Case 2:22-md-03034-TGB ECF No. 30, PageID.715 Filed 07/20/22 Page 1 of 39
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF MICHIGAN
`SOUTHERN DIVISION
`
`
`
`IN RE NEO WIRELESS, LLC
`PATENT LITIG.
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`
`2:22-MD-03034-TGB
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`
`HON. TERRENCE G. BERG
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`
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`
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`2:22-CV-11404-TGB
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`
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`HON. TERRENCE G. BERG
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`
`
`
` JURY TRIAL DEMANDED
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`§
`§
`§
`§
`§
`§
`§
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` §
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`Plaintiff,
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`
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`v.
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`NEO WIRELESS, LLC,
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`
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`VOLKSWAGEN GROUP OF
`AMERICA, INC. &
`VOLKSWAGEN GROUP OF
`AMERICA CHATTANOOGA
`OPERATIONS, LLC,
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`
`
`
`
`
`
`
`
`
`§
`§
`§
`§
`§
`§
`§
`§
`§
`§
`§
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`Defendants.
`§
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`PLAINTIFF NEO WIRELESS LLC’S FIRST AMENDED
`COMPLAINT FOR PATENT INFRINGEMENT
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`
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`Plaintiff Neo Wireless, LLC (“Neo Wireless,” “Neo,” or “Plaintiff”), brings
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`this action for patent infringement under 35 U.S.C. § 271 against Defendants
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`Volkswagen Group of America, Inc. (“VGA”) and Volkswagen Group of America
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`Chattanooga Operations, LLC (“VGACO”) (collectively “Volkswagen,”
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`“Volkswagen Defendants,” or “Defendants”). Plaintiff alleges, based upon its own
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`
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF MICHIGAN
`SOUTHERN DIVISION
`
`
`
`IN RE NEO WIRELESS, LLC
`PATENT LITIG.
`
`
`2:22-MD-03034-TGB
`
`
`HON. TERRENCE G. BERG
`
`
`
`
`
`
`
`
`
`2:22-CV-11404-TGB
`
`
`
`
`HON. TERRENCE G. BERG
`
`
`
`
` JURY TRIAL DEMANDED
`
`§
`§
`§
`§
`§
`§
`§
`
`
` §
`
`Plaintiff,
`
`
`
`v.
`
`
`NEO WIRELESS, LLC,
`
`
`
`
`
`VOLKSWAGEN GROUP OF
`AMERICA, INC. &
`VOLKSWAGEN GROUP OF
`AMERICA CHATTANOOGA
`OPERATIONS, LLC,
`
`
`
`
`
`
`
`
`
`
`§
`§
`§
`§
`§
`§
`§
`§
`§
`§
`§
`§
`Defendants.
`§
`
`
`PLAINTIFF NEO WIRELESS LLC’S FIRST AMENDED
`COMPLAINT FOR PATENT INFRINGEMENT
`
`
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`Plaintiff Neo Wireless, LLC (“Neo Wireless,” “Neo,” or “Plaintiff”), brings
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`this action for patent infringement under 35 U.S.C. § 271 against Defendants
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`Volkswagen Group of America, Inc. (“VGA”) and Volkswagen Group of America
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`Chattanooga Operations, LLC (“VGACO”) (collectively “Volkswagen,”
`
`“Volkswagen Defendants,” or “Defendants”). Plaintiff alleges, based upon its own
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.716 Filed 07/20/22 Page 2 of 39
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`personal knowledge with respect to its own actions and based upon information
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`and belief with respect to all others’ actions, as follows:
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`THE PARTIES
`Plaintiff Neo Wireless, LLC is a Delaware corporation with its
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`1.
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`principal place of business located in Wayne, Pennsylvania.
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`2.
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`On information and belief, VGA is a company organized and existing
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`under the laws of New Jersey, with its principal place of business at 2200
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`Ferdinand Porsche Drive, Herndon, Virginia 20171. VGA is registered to do
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`business in the State of Tennessee and may be served with a copy of the Complaint
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`and Summons through Corporation Services Company, its Registered Agent for
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`Service of Process at 2908 Poston Avenue, Nashville, Tennessee 37203-1312.
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`3.
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`On information and belief, VGACO is a Tennessee limited liability
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`company with its headquarters and principal place of business located at 2200
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`Ferdinand Porsche Drive, Herndon, Virginia 20171. VGACO may be served with a
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`copy of the Complaint and Summons through Corporation Services Company, its
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`Registered Agent for Service of Process at 2908 Poston Avenue, Nashville,
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`Tennessee 37203-1312.
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`JURISDICTION AND VENUE
`This action includes a claim of patent infringement arising under the
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`4.
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`patent laws of the United States, 35 U.S.C. § 1 et seq.
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`2
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.717 Filed 07/20/22 Page 3 of 39
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`5.
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`Subject matter jurisdiction is proper in this Court under 28 U.S.C.
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`§§ 1331 and 1338(a).
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`6.
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`Venue in the Eastern District of Tennessee is proper under 28 U.S.C.
