DCT

2:22-cv-00172

NetSocket Inc v. Cisco Systems Inc

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I. Executive Summary and Procedural Information

  • Parties & Counsel:
  • Case Identification: 2:22-cv-00172, E.D. Tex., 01/11/2023
  • Venue Allegations: Plaintiff alleges venue is proper in the Eastern District of Texas because Defendant Cisco maintains regular and established physical presences in the district, including a place of business in Richardson and a data center in Allen, Texas.
  • Core Dispute: Plaintiff alleges that Defendant’s networking hardware and software, including its IOS operating system and platforms for mobile telecommunications and unified communications, infringe seven patents related to Quality of Service (QoS), network resource management, and admission control.
  • Technical Context: The patents relate to methods and systems for managing network resources to ensure a predictable level of performance for real-time data like voice and video, a critical function in modern IP-based telecommunication and data networks.
  • Key Procedural History: The complaint, a Second Amended Complaint, alleges that Defendant had pre-suit knowledge of its infringement, citing a direct notice letter dated May 23, 2022. For several of the asserted patents, the complaint also alleges Defendant had knowledge as a result of a partnership with Plaintiff dating back to at least 2012. An Inter Partes Review (IPR2023-00607) was filed against the ’698 Patent, which resulted in the cancellation of all claims.

Case Timeline

Date Event
2000-04-13 Priority Date: U.S. Patent No. 7,190,698
2001-01-16 Priority Date: U.S. Patent No. 7,616,601
2001-09-03 Priority Date: U.S. Patent No. 7,606,885
2001-09-04 Priority Date: U.S. Patent No. 7,734,796
2002-12-02 Priority Date: U.S. Patent No. 7,720,966
2002-12-20 Priority Date: U.S. Patent No. 7,827,284
2002-12-20 Priority Date: U.S. Patent No. 7,885,286
2007-03-13 Issue Date: U.S. Patent No. 7,190,698
2009-10-20 Issue Date: U.S. Patent No. 7,606,885
2009-11-10 Issue Date: U.S. Patent No. 7,616,601
2010-05-18 Issue Date: U.S. Patent No. 7,720,966
2010-06-08 Issue Date: U.S. Patent No. 7,734,796
2010-11-02 Issue Date: U.S. Patent No. 7,827,284
2011-02-08 Issue Date: U.S. Patent No. 7,885,286
2022-05-23 Plaintiff sends notice letter to Defendant
2023-01-11 Second Amended Complaint filed

II. Technology and Patent(s)-in-Suit Analysis

U.S. Patent No. 7,616,601 - “Network Resource Manager In A Mobile Telecommunication System” (issued Nov. 10, 2009)

The Invention Explained

  • Problem Addressed: In IP-based mobile telecommunication systems, ensuring end-to-end Quality of Service (QoS) is challenging. Static network dimensioning is often insufficient because usage patterns change and link failures can occur, leading to network links becoming over-utilized and degrading service quality for active sessions (’601 Patent, col. 4:1-12).
  • The Patented Solution: The patent proposes a Network Resource Manager (NRM) that provides dynamic, centralized control over network resources. The NRM maintains a "resource map" reflecting the network topology and current resource usage, allowing it to perform "path-sensitive call admission control" (’601 Patent, Abstract). By checking the availability of resources along a specific path before admitting a new session, and by communicating with the radio resource manager, the NRM can provide end-to-end QoS guarantees across both the core IP network and the Radio Access Network (’601 Patent, col. 7:40-49).
  • Technical Importance: The invention provides a mechanism for actively managing network resources in real-time, enabling more efficient utilization and more reliable QoS than static provisioning methods allow.

Key Claims at a Glance

  • Asserted Independent Claim(s): Claim 1.
  • Claim 1 Elements:
    • A method for providing end-to-end Quality of Service (QoS) within a mobile telecommunication system comprising a Core Network (CN) connected to at least one Radio Access Network (RAN) using Internet Protocol (IP) based transmission.
    • Handling radio resources within the RAN by using a radio resource manager.
    • Controlling IP network resources by using a resource map in a Network Resource Manager (NRM) to provide said end-to-end QoS.
    • The NRM performing path-sensitive call admission control by using the resource map.
    • The NRM checking that resources are available along a path.
    • The NRM pre-allocating resources in an IP network.
    • Scheduling resources over time by introducing a start and a stop time as a parameter in a resource request handled by the NRM.
    • Communicating resource information between the NRM and the radio resource manager.
    • Reserving the IP network resources along the path by the NRM to fulfill the end-to-end QoS.
  • The complaint also asserts infringement of one or more unspecified claims of the patent (Compl. ¶32).

