DCT

3:24-cv-03249

Valtrus Innovations Ltd v. Google LLC

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I. Executive Summary and Procedural Information

  • Parties & Counsel:
  • Case Identification: 3:24-cv-03249, N.D. Tex., 03/27/2025
  • Venue Allegations: Venue is based on Google's alleged regular and established place of business in the district, including the operation of large data centers in Midlothian and Red Oak, Texas, which are the subject of the infringement allegations.
  • Core Dispute: Plaintiffs allege that Defendant’s data centers, which utilize redundant power systems, infringe a patent related to methods for managing multiple power supplies to improve efficiency and ensure uninterrupted operation.
  • Technical Context: The technology concerns high-availability power systems, critical for infrastructure like data centers, which must maintain constant operation even if the primary utility power fails.
  • Key Procedural History: The asserted patent was originally assigned to Hewlett-Packard Development Company. Plaintiffs note that during prosecution, the patent examiner issued a "statement of reasons for allowance," identifying the claimed configuration as a distinction over the prior art. The current complaint is a First Amended Complaint, and allegations of willfulness are based on notice from the original complaint.

Case Timeline

Date Event
2009-06-25 '967 Patent Priority Date
2011-05-10 '967 Patent Issue Date
2019-01-01 Google Midlothian Data Center Groundbreaking (approx.)
2022-06-07 Google Dallas Cloud Region Launch
2025-03-27 First Amended Complaint Filing Date

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

U.S. Patent No. 7,939,967 - "Multiple Power Supply Control", issued May 10, 2011

  • The Invention Explained:

    • Problem Addressed: The patent describes a problem in conventional redundant power systems where multiple power supplies share an electrical load equally. This "balanced load sharing approach often results in each power supply operating with less than optimum efficiency" ('967 Patent, col. 1:7-11; Compl. ¶ 17).
    • The Patented Solution: The invention discloses an apparatus where a primary power supply handles the load while a secondary power supply remains in a "lesser output level" or standby mode. If the primary power source fails, the primary power supply issues an "alert signal" ('967 Patent, col. 1:45-48). In response, the secondary power supply transitions to a "greater output level" to take over the load ('967 Patent, col. 1:49-51). Crucially, the patent describes the failing primary power supply using its own internal energy storage (e.g., capacitors) to continue powering the load during this transition, thereby preventing any downtime ('967 Patent, col. 3:36-44; Compl. ¶ 24).
    • Technical Importance: This active-standby architecture with seamless handover is designed to allow power supplies to operate at or near their peak efficiency while still providing robust redundancy for critical systems ('967 Patent, col. 4:9-12).

  • Key Claims at a Glance:

    • The complaint alleges infringement of independent Claim 1 and dependent Claims 2-8 (Compl. ¶¶ 30-62).
    • Independent Claim 1 requires:
      • An apparatus, comprising:
      • a first power supply coupled to an electrical load and a first source of electrical energy, the first power supply configured to issue an alert signal indicative of a failure condition of the first source of electrical energy; and
      • a second power supply coupled to the electrical load and a second source of electrical energy, the second power supply configured to transition from a lesser output level to a greater output level in response to an activation signal.

III. The Accused Instrumentality

  • Product Identification: The accused instrumentalities are Google's data centers and their associated redundant power systems, with the Midlothian Data Center in Texas identified as a specific example (Compl. ¶¶ 30-31).
  • Functionality and Market Context:
    • The complaint alleges that Google's data centers employ a redundant power architecture to provide "uninterrupted services" for its cloud computing platform and other offerings (Compl. ¶ 40).
    • This architecture is alleged to consist of a primary power source (the utility grid, fed through a Google-owned substation) and a secondary or backup power source (on-site generators) (Compl. ¶¶ 34, 38).
    • Upon failure of the primary utility power, the system allegedly signals the on-site generators to activate and assume the electrical load of the data center's servers (Compl. ¶ 40). The complaint includes an annotated satellite image identifying the alleged location of the on-site generators at the Midlothian facility (Compl. ¶ 38, p. 24).
    • The complaint highlights the commercial importance of these facilities, noting the Midlothian Data Center supports the "Dallas" Google Cloud region, described as one of only eleven such regions in North America (Compl. ¶ 8, 32).