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`§§ 1391 and 1400(b) against Defendants because, on information and belief, VGA
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`and VGACO both (1) have committed acts of infringement in the Eastern District
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`of Tennessee and (2) have a regular and established place of business in the
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`Eastern District of Tennessee.
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`7.
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`The Eastern District of Tennessee has personal jurisdiction over
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`Volkswagen. Defendants have continuous and systematic business contacts with
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`the State of Tennessee. Specifically, Defendants conduct business and have
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`committed acts of patent infringement and have induced acts of patent
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`infringement by others in the Eastern District of Tennessee, the State of Tennessee,
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`and elsewhere in the United States. Defendants, directly and through subsidiaries
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`or intermediaries, have committed and continue to commit acts of infringement in
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`the Eastern District of Tennessee by, among other things, designing, developing,
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`manufacturing, importing, offering to sell, and selling products that infringe the
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`asserted patents.
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`8.
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`Defendants do and intend to do business in Tennessee and in the
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`Eastern District of Tennessee, directly or through intermediaries, and offer their
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`products and/or services, including those accused herein of infringement, to
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`3
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.718 Filed 07/20/22 Page 4 of 39
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`customers and potential customers located in Tennessee and in the Eastern District
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`of Tennessee.
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`9.
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`Defendants, both directly and through their subsidiaries or
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`intermediaries (including distributors, retailers, and others), have purposefully and
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`voluntarily placed one or more infringing products and/or services, as described
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`below, into the stream of commerce with the expectation that those products will
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`be purchased and used by customers and/or consumers in the Eastern District of
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`Tennessee.
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`10. VGA and VGACO maintain facilities throughout the state of
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`Tennessee, including at least the Chattanooga, Tennessee manufacturing plant
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`spanning across 1,400 acres, with the facility’s total area equating to upwards of
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`5,600,000 square meters, and employing at least 3,800 employees, which is also
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`located within the Eastern District of Tennessee at 8001 Volkswagen Dr.,
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`Chattanooga, Tennessee.1
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`11. According to VGA, the Chattanooga location is Volkswagen’s U.S.
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`Manufacturing Plant & North American Engineering & Planning Center.2
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`1 See https://www.volkswagengroupofamerica.com/en-us/chattanooga-facts; see also
`https://www.volkswagen-newsroom.com/en/volkswagen-group-of-america-chattanooga-
`operations-llc-5900.
`2 See https://www.volkswagengroupofamerica.com/en-us/locations.
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`4
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.719 Filed 07/20/22 Page 5 of 39
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`12. VGA and VGACO engage in all the main stations of the entire
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`production process for at least the Passat, Atlas, and Atlas Cross Sport models in
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`the Eastern District of Tennessee.3
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`13. These infringing products and/or services, among others, have been
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`and continue to be made, used, sold, offered for sale, purchased, and/or imported
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`by customers and/or consumers in the Eastern District of Tennessee.
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`14. Defendants have placed the Accused Products into the stream of
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`commerce by selling and/or offering to sell the Accused Products in the Eastern
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`District of Tennessee, shipping Accused Products into the Eastern District of
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`Tennessee, and/or shipping Accused Products knowing that those products would
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`be shipped into the Eastern District of Tennessee.
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`THE ASSERTED PATENTS
`The ’366 Patent
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`I.
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`15. On June 18, 2013, the United States Patent and Trademark Office
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`duly and legally issued U.S. Patent No. 8,467,366 (“the ’366 patent”), entitled
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`3 See https://www.volkswagen-newsroom.com/en/volkswagen-group-of-america-chattanooga-
`operations-llc-5900.
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`5
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.720 Filed 07/20/22 Page 6 of 39
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`“Methods and Apparatus for Random Access in Multi-Carrier Communication
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`Systems.” A copy of the ’366 patent is attached as Exhibit 1.
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`16. The ’366 patent issued from U.S. Patent Application 13/205,579,
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`which was filed by Neocific Inc. on August 8, 2011 on behalf of the inventors. The
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`now-issued ’366 patent was assigned from Neocific, Inc. to CFIP NCF LLC on
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`November 22, 2019 before it was assigned to Neo Wireless LLC on January 23,
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`2020.
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`17. The ’366 patent is valid and enforceable.
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`II. The ’908 Patent
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`18. On November 10, 2020, the United States Patent and Trademark
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`Office duly and legally issued U.S. Patent No. 10,833,908 (“the ’908 patent”),
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`entitled “Channel Probing Signal for a Broadband Communication System.” A
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`copy of the ’908 patent is attached as Exhibit 2.
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`19. The ’908 patent issued from U.S. Patent Application 16/902,740,
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`which was filed by Neo Wireless LLC on behalf of the inventors.
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`20. The ’908 patent is valid and enforceable.
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`III. The ’941 Patent
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`21. On September 11, 2018, the United States Patent and Trademark
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`Office duly and legally issued U.S. Patent No. 10,075,941 (“the ’941 patent”),
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`entitled “Methods and Apparatus for Multi-Carrier Communications With
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`6
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.721 Filed 07/20/22 Page 7 of 39
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`Adaptive Transmission and Feedback.” A copy of the ’941 