U.S. Patent No. 7,190,698 - “Network Optimisation Method” (issued Mar. 13, 2007)

The Invention Explained

  • Problem Addressed: Establishing a service with guaranteed bandwidth across multiple, independent network domains (e.g., different service providers) is a major challenge for the Internet. Traditional routing does not account for resource availability, and there is no standard mechanism for one domain to reserve resources in another (’698 Patent, col. 6:53-59).
  • The Patented Solution: The invention describes a method using a "Bandwidth Broker" (BB) associated with each network domain. To establish an end-to-end "Virtual Leased Line" (VLL) with a predefined QoS, a request is sent to the BB in the source domain. This BB then communicates and negotiates with the BBs of all subsequent domains along the path to the destination. Each involved BB performs admission control for its own domain, and if all BBs approve, the VLL is granted and resources are reserved across the entire path (’698 Patent, Abstract; Fig. 4).
  • Technical Importance: This approach creates a framework for dynamic, end-to-end QoS provisioning across disparate administrative domains, a key enabler for global, high-quality network services.

Key Claims at a Glance

  • Asserted Independent Claim(s): Claim 1.
  • Claim 1 Elements:
    • A method in a packet based communication network including network domains, wherein at least one domain is a Multiprotocol Label Switching MPLS domain, to establish a virtual leased line, VLL, between a source (SRC) and a destination (DST) in different domains.
    • Generating a request from an entity for a VLL having a predefined QoS from a source network to a destination network and applying the request to a Bandwidth Broker (BB) of a domain A, associated to the source network.
    • The BB of domain A establishing the different domains involved to reach the destination network.
    • The BB of domain A directly or indirectly passing requests to all BBs of the involved domains regarding a VLL of the predefined QoS from ingress to egress of each domain.
    • Each involved BB performing admission control in its domain.
    • Each involved BB returning a result of the admission control to the BB of domain A that passes it back to the requesting entity, and if admitted, granting the VLL.
    • Performing Label Switched Path, LSP, setup and passing resource requests from the BB to at least one intra-domain broker (IDB), wherein each IDB is responsible for admission control and LSP setup.
  • The complaint also asserts infringement of one or more unspecified claims of the patent (Compl. ¶64).

Multi-Patent Capsule: U.S. Patent No. 7,734,796

  • Patent Identification: U.S. Patent No. 7734796, “Method and Arrangement For Reserving Resources To Obtain A Predetermined Quality Of Service In An IP Network,” issued June 8, 2010.
  • Technology Synopsis: The patent addresses reserving resources for QoS between terminals in different network domains. A first Network Resource Manager (NRM) in the source domain requests resources from a second NRM in the destination domain. The second NRM announces a "domain property label" back to the first NRM, characterizing the resource availability and QoS mechanisms within the destination domain, which guides how the end-to-end reservation is established (’796 Patent, Abstract).
  • Asserted Claims: At least Claim 25 (Compl. ¶82).
  • Accused Features: The complaint alleges that Cisco’s Internetwork Operating System (IOS) in its MPLS-VPN Inter-Autonomous System configuration infringes by having NRMs in a source domain (AS1) request resources from NRMs in a destination domain (AS2) using protocols like RSVP to establish paths with predetermined QoS (Compl. ¶86-89).

Multi-Patent Capsule: U.S. Patent No. 7,827,284

  • Patent Identification: U.S. Patent No. 7827284, “Method And Arrangement In A Communication System,” issued November 2, 2010.
  • Technology Synopsis: The patent describes a method for admission control that uses statistical multiplexing to improve network utilization. The method involves setting a resource threshold for a link, measuring aggregated traffic flows, and dynamically adapting the threshold based on the measured multiplexing properties and knowledge of the link's forwarding resources to prevent overload while offering quality assurances (’284 Patent, Abstract).
  • Asserted Claims: At least Claim 1 (Compl. ¶99).
  • Accused Features: The complaint accuses the Cisco QoS System (MWAM and Catalyst routing platforms) of infringing by performing admission control in mobile networks via QoS configured on the MWAM, which includes setting resource thresholds, calculating measurement levels, and dynamically adapting thresholds based on measured traffic properties (Compl. ¶104-109).

