DCT

6:23-cv-00341

Big Will Enterprises Inc v. Alinsco Managing General Agency Inc

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I. Executive Summary and Procedural Information

  • Parties & Counsel:
  • Case Identification: 6:23-cv-00341, W.D. Tex., 05/09/2023
  • Venue Allegations: Plaintiff alleges venue is proper in the Western District of Texas because Defendant maintains "established and regular places of business" within the district and has committed the alleged acts of patent infringement there.
  • Core Dispute: Plaintiff alleges that Defendant’s Alinsco telematics application infringes five patents related to using mobile device sensors to determine motion activities and trigger activity-based actions.
  • Technical Context: This dispute centers on telematics technology, which uses sensors in mobile devices like smartphones to monitor and analyze motion, a field with significant application in usage-based insurance and driver safety programs.
  • Key Procedural History: The complaint does not mention any prior litigation, Inter Partes Review (IPR) proceedings, or licensing history related to the patents-in-suit.

Case Timeline

Date Event
2008-01-16 Priority Date for ’846, ’558, ’951, and ’914 Patents
2012-08-30 Priority Date for ’273 Patent
2013-05-28 U.S. Patent No. 8,452,273 Issued
2013-10-15 U.S. Patent No. 8,559,914 Issued
2014-05-27 U.S. Patent No. 8,737,951 Issued
2015-06-02 U.S. Patent No. 9,049,558 Issued
2019-12-31 U.S. Patent No. 10,521,846 Issued
2023-05-09 Complaint Filing Date

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

U.S. Patent No. 10,521,846 - “Targeted advertisement selection for a wireless communication device (WCD)”

  • Patent Identification: U.S. Patent No. 10,521,846, “Targeted advertisement selection for a wireless communication device (WCD),” issued December 31, 2019 (Compl. ¶17).

The Invention Explained

  • Problem Addressed: The patent addresses the technical challenge of accurately identifying a “mobile thing motion activity” (MTMA)—such as walking, running, or driving—using sensor data from a wireless device, particularly when the device’s physical orientation is not fixed. (’846 Patent, col. 1:29-48; Compl. ¶3).
  • The Patented Solution: The invention proposes a method and system that uses sensors like an accelerometer or gyroscope within a wireless communication device (WCD) to determine the user’s or "mobile thing's" motion activity. (’846 Patent, Abstract). The system analyzes sensor data, often by comparing it to stored "reference MTMA signatures," to identify the current activity. Based on this determination, it selects and communicates a targeted advertisement to the user's device. (’846 Patent, col. 2:9-31).
  • Technical Importance: This technology enables applications to become context-aware, using motion data from ubiquitous personal devices to trigger relevant, real-time actions, a foundational concept for fields like usage-based insurance and interactive mobile marketing. (Compl. ¶2).

Key Claims at a Glance

  • The complaint asserts independent claims 1 (a method) and 12 (a device), as well as dependent claims 2-10 and 13-16. (Compl. ¶¶ 26-40).
  • Independent Claim 1 includes the essential elements of:
    • Determining a mobile thing motion activity (MTMA) based on sensor data from a wireless communication device (WCD).
    • The sensor data measures physical movement in three-dimensional space and includes movement and time values.
    • Selecting an advertisement based at least in part on the determined MTMA.
    • Causing the advertisement to be communicated to the WCD.
    • Wherein the determination step includes storing reference MTMA signatures, determining a normalizing mathematical relationship, analyzing normalized data sets, determining likelihoods based on the analysis, and selecting a most likely MTMA signature.
  • Independent Claim 12 recites a WCD comprising:
    • Transceivers for accessing a remote computer system designed to select a targeted advertisement.
    • Sensors to produce sensor data indicative of physical movement.
    • Memory to store computer program code.
    • Processors to execute code that determines the MTMA based on the sensor data.

U.S. Patent No. 9,049,558 - “Systems and methods for determining mobile thing motion activity (MTMA) using sensor data of wireless communication device (WCD) and initiating activity-based actions”

  • Patent Identification: U.S. Patent No. 9,049,558, “Systems and methods for determining mobile thing motion activity (MTMA) using sensor data of wireless communication device (WCD) and initiating activity-based actions,” issued June 02, 2015 (Compl. ¶17).

