Jury to AT&T: Pony Up $27.5M for Patent Infringement

A federal jury in San Antonio has ordered AT&T Inc. to pay $27.5 million for patent infringement in a case dating back to 2008.

Jury members found on Wednesday that AT&T’s U-Verse TV service infringed two patents owned by Two-Way Media LLC, which owns intellectual property covering live streaming and recordkeeping technology used for broadcasting Internet audio and video.

"This was a very hard-fought case," said Parker Folse, one of the Susman Godfrey attorneys arguing the case for Two-Way Media.

Dallas-based AT&T had tried to get the courts to deem the patents invalid. On Wednesday, the company said in a statement to Bloomberg it will seek to have the verdict overturned. The total award amount was smaller than what Two-Way Media sought, an AT&T spokesman said, but "we will challenge the amount that was awarded."

Two-Way Media also sued Akamai Technologies Inc. and Limelight Networks Inc. at the same time it went after AT&T; those two companies ended up settling with Two-Way Media.

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