Multi-Patent Capsule: U.S. Patent No. 7,720,966

  • Patent Identification: U.S. Patent No. 7720966, “Arrangements And Method For Hierarchical Resource Management In A Layered Network Architecture,” issued May 18, 2010.
  • Technology Synopsis: This patent discloses a system for hierarchical resource management across a data network implemented with at least two network levels having different addressing schemes. A first group of Network Resource Managers (NRMs) controls resources at the first level, and a second group controls the second level. The NRMs exchange resource requests, and the second group performs address mapping between the two schemes to enable end-to-end control (’966 Patent, Abstract).
  • Asserted Claims: At least Claim 1 (Compl. ¶117).
  • Accused Features: The complaint targets the Cisco IOS MPLS-VPN Inter-AS system, alleging it controls resources across a first network level (e.g., an IP backbone) and a second level (e.g., an MPLS layer) using different addressing schemes, with NRMs (routers implementing RSVP) communicating to manage resources across these layers (Compl. ¶121-124).

Multi-Patent Capsule: U.S. Patent No. 7,606,885

  • Patent Identification: U.S. Patent No. 7606885, “Method For, And A Topology Aware Resource Manager In An IP-Telephony System,” issued October 20, 2009.
  • Technology Synopsis: The patent describes a "topology aware resource manager" (RM) for an IP telephony system. The RM collects routing and resource information to create a resource map of the network. It then interacts with a gatekeeper, using this map to perform path-sensitive admission control for voice call set-up requests, ensuring sufficient bandwidth is available before admitting a call (’885 Patent, Abstract).
  • Asserted Claims: At least Claim 14 (Compl. ¶131).
  • Accused Features: The complaint accuses the Cisco Unified Communication System, which allegedly uses a topology-aware resource manager (the Location Bandwidth Manager) on a standalone server (Cisco Unified Communications Manager) that is connected to and interacts with a gatekeeper (running on Cisco routers) to perform admission control for IP telephony (Compl. ¶135, ¶138-139).

Multi-Patent Capsule: U.S. Patent No. 7,885,286

  • Patent Identification: U.S. Patent No. 7885286, “Method And Arrangements In An IP Network,” issued February 8, 2011.
  • Technology Synopsis: The patent discloses a system for rapidly starting a multicast media stream, such as in IPTV. An application framework receives a client request and asks a network resource manager for resources for a "Media Quick Start." This involves sending an initial unicast burst of data to the client for immediate playback while the client joins the main multicast stream. The resource manager provides feedback on resource availability, and if resources are scarce, the system can use an alternative behavior, such as denying the unicast burst but still allowing the client to join the multicast stream (’286 Patent, Abstract).
  • Asserted Claims: At least Claim 1 (Compl. ¶147).
  • Accused Features: The Cisco CDA video quality experience (VQE) application system is accused. The complaint alleges this system provides for a "Media Quick Start" (called Rapid Channel Change, or RCC) where a client (VQE-C) requests a channel change, and a server (VQE-S) acting as a resource manager sends a unicast burst from a cache while the client joins the multicast stream, and receives feedback on network availability (Compl. ¶151-155).

III. The Accused Instrumentality

Product Identification

  • The complaint identifies several accused instrumentalities across the different patents:
    • The "Cisco QoS System," comprising the Multiprocessor WAN Application Module (MWAM) used with Catalyst 6500 and 7600 Series routing platforms (Compl. ¶34, ¶100).
    • Cisco Internetwork Operating System (IOS) versions 12 and above (Compl. ¶66, ¶83, ¶118).
    • The Cisco Unified Communication System, including Cisco IOS and Cisco 2900 and 3900 series routers (Compl. ¶131).
    • The Cisco CDA video quality experience (VQE) application system (Compl. ¶147).

Functionality and Market Context

  • The accused instrumentalities collectively provide networking infrastructure and software for managing data traffic in large-scale networks. Their relevant functions, as alleged, include implementing end-to-end Quality of Service (QoS) for mobile and IP networks, managing resources for IP telephony, and optimizing video delivery for IPTV services (Compl. ¶36, ¶71, ¶135, ¶151).
  • The complaint alleges these products are used by telecommunication service providers and enterprises to build and manage networks for delivering real-time services like voice and video over IP (Compl. ¶4, ¶135). The complaint alleges these are commercially significant products offered for sale by Cisco in the United States (Compl. ¶30, ¶34).