The Invention Explained

  • Problem Addressed: The patent targets the problem of reliably identifying motion activities from a mobile device whose orientation relative to the user is unknown and dynamic, such as a phone in a pocket or purse. (Compl. ¶3). Prior art methods that did not account for this variable orientation were noted to be inaccurate. (’273 Patent, col. 2:1-49, incorporated by reference into the '558 patent family).
  • The Patented Solution: The invention describes a method for processing sensor data by first "recognizing a particular set of data sample values as a reference for defining an orientation" of the device in a coordinate system. (’558 Patent, Abstract; Claim 1). This reference, often established when the device is stationary and subject only to gravity, allows subsequent sensor data to be normalized. This normalized data is then analyzed to determine the motion activity, overcoming the orientation challenge. (’558 Patent, col. 3:5-24).
  • Technical Importance: The technique of establishing a dynamic reference framework to normalize sensor data was a critical step in improving the accuracy and reliability of motion detection on smartphones, making such technology viable for commercial applications. (Compl. ¶3).

Key Claims at a Glance

  • The complaint asserts independent claims 1, 17, 27, 42, and 52. (Compl. ¶¶ 45-49).
  • Independent Claim 17 includes the essential elements of:
    • Receiving first and second data from one or more sensors indicative of movement.
    • Determining reference data that defines a reference framework from the first data.
    • Normalizing the second data with the reference data so it can be analyzed in the reference framework.
    • Identifying an MTMA based upon the normalized second data.
  • The complaint also asserts independent claims 1 (a method based on recognizing a reference set), 27 (a method implemented in a WCD), 42 (a system with code to determine a reference framework), and 52 (a system implemented in a WCD).

U.S. Patent No. 8,737,951 - “Interactive personal surveillance and security (IPSS) systems and methods”

  • Patent Identification: U.S. Patent No. 8,737,951, “Interactive personal surveillance and security (IPSS) systems and methods,” issued May 27, 2014 (Compl. ¶17).
  • Technology Synopsis: The ’951 Patent describes a wireless communications device comprising memory and processors that execute code to determine a "human body physical activity" (HBPA) from sensor data. Based on the determined activity, the device selects a "mode of operation" from a set of modes and communicates the sensor data to a remote computer system. (’951 Patent, Claim 10; Compl. ¶54).
  • Asserted Claims: Independent Claim 10 (Compl. ¶54).
  • Accused Features: The Alinsco application is accused of determining a user is driving (the HBPA), which starts the driver monitoring process (the mode of operation), and communicates surveillance information like unsafe braking to a remote server. (Compl. ¶54).

U.S. Patent No. 8,559,914 - “Interactive personal surveillance and security (IPSS) systems and methods”

  • Patent Identification: U.S. Patent No. 8,559,914, “Interactive personal surveillance and security (IPSS) systems and methods,” issued October 15, 2013 (Compl. ¶17).
  • Technology Synopsis: The ’914 Patent claims a system and method where a computing device determines a user activity and/or surroundings, determines a corresponding "surveillance mode," facilitates a user-defined response, and communicates surveillance information to a remote computer. (’914 Patent, Claims 5, 15; Compl. ¶¶ 59, 60).
  • Asserted Claims: Independent Claims 5 (system) and 15 (method) (Compl. ¶¶ 59, 60).
  • Accused Features: The complaint alleges the Alinsco application determines a user is driving, which starts the driver monitoring "surveillance mode," and communicates driver events to a monitoring server. The complaint provides a screenshot from the app showing trip history, which allegedly corresponds to the surveillance information. (Compl. ¶59, p. 32).

U.S. Patent No. 8,452,273 - “Systems and methods for determining mobile thing motion activity (MTMA) using accelerometer of wireless communication device”

  • Patent Identification: U.S. Patent No. 8,452,273, “Systems and methods for determining mobile thing motion activity (MTMA) using accelerometer of wireless communication device,” issued May 28, 2013 (Compl. ¶17).
  • Technology Synopsis: The ’273 Patent discloses methods for identifying motion activity by processing accelerometer data. One method involves determining reference data that defines a framework in two dimensions (2D) of space from initial data, then normalizing subsequent data for analysis within that 2D space. (’273 Patent, Claim 12; Compl. ¶65).
  • Asserted Claims: Independent Claims 12 and 22 (Compl. ¶¶ 65, 66).
  • Accused Features: The complaint alleges the Alinsco application determines gravity and its influence on 3D accelerometer data to create a 2D reference framework (e.g., vertical and horizontal directions) for analyzing motion and determining driving behaviors like hard braking. A screenshot from an application described as providing "Family Safety" metrics is included as evidence of this functionality. (Compl. ¶65, p. 36).

