German Court Finds DVD Disc Manufacturer Odeon Infringes MPEG-2 Patents

DENVER, CO, US – October 14, 2008 – The District Court Düsseldorf, Germany recently pronounced 12 verdicts finding that DVD disc manufacturer Odeon Cineplex S.A. (“Odeon”) of Greece, has infringed certain MPEG-2 patents as a result of Odeon’s manufacture of DVD video discs.

The 12 verdicts of infringement were issued in each of the 12 cases for infringement of MPEG-2 patents owned by CIF Licensing, LLC; GE Technology Development, Inc.; Koninklijke Philips Electronics NV; Mitsubishi Electric Corporation; Panasonic Corporation; Sony Corporation; Thomson Licensing S.A.; The Trustees of Columbia University in the City of New York; and Victor Company of Japan, Ltd. (JVC). Those MPEG-2 patents are also included in the MPEG-2 Patent Portfolio License offered by MPEG LA, LLC.

As a result of these 12 verdicts and upon the patent owners providing the requisite security bonds, enforcement of the verdicts will require Odeon to cease its distribution of DVD video discs in Germany and to pay damages to the patent owners for past DVD video disc distribution in Germany. Odeon may appeal these verdicts.

The MPEG-2 Standard is the core technology underlying the efficient creation, transmission, storage and display of digitized moving images and sound tracks on which DVD and other digital technologies are based; and the DVD-Video Standard (DVD Specifications for Read-Only Disc, Part 3: VIDEO SPECIFICATIONS) requires DVD Video discs to contain information formatted in accordance with the MPEG-2 Standard.

MPEG LA, LLC

MPEG LA is the world leader in alternative technology licenses, enabling users to acquire worldwide patent rights necessary for a technology standard or platform from multiple patent holders in a single transaction as an alternative to negotiating separate licenses. Wherever an independently administered one-stop patent license would provide a convenient marketplace alternative to assist users with implementation of their technology choices, the licensing model pioneered and employed by MPEG LA may provide a solution. Among MPEG LA’s licenses is one for MPEG-2 digital video compression that has helped produce the most widely employed standard in consumer electronics history. The MPEG-2 Patent Portfolio License, which includes more than 870 MPEG-2 essential patents in 57 countries, has more than 1,400 licensees accounting for most MPEG-2 products including set-top boxes, DVD players, digital television sets, personal computers and DVD Video Discs in the current world market. MPEG LA is an independent licensing administrator; it is not related to any standards agency and is not an affiliate of any patent holder. For more information, please refer to http://www.mpegla.com.