Apple Inc. v. International Trade Commission

725 F.3d 1356, 107 U.S.P.Q. 2d (BNA) 1864, 2013 WL 4007535, 35 I.T.R.D. (BNA) 1921, 2013 U.S. App. LEXIS 16282
CourtCourt of Appeals for the Federal Circuit
DecidedAugust 7, 2013
Docket2012-1338
StatusPublished
Cited by6 cases

This text of 725 F.3d 1356 (Apple Inc. v. International Trade Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Apple Inc. v. International Trade Commission, 725 F.3d 1356, 107 U.S.P.Q. 2d (BNA) 1864, 2013 WL 4007535, 35 I.T.R.D. (BNA) 1921, 2013 U.S. App. LEXIS 16282 (Fed. Cir. 2013).

Opinions

MOORE, Circuit Judge.

Apple appeals from the final decision of the International Trade Commission (ITC) that the asserted claims of U.S. Patent No. 7,663,607 (’607 patent) are invalid and that Motorola does not infringe the asserted claims of U.S. Patent No. 7,812,828 (’828 patent). Apple challenges the ITC’s claim construction and its determinations of obviousness, anticipation, and noninfringement. For the following reasons, we affirm-in-part, reverse-in-part, and vacate-in-part the ITC’s decision and remand for further proceedings.

Background

This patent case involves smartphone touchscreens. The '607 patent discloses a touch panel with a transparent capacitive sensing medium that can detect multiple touches at once. '607 patent, at [57]. To achieve the multitouch functionality, the touch panel employs a matrix of electrodes connected to circuits that measure the change in charge that occurs as a result of pressure applied to the screen. Id. col.5 1.27-col.6 1.7. The pressure-induced change occurs because the electrode rows are in a different layer than the electrode columns. Id. col.5 1.15-col.6 1.18. When a user touches the screen, the pressure applied at each intersection point causes charge to flow between the electrodes at that node. Id. Measuring circuits connected to the electrodes scan the matrix and measure the displaced charge at each node. Id. By detecting these changes, the touch panel can determine if and where a user has touched the screen. Id.

The '607 patent also discloses how to make the touchscreen transparent. It teaches constructing the electrodes with [1360]*1360indium tin oxide (ITO), a transparent material. '607 patent, col. 12 11.35-52. But simply forming the electrodes from ITO may not render the matrix invisible because the ITO electrodes tend to be less transparent than gaps in the electrode matrix. Id. col.14 1.60-col.l5 1.23. To remedy this problem, the patent teaches the use of “dummy” ITO pads to fill in gaps in the matrix. Id. col.15 11.8-24. By inserting these pads in the matrix gaps, the matrix has the optical properties of a uniform sheet of ITO and thus becomes invisible to the user. Id.

The '828 patent discloses a method to determine if the displaced charge at the nodes corresponds to a finger touching the screen. It teaches that the touch panel software “mathematically fit[s] an ellipse” around the nodes at which the measuring circuits have detected a touch. '828 patent, figs. 13-15, col.60 1.5-16. Performing the “fit” allows the device to determine if pressure applied to the screen constitutes a finger touch as well as track the movement of the finger across the touchscreen. Id. at [57].

Apple initiated proceedings in the ITC, alleging that Motorola’s smartphones and tablets infringed various claims of the '607 and '828 patents. Apple alleged that Motorola infringed claims 1-7 and 10 of the '607 patent and claims 1, 2, 10, 11, 24-26, and 29 of the '828 patent. Claim 1 of the '607 patent is representative of the asserted touch panel claims:

A touch panel comprising a transparent capacitive sensing medium, configured to detect multiple touches or near touches that occur at a same time and at distinct locations ... wherein the transparent capacitive sensing medium comprises:
a first layer having a plurality of transparent first conductive lines ...; and a second layer spatially separated from the first layer and having a plurality of transparent second conductive lines ... each of the second conductive lines being operatively coupled to capacitive monitoring circuitry;
wherein the capacitive monitoring circuitry is configured to detect changes in charge coupling between the first conductive lines and the second conductive lines.

'607 patent, claim 1 (emphases added). Claim 10, also disputed on appeal, recites a similar display arrangement and requires the touch panel to form a “pixilated image.” Claim 1 of the '828 patent is representative of the asserted claims relating to mathematically fitting an ellipse:

A method of processing input from a touch-sensitive surface, the method comprising:
receiving at least one proximity image representing a scan of a plurality of electrodes of the touch-sensitive surface; segmenting each proximity image into one or more pixel groups that indicate significant proximity, each pixel group representing proximity of a distinguishable hand part or other touch object on or near the touch-sensitive surface; and mathematically fitting an ellipse to at least one of the pixel groups.

'828 patent, claim 1 (emphasis added). Motorola prevailed in the ITC proceedings. While the ITC determined that an article describing SmartSkin, a prior art touchscreen system, did not anticipate the asserted claims of the '607 patent, it determined that SmartSkin rendered those claims obvious. The ITC also found that U.S. Patent No. 7,372,455 (Perski '455) anticipated the '607 patent claims. The ITC also found that Motorola did not infringe the '828 patent. It construed the term “mathematically fitting an ellipse” to require the method to perform “a mathematical process” whereby “an ellipse is actually fitted to the data.” J.A. 58-70. [1361]*1361Finding that the Motorola products do not fit an ellipse to the electrode data, the ITC determined that those products do not infringe the asserted claims of the '828 patent.

Apple appeals. We have jurisdiction under 28 U.S.C. § 1295(a)(6).

Discussion

I. Standard of Review

We review the ITC’s legal determinations de novo and its factual findings for substantial evidence. Crocs, Inc. v. Int’l Trade Comm’n, 598 F.3d 1294, 1302 (Fed.Cir.2010). Claim construction is a matter of law, which we review de novo. Sorensen v. Int’l Trade Comm’n, 427 F.3d 1375, 1378 (Fed.Cir.2005). Obviousness is a question of law based on underlying facts. Crocs, 598 F.3d at 1308. We review the ITC’s obviousness determination without deference and its factual findings for substantial evidence. Id. Whether a prior art reference anticipates the claims is a question of fact, reviewed for substantial evidence. Vizio, Inc. v. Int’l Trade Comm’n, 605 F.3d 1330, 1342 (Fed.Cir.2010).

II. Anticipation of the '607 Patent: Perski '455

The ALJ found that Perski '455 anticipates the asserted claims of the '607 patent. He found that Perski '455 was § 102(e) prior art despite Apple’s allegation of conception prior to the fifing date of the application that issued as Perski '455. The ALJ found that the provisional application to which Perski '455 claims priority, U.S. Provisional Patent Application No. 60/446,808 (Perski '808), provides written description support for the disclosure in Perski '455.

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725 F.3d 1356, 107 U.S.P.Q. 2d (BNA) 1864, 2013 WL 4007535, 35 I.T.R.D. (BNA) 1921, 2013 U.S. App. LEXIS 16282, Counsel Stack Legal Research, https://law.counselstack.com/opinion/apple-inc-v-international-trade-commission-cafc-2013.