III. The Accused Instrumentality

Product Identification

  • The accused instrumentality is the Alinsco application, a smartphone-based telematics system. (Compl. ¶¶14, 25).

Functionality and Market Context

  • The Alinsco application is alleged to be a driver-behavior monitoring and reporting solution that uses a smartphone’s internal sensors, including accelerometers and gyroscopes, to detect and report unsafe driving behaviors such as "harsh braking, aggressive acceleration, and cornering." (Compl. ¶26). This functionality is part of Alinsco's "Smart Driving Telematics" program, which offers insurance discounts to drivers based on their monitored driving habits. (Compl. ¶26, p. 10; Compl. ¶47, p. 23). The complaint alleges the application communicates collected sensor data and identified motion activities to remote servers for processing into driver scores and notifications. (Compl. ¶¶ 30, 34). A screenshot provided in the complaint shows a marketing message stating "Better Rates Based on Your Driving Habits," linking the app's function directly to the insurance product. (Compl. ¶26, p. 9).

IV. Analysis of Infringement Allegations

U.S. Patent No. 10,521,846 Infringement Allegations

Claim Element (from Independent Claim 1) Alleged Infringing Functionality Complaint Citation Patent Citation
A method for use in connection with a wireless communication device (WCD) transported by a mobile thing (MT)... comprising: determining a mobile thing motion activity (MTMA) associated with the MT that is transporting the WCD based at least in part upon sensor data... The Alinsco application is a telematics system that uses smartphone accelerometers and gyroscopes to monitor driver behaviors such as harsh braking, aggressive acceleration, and cornering. ¶26 col. 89:59-63
the one or more sensors measuring physical movement of the WCD in three dimensional space and producing data sets comprising three movement values and a time value... The application records driver behaviors with sensors monitoring acceleration and/or angular velocity over time from internal smartphone sensors, using time values for statistical analysis. ¶26 col. 89:65-90:5
selecting an advertisement based at least in part upon the determined MTMA; causing the advertisement to be communicated to the WCD... The application offers customizable driver reporting and messaging, including notifications about earning a discount upon renewal based on telematics monitoring. ¶26 col. 90:1-3
wherein the determining the MTMA comprises: storing a plurality of reference MTMA signatures in the memory... The application stores reference data containing accelerometer and gyroscope acceleration data that uses frequency and time to identify activities like driving and cornering. ¶26 col. 90:11-15
determining a normalizing mathematical relationship... using the normalizing mathematical relationship, determining normalized data sets; analyzing the normalized data sets in the frequency and time domains; The application normalizes raw accelerometer data to remove gravity effects, allowing for separate and accurate measurement of vertical and horizontal accelerations in frequency and time domains. ¶26 col. 90:15-20

Identified Points of Contention

  • Scope Questions: A central question may be whether the "driver reporting and messaging," driver scores, and notifications of potential insurance discounts (Compl. ¶26, p.10) qualify as an "advertisement" under the patent's claims. A court may need to determine if this term is limited to traditional commercial promotions or can be construed more broadly to cover usage-based feedback and incentives.
  • Technical Questions: The complaint alleges the app normalizes data, but what evidence does it provide that this normalization follows the specific multi-step process recited in Claim 1 of storing signatures, determining a normalizing relationship, analyzing normalized data, determining likelihoods, and selecting a most likely signature? The infringement analysis will likely require a detailed technical comparison of the accused app's algorithm against this claimed sequence.

U.S. Patent No. 9,049,558 Infringement Allegations

Claim Element (from Independent Claim 17) Alleged Infringing Functionality Complaint Citation Patent Citation
A method, comprising: receiving first and second data from one or more sensors associated with a wireless communication device (WCD) transported by a mobile thing (MT), the first and second data indicative of movement of the WCD; The Alinsco application is a smartphone solution that uses smartphone accelerometers and/or gyroscopes for monitoring driver behaviors such as hard braking, rapid acceleration, and phone usage. ¶46 col. 10:20-24
determining reference data that defines a reference framework from the first data; The application uses reference accelerometer and gyroscope data for the x, y, and z axes to create a framework that allows for recalculation of data without gravity's influence or uses gravity to determine vertical/horizontal orientations. ¶46 col. 10:25-26
normalizing the second data with the reference data so that the second data can be analyzed in the reference framework; and The accelerometer data is normalized in the time and frequency domain so that similar data may be analyzed in the reference framework. ¶46 col. 10:27-29
identifying a mobile thing motion activity (MTMA) associated with the MT based upon the normalized second data. A comparison of the normalized second reference data with live accelerometer and gyroscope data is used to identify unsafe driving behaviors like hard braking and hard cornering. ¶46 col. 10:30-32