IV. Analysis of Infringement Allegations

’601 Patent Infringement Allegations

Claim Element (from Independent Claim 1) Alleged Infringing Functionality Complaint Citation Patent Citation
A method for providing end-to-end Quality of Service (QoS) within a mobile telecommunication system... The Cisco QoS System provides end-to-end QoS within a mobile telecommunication system. A diagram of such a system is provided. (Compl. Fig. 1-2) ¶36-38 col. 8:1-10
handling radio resources within the RAN by using a radio resource manager; The Cisco Serving GPRS Support Nodes (SGSN) are responsible for the Radio Access Bearer (RAB) interface, which is alleged to be the radio resource manager functionality. ¶44-45 col. 8:64-67
controlling IP network resources by using a resource map in a Network Resource Manager (NRM)... The Cisco MWAM, via the Gateway GPRS Support Node (GGSN), controls IP network resources by using a resource map in the NRM functionality. ¶46-47 col. 8:23-26
wherein the NRM performing path-sensitive call admission control by using the resource map... The Cisco GGSN performs path-sensitive call admission control by determining if requested QoS can be handled based on available resources. ¶50 col. 8:27-33
scheduling resources over time by introducing a start and a stop time as a parameter in a resource request handled by the NRM. Cisco's QoS policies can be applied locally through the use of start and stop times. The complaint includes a screenshot of a GUI for configuring these policies. (Compl. p. 13) ¶54-55 col. 8:45-49
communicating resource information between the NRM and the radio resource manager; The SGSN (containing the radio resource manager functionality) communicates with the NRM functionality in the GGSN. ¶57 col. 8:50-53
reserving the IP network resources along the path by the NRM to fulfill the end-to-end QoS. The Cisco MWAM reserves IP network resources along the path via the NRM (GGSN) to fulfill end-to-end QoS. ¶58 col. 8:57-60
  • Identified Points of Contention:
    • Scope Questions: A primary question will be whether standard components of a GPRS/UMTS architecture, such as Cisco’s SGSN and GGSN, function as the claimed "radio resource manager" and "Network Resource Manager (NRM)," respectively. The defense may argue that these are terms of art defined by the patent with specific functionalities not present in the standard components. For instance, "Does the complaint provide evidence that the accused GGSN maintains a resource map as a distinct data structure used for admission control, as contemplated by the patent, rather than simply applying general QoS policies?"
    • Technical Questions: The complaint alleges that the SGSN's responsibility for the Radio Access Bearer interface makes it the "radio resource manager" (Compl. ¶45). The analysis may question if this mapping is technically accurate, as the RNC (Radio Network Controller), also shown in the complaint's diagram (Compl. Fig. 1-2), is traditionally more directly involved with radio resource management.

’698 Patent Infringement Allegations

Claim Element (from Independent Claim 1) Alleged Infringing Functionality Complaint Citation Patent Citation
a method in a packet based communication network including network domains... to establish a virtual leased line, VLL... Cisco IOS is used in MPLS VPN Inter-AS topologies with multiple domains (AS1, AS2) to establish connections with predefined QoS. ¶70, ¶72 col. 7:51-57
generate a request... for a Virtual Leased Line, VLL... and apply the request to a Bandwidth Broker (BB) of a domain A... Cisco IOS generates a request for a VLL with predefined QoS from a source (SRC) to a destination (DST) and applies it to a Bandwidth Broker (BBA) of the source domain. The complaint identifies routers as acting as Bandwidth Brokers. ¶69, ¶71 col. 8:9-14
said BB... passes requests to all BBs of the involved domains regarding a VLL... The domain BBA (Bandwidth Broker) passes requests to all Bandwidth Brokers of the involved domains to reach the destination network. The complaint shows a diagram of routers passing requests between autonomous systems. (Compl. Fig. 3) ¶72-73 col. 8:15-20
each involved BB performs admission control in its domain; Each involved bandwidth broker performs admission control in its domain by accepting or rejecting requests based on resource availability. ¶74 col. 8:21-22
each involved BB returns a result of the admission control to said BB... and if the request was admitted... a VLL of the predefined QoS is granted. A result of admission control is returned to the BBA; if admitted along all domains, the VLL is granted. The complaint provides a diagram showing a RESV message returning to the headend router to establish the path. (Compl. p. 19) ¶75 col. 8:23-28
performing [LSP] setup and passing resource requests from the BB to at least one intra-domain broker (IDB)... Cisco IOS performs Label Switched Path (LSP) setup and passes resource requests from the BB to at least one intra-domain broker, which is responsible for admission control. ¶76 col. 8:29-35
  • Identified Points of Contention:
    • Scope Questions: The case may turn on the definition of "Bandwidth Broker (BB)." The complaint appears to equate a standard router running RSVP with the claimed BB (Compl. ¶71). The question for the court will be, "Does a router that uses standard protocols like RSVP to signal for resources in an MPLS network perform the specific role of a Bandwidth Broker that performs admission control and communicates with other BBs as required by Claim 1, or is the claimed BB a distinct logical entity with policy and management functions beyond standard routing?"
    • Technical Questions: Claim 1 requires passing requests to an "intra-domain broker (IDB)" for LSP setup. The complaint asserts this element is met (Compl. ¶76) but provides limited detail on what specific component in the Cisco IOS system functions as the IDB, distinct from the BB.

