Foxtel knowingly and “flagrantly” used technology owned by a small Sydney company to allow its customers to remotely download and record movies and television shows, documents filed in the Federal Court allege.
The Advanced Technology Group claims it lost license fees, profits and subscription revenues after Foxtel used its patented technology to sell its set-top boxes to new customers for years.
ATG had a patent for “remote recording” between December 2013 and June 2018, according to the company’s court filings. Its patented technology allowed people to download digital content from a TV guide on another device – from a phone onto a device at home, for example.
Foxtel is being taken to court for allegedly using patented technology to sell its set-top boxes for five years.
Between those dates, Foxtel offered an app that let its customers record shows from “anywhere in Australia”, ATG claims.
In 2015, Foxtel filed a case with the Australian Patent Office opposing ATG’s patent, and pushed for a series of changes. There were more cases and claims filed over the next six years. ATG said this shows Foxtel knew the technology was covered by an existing patent.
Foxtel declined to comment on the case, as did a spokesman for ATG.
The case could mean Foxtel pays penalties, either in the form of damages or an account of profits. ATG’s statement of claim says it will add details of its losses after requesting Foxtel’s internal records.
The legal action comes as Foxtel’s controlling owner, News Corp, flagged on Friday that it was still open to spinning off the broadcast company. Foxtel is 65 per cent owned by News Corp and 35 per cent owned by Telstra.
News Corp chief executive Robert Thomson told analysts on Friday that Foxtel was
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