Acacia Adds Defendants to DMT Patent Litigation

Gretchen Gallen
NEWPORT BEACH, Calif.– Acacia Research, parent of Acacia Technologies Group, added additional cable companies to its Digital Media Transmission patent litigation Friday.

According to a statement issued by the patent holder, a lawsuit against Time Warner, Insight and Bresnan Communications was filed in the U.S. District Court. The company also filed suit against Cablevision Systems Corp. and Cebridge Connections.

Acacia claims that its DMT patents cover nearly all forms of digital media transmission, including downloaded and streamed content.

However, based on a February decision from a judicial panel, all DMT cases will be will be transferred to a federal court in Northern California for consolidation with other DMT defendants, including the Joint Defense Group, which consists of 13 adult entertainment companies countersuing the patent holder over patent infringement claims.

To date, more than 100 cable companies have licensed Acacia's DMT technology. The patents were originally filed by Paul Yurt and H. Lee Browne and are known as the “Yurt patents.” Acacia acquired the patents when it purchased a company called Greenwich Information Technologies. Both patent inventors reportedly receive a percentage of the profits that are generated from the patents.

Acacia also released its first quarter financial results for the three months ending March 31. First quarter 2005 revenues recognized by Acacia included $788,000 in quarterly or annual licensing fees and $1.1 million for past infringement licensing fees.

Acacia currently controls 30 patent portfolios, including 128 U.S. patents. Since acquiring 27 additional patent portfolios, the company claims it is now generating revenue from five patent portfolios and is in the midst of ramping up 10 additional patent programs.