CopyTele Subsidiary Files Patent Infringement Lawsuit Against AT&T
MELVILLE, NY--(Marketwired - May 06, 2014) - CopyTele, Inc. ("CTI") (COPY), a company that protects the rights of inventors through patent monetization and patent assertion, today announced that its wholly owned subsidiary, Encrypted Cellular Communications Corporation ("EC3"), has filed a patent infringement lawsuit against AT&T, in connection with EC3's patented Encrypted Cellular Communications technology. The lawsuit, which was filed in the United States District Court for the Northern District of Texas, Dallas Division, is the 6th patent assertion campaign launched by CTI since implementing its new business model in January of 2013.
Robert Berman, CTI's President and CEO stated, "CTI was a true pioneer in developing encryption technologies, having supplied state of the art encryption devices for use by the U.S. military in war zones such as Iraq and Afghanistan. Similar technologies are now being used for secure cellular communications in both the business and government sectors. With over 300 million wireless subscriptions in the U.S., we believe that our EC3 assertion campaign has enormous potential."
AT&T charges its customers a one-time activation fee of $115 per device, and monthly service charges of $39.99 a month, for its Encrypted Mobile Voice service, in addition to data and wireless charges.
A 2012, University of California, Berkeley report indicated that Americans are overwhelmingly concerned about privacy in connection with their mobile devices. With encryption technology deployments already underway in the enterprise markets, and the potential to collect incremental activation fees, incremental service charges, and demand higher prices for consumer based devices containing encryption based hardware and software, mobile service providers and consumer device manufacturers are expected to next roll out encryption devices and services across all consumer markets, in an effort to profit from consumer privacy concerns. The EC3 patent expires 2019.
CTI's subsidiary companies have already entered into 9 revenue producing license agreements across 3 of its patent assertion campaigns, and now have 33 lawsuits across 6 patent assertion programs, including E-Paper Electrophoretic Displays, Nano Field Emission Displays, Key Based Web Conferencing Encryption, J-Channel Window Frame Construction, Loyalty Conversion Systems, and Encrypted Cellular Communications.
About CopyTele, Inc.
CTI develops and acquires patented technologies for the purposes of patent monetization and patent assertion. The company currently has 9 patent portfolios in the areas of Key Based Web Conferencing Encryption, Encrypted Cellular Communications, E-Paper® Electrophoretic Display, Nano Field Emission Display ("nFED"), Micro Electro Mechanical Systems Display ("MEMS"), Loyalty Conversion Systems, J-Channel Window Frame Construction, VPN Multicast Communications, and Internet Telephonic Gateway. Additional information is available at www.CTIpatents.com.
Forward-Looking Statements: Statements that are not historical fact may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical facts, but rather reflect CopyTele's current expectations concerning future events and results. We generally use the words "believes," "expects," "intends," "plans," "anticipates," "likely," "will" and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning our expectations, involve risks, uncertainties and other factors, some of which are beyond our control, which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. These risks, uncertainties and factors include, but are not limited to, those factors set forth in "Item 1A - Risk Factors" and other sections of our Annual Report on Form 10-K for the fiscal year ended October 31, 2013 as well as in our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. You are cautioned not to unduly rely on such forward-looking statements when evaluating the information presented in this press release.
