-in values for select iPhone, iPad, Mac, and Apple Watch models. Trade-ins can be completed on Apple's website, or at an Apple Store. The charts below provide an overview of Apple's current and previous trade-in values in the U.S., according to its website. Maximum values for most devices either decreased or saw no change, but the iPad Air received a slight bump. ...
Liquid Glass General Feature

Apple Shares Liquid Glass Design Gallery

Thursday November 6, 2025 2:45 pm PST by
Apple is promoting the new Liquid Glass design in iOS 26, showing off the ways that third-party developers are embracing the aesthetic in their apps. On its developer website, Apple is featuring a visual gallery that demonstrates how "teams of all sizes" are creating Liquid Glass experiences. The gallery features examples of Liquid Glass in apps for iPhone, iPad, Apple Watch, and Mac. Apple...
airtag purple

Apple's Website Lists AirTag 4-Pack at Shockingly Low Price [Updated]

Friday November 7, 2025 6:40 am PST by
Apple's online store in the U.S. is suddenly offering a pack of four AirTags for just $29, which is the same price as a single AirTag. This is likely a pricing error, and it is unclear if orders will be fulfilled. Apple has not discounted the AirTag four-pack in any other countries that we checked. Delivery estimates are already pushing into late November to early December, suggesting...
iOS 26

iOS 26.1 Available Now With These 8 New Features

Monday November 3, 2025 5:54 am PST by
Following more than a month of beta testing, Apple released iOS 26.1 on Monday, November 3. The update includes a handful of new features and changes, including the ability to adjust the look of Liquid Glass and more. Below, we outline iOS 26.1's key new features. Liquid Glass Toggle iOS 26.1 lets you choose your preferred look for Liquid Glass. In the Settings app, under Display...
ikea smart home devices

IKEA Debuts 21 HomeKit-Compatible Smart Bulbs, Sensors, and Controls

Thursday November 6, 2025 4:08 pm PST by
IKEA today announced the upcoming launch of 21 new Matter-compatible smart home products that will be able to interface with HomeKit and the Apple Home app. There are sensors, lights, and control options, all of which will be reasonably priced. Some of the products are new, while some are updates to existing lines that IKEA previously offered. There are a series of new smart bulbs that are...
Early Black Friday Deals 1

The Best Early Black Friday Apple Deals on MacBook, Apple Watch, iPad, and More

Saturday November 8, 2025 6:16 am PST by
We're officially in the month of Black Friday, which will take place on Friday, November 28 in 2025. As always, this will be the best time of the year to shop for great deals, including popular Apple products like AirPods, iPad, Apple Watch, and more. In this article, the majority of the discounts will be found on Amazon. Note: MacRumors is an affiliate partner with some of these vendors. When ...
Apple fitness plus feature

Future of Apple Fitness+ 'Under Review'

Sunday November 9, 2025 5:30 am PST by
The future of Apple Fitness+ is "under review" amid a reorganization of the service, according to Bloomberg's Mark Gurman. In the latest edition of his "Power On" newsletter, Gurman said that Apple Fitness+ remains one of the company's "weakest digital offerings." The service apparently suffers from high churn and little revenue. Nevertheless, Fitness+ has a small, loyal fanbase that...
maxresdefault

In-Depth iPhone Battery Experiment Pits Slow Charging Against Fast Charging

Friday November 7, 2025 1:19 pm PST by
HTX Studio this week shared the results from a six-month battery test that compared how fast charging and slow charging can affect battery life over time. Using six iPhone 12 models, the channel set up a system to drain the batteries from five percent and charge them to 100 percent over and over again. Three were fast charged, and three were slow charged. Another set of iPhones underwent...
apple watch se 3 always on

Apple to Remove iPhone-Apple Watch Wi-Fi Sync in EU With iOS 26.2

Thursday November 6, 2025 4:37 am PST by
Apple in iOS 26.2 will disable automatic Wi-Fi network syncing between iPhone and Apple Watch in the European Union to comply with the bloc's regulations, suggests a new report. Normally, when an iPhone connects to a new Wi-Fi network, it automatically shares the network credentials with the paired Apple Watch. This allows the watch to connect to the same network independently – for...

Top Rated Comments

_Spinn_ Avatar
56 months ago
Patent trolls are ruining the system for everyone.
Score: 33 Votes (Like | Disagree)
MJaP Avatar
56 months ago
Hopefully this judgement will make a large chunk of PMC's portfolio utterly worthless.
Score: 30 Votes (Like | Disagree)
Apple_Robert Avatar
56 months ago
Sounds like the judge made the right call.
Score: 26 Votes (Like | Disagree)
hot-gril Avatar
56 months ago
A great victory, but there will be more of these guys.
Score: 24 Votes (Like | Disagree)
Makosuke Avatar
56 months ago

Put on your thinking cap... where do you think the "patent troll" acquired the patent?
Put on your basic math skills: They came up with these ideas and filed for patents in the late '80s. In the intent of the patent system, and any reasonable fair world, they would have 17 years to use or otherwise monetize their idea and profit from it, so until around 2005.

Instead, they intentionally delayed actually getting the patents until at least 2010, well over 17 years after they publicized the idea in the first place and only once the ideas were in widespread use. At no point between whenever they applied and when the patent was granted two decades later did they actually attempt to develop, market, or otherwise use these ideas for the benefit of society, or themselves. In fact, their entire strategy was to lie low and hope nobody even noticed, eventually developed the same thing independently, and it became widespread.

They did this with the express purpose of extending the patent profit window well past the 17-year limit. Worse, they abused how it worked to patent something that had been developed decades ago, re-developed since, and was already in common use and maybe had been for years. And then they didn't defend it, they waited even longer until a big target started using it so they had someone to cash in on.

They didn't create anything, they gamed the system.

As noted in the article, the USPTO actually closed this loophole 26 years ago, way back in 1995, because they realized it was stupid and open to abuse. But this company started the long con before then so got the con grandfathered in.

All of this is exacerbated by how vague the patent office will allow tech patents to be, so you can patent just about anything, and the only defense for society is that at least it can't extend past 17 years.

It's pretty much a guaranteed recipe for profit: Come up with some either vague or extremely specific tech ideas that aren't currently being used but seem like they might be some day. File for patents on them, then wait however long it takes for them to actually be used. Then wait some more until they're in use by a big, rich company. Finish the patent application process, and sue.

You never built anything, your idea has been public for decades, and you get a huge-money payout for doing nothing but applying for patents on a bunch of ideas that aren't yet usable and playing the waiting game.
Score: 19 Votes (Like | Disagree)
Cosmosent Avatar
56 months ago
NOT just a win for Apple, but for ALL Tech Companies that actually produce "something" !
Score: 17 Votes (Like | Disagree)