Identified Points of Contention

  • Scope Questions: Claim 1 of the ’558 patent requires "recognizing a particular set of data sample values as a reference for defining an orientation." The complaint alleges the app uses gravity to determine orientation (Compl. ¶45), but a potential dispute is whether this constitutes the discrete step of "recognizing" a "particular set" of values to establish the reference, or if it is a continuous background process outside the scope of the claim. A diagram in the complaint illustrates a phone with coordinate axes, suggesting an orientation-aware system. (Compl. ¶45, p. 21).
  • Technical Questions: Claim 17 requires using "first data" to determine a reference framework and then normalizing "second data" within that framework. The infringement analysis may turn on whether the accused application's processing of "reference data" and "live data" (Compl. ¶46) maps onto this specific two-part data structure.

V. Key Claim Terms for Construction

  • The Term: "advertisement" ('846 Patent, Claim 1)

  • Context and Importance: The infringement theory for the '846 patent depends on whether the accused application's driver feedback, scores, and discount offers are construed as "advertisements." Practitioners may focus on this term because its definition could be case-dispositive for this patent.

  • Intrinsic Evidence for Interpretation:

    • Evidence for a Broader Interpretation: The specification describes initiating "activity based actions" which include not only "solicitation or offering of goods and services" but also "a recommendation to see a film" or an action to "turn down the volume of the audio file." ('846 Patent, col. 72:25-34). This language may support a construction that includes non-commercial, context-based messages.
    • Evidence for a Narrower Interpretation: The patent is titled "Targeted advertisement selection..." and Figure 2F includes a distinct block for "ADVERTISEMENT(S)" (107), which may suggest a narrower meaning tied to commercial promotions, as distinct from general user interface notifications or insurance policy information.

  • The Term: "recognizing a particular set of data sample values as a reference" ('558 Patent, Claim 1)

  • Context and Importance: This term is central to the patent's claimed method for solving the device orientation problem. The dispute will likely focus on whether the accused product's alleged continuous use of a gravity vector meets this "recognizing" limitation.

  • Intrinsic Evidence for Interpretation:

    • Evidence for a Broader Interpretation: The specification of the related '273 Patent states that the reference is "updated each time the particular reference set... is recognized," which could be interpreted to cover a frequent, near-continuous process. (’273 Patent, col. 13:61-65).
    • Evidence for a Narrower Interpretation: The flowchart in Figure 4A of the related '273 patent depicts "RECOGNIZE A SET OF DATA SAMPLE VALUES" (126) as a distinct process step that precedes the "COMPUTE REF DATA" step (127). This may support a narrower construction requiring a discrete recognition event, rather than a continuous state of orientation awareness.

VI. Other Allegations

  • Indirect Infringement: The complaint alleges inducement by asserting that Defendant educates and encourages its customers and end-users to use the infringing Alinsco application. (Compl. ¶¶ 15, 16).
  • Willful Infringement: The prayer for relief requests increased damages for willful infringement of all asserted patents. (Compl. p. 39). The complaint does not, however, allege any facts indicating that Defendant had pre-suit knowledge of the patents-in-suit.

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

  • A core issue will be one of definitional scope: can the term "advertisement," as claimed in the '846 patent, be construed to cover the insurance discount notifications and driver performance feedback allegedly provided by the accused Alinsco application?
  • A key technical question will be one of algorithmic equivalence: does the accused application's method for handling device orientation perform the specific, claimed steps of "recognizing a particular set of data" to establish a reference framework, or is there a fundamental mismatch in technical operation that places it outside the scope of the '558 patent family claims?
  • A likely threshold question will be one of patent eligibility: the defendant may challenge the patents under 35 U.S.C. § 101, raising the issue of whether the claims are directed to the abstract idea of gathering and analyzing motion data, or to a specific, non-conventional technological improvement for doing so on a mobile device with arbitrary orientation.