IV. Analysis of Infringement Allegations

’967 Patent Infringement Allegations

| Claim Element (from Independent Claim 1) | Alleged Infringing Functionality - |:----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |:-------------------|:-----------------|
| a first power supply coupled to an electrical load and a first source of electrical energy, the first power supply configured to issue an alert signal indicative of a failure condition of the first source of electrical energy | Google's data center allegedly includes a primary power system (the "first power supply") connected to the utility grid via a Google-owned substation (the "first source"). This system powers servers (the "electrical load") and is alleged to issue an alert if the utility power fails. The complaint presents an annotated satellite image identifying the "power substation" at the accused facility (Compl. ¶ 37, p. 22). | ¶34 | col. 1:45-48 |
| a second power supply coupled to the electrical load and a second source of electrical energy, the second power supply configured to transition from a lesser output level to a greater output level in response to an activation signal | Google's data center allegedly includes a backup power system of on-site generators (the "second power supply" and "second source") connected to the servers. This system is alleged to transition from a standby state ("lesser output level") to full operational power ("greater output level") in response to a signal indicating the primary source has failed. The complaint includes a diagram from a Google video illustrating this primary-to-backup power flow (Compl. ¶ 35, p. 19). | ¶38 | col. 1:49-51 |

  • Identified Points of Contention:
    • Scope Questions: A primary issue may be whether the term "power supply" as used in the patent can be read to cover the large-scale, physically distinct infrastructure of a "Google-owned power substation" and a bank of "on-site generators." The defense may argue the patent contemplates smaller, more integrated electronic units, while the plaintiff may argue the claims are not limited by scale.
    • Technical Questions: The complaint alleges the functionality of Google's system based on publicly available marketing materials and videos. A technical question for the court will be whether the actual operation of the accused data centers matches the specific claim requirements. For example, what evidence demonstrates that the primary system issues a discrete "alert signal" that serves as the "activation signal" for the secondary system, as opposed to a more generalized power loss detection mechanism?

V. Key Claim Terms for Construction

  • The Term: "power supply"

  • Context and Importance: The construction of this term is fundamental. The infringement case rests on mapping this term onto Google's large-scale infrastructure components (e.g., substations, generator farms). Practitioners may focus on this term because its scope—whether it is limited to a single, integrated electronic device or can encompass a distributed system of components—will likely be dispositive.

  • Intrinsic Evidence for Interpretation:

    • Evidence for a Broader Interpretation: The specification mentions that sources of energy for the power supplies can include a "power distribution utility" or a "generator set," language that could be used to argue the patent contemplates application at a large scale ('967 Patent, col. 2:26-28). The term itself is not explicitly limited in the claims.
    • Evidence for a Narrower Interpretation: The patent figures depict the "power supply" as a discrete block component ('967 Patent, Fig. 1). The specification describes the power supplies as potentially including "state machines, digital logic, analog circuitry, or microcontrollers," language that may suggest a self-contained electronic apparatus rather than a collection of large-scale civil and electrical infrastructure ('967 Patent, col. 2:66-3:2).

  • The Term: "lesser output level"

  • Context and Importance: This term defines the pre-failover state of the secondary power supply. Its construction is important for determining whether the standby state of Google's alleged backup generators meets this limitation.

  • Intrinsic Evidence for Interpretation:

    • Evidence for a Broader Interpretation: The specification provides an example where the secondary power supply in "standby mode" is "providing no power output to the load" ('967 Patent, col. 3:23-24). This suggests that a "lesser output level" can encompass a zero-output state.
    • Evidence for a Narrower Interpretation: An opposing argument could be made that "lesser" implies a non-zero value that is simply smaller than the primary supply's output, distinguishing it from a complete "off" state. The relationship between "lesser output level" (Claim 1), "standby mode" (col. 3:20-24), and "standby signal" (Claim 6) may be scrutinized during claim construction.

VI. Other Allegations

  • Indirect Infringement: The complaint does not provide sufficient detail for analysis of indirect infringement, as the allegations focus on Google's direct making and using of the accused data center systems.
  • Willful Infringement: Willfulness is alleged based on Google’s continued infringement after being notified of the patent and the infringement allegations via the service of the original complaint in the litigation (Compl. ¶ 65). This is an allegation of post-suit willfulness.

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

  • A core issue will be one of definitional scope: can the term "power supply", which is described in the patent in the context of seemingly discrete electronic units, be construed to read on the macro-level, physically distributed infrastructure of a utility substation and an array of industrial generators as allegedly used in Google's data centers?
  • A key evidentiary question will be one of functional mapping: does the high-level, publicly described operation of Google’s power redundancy system align with the specific sequence and signaling recited in the claims? Discovery will be needed to determine if the accused system’s failover process involves an "alert signal" from a "first power supply" that serves as the "activation signal" for a "second power supply" as required by the patent.