V. Key Claim Terms for Construction

’601 Patent

  • The Term: "Network Resource Manager (NRM)"
  • Context and Importance: This term is the central component of the invention. The infringement case hinges on whether the functionality of Cisco's Gateway GPRS Support Node (GGSN) can be properly characterized as the claimed NRM. Practitioners may focus on this term because the complaint maps it to a standard network component, raising the question of whether the patent claims a novel system or merely puts a new name on existing technology.
  • Intrinsic Evidence for Interpretation:
    • Evidence for a Broader Interpretation: The patent states the NRM "monitors and/or manages and/or reserves resources within the network" (’601 Patent, col. 10:13-15), which could be read broadly to cover any system component performing these functions.
    • Evidence for a Narrower Interpretation: The patent abstract and detailed description consistently describe the NRM as an entity that uses a "resource map" to perform "path-sensitive call admission control" and communicates with a "radio resource manager" (’601 Patent, Abstract; col. 8:23-53). A defendant could argue this combination of features defines a specific, integrated system that is narrower than the general functions of a GGSN.

’698 Patent

  • The Term: "Bandwidth Broker (BB)"
  • Context and Importance: The entire claimed method revolves around the interaction of these entities. Whether Cisco's routers running IOS infringe depends on whether they can be considered "Bandwidth Brokers." This is a critical construction issue because "Bandwidth Broker" is a term of art in the networking field, and the patent's specific use of it will be highly scrutinized.
  • Intrinsic Evidence for Interpretation:
    • Evidence for a Broader Interpretation: The patent states a BB is "an entity in a network domain that manages policies for bandwidth resources" and that it "provides admission control decisions on QoS service requests" (’698 Patent, col. 5:47-52). This could be interpreted to cover any router making policy-based routing and resource decisions.
    • Evidence for a Narrower Interpretation: The patent describes the BB as a "centralised" entity that "has control over the entire domain" and "centrally handles bandwidth allocation requests" (’698 Patent, col. 3:10-13). It is also described as being able to "communicate with bandwidth brokers in neighbouring domains" (’698 Patent, col. 5:53-55). This suggests a more specialized, centralized management entity than a standard distributed router.

VI. Other Allegations

  • Indirect Infringement: For all asserted patents, the complaint alleges both induced and contributory infringement. It claims Cisco actively induces infringement by providing products and encouraging distributors and customers to use them in an infringing manner (e.g., Compl. ¶32, ¶64). It also alleges contributory infringement, stating the accused systems are not staple articles of commerce suitable for substantial non-infringing use (e.g., Compl. ¶60, ¶77).
  • Willful Infringement: The complaint alleges willful infringement for all patents, asserting that Cisco had knowledge of the patents and their infringement since before the filing of the original complaint. This allegation is primarily based on a notice letter sent to Cisco on May 23, 2022 (e.g., Compl. ¶35, ¶67). For several patents, knowledge is also alleged to stem from a business partnership with NetSocket dating to at least 2012 (e.g., Compl. ¶84, ¶119, ¶133, ¶149).

VII. Analyst’s Conclusion: Key Questions for the Case

  • A core issue will be one of definitional scope: Can Plaintiff persuade the court that terms of art like “Network Resource Manager” and “Bandwidth Broker,” as defined and used within the patents, should be construed broadly enough to read on the functionality of standard, multi-purpose networking components and protocols within Cisco's products?
  • A key evidentiary question will be one of system integration: The complaint constructs its infringement theories by mapping claim elements to various features described across different Cisco technical documents. A central question will be whether the evidence demonstrates that these features operate together as the cohesive, integrated systems claimed in the patents, or if they are merely a collection of discrete functionalities that do not interact in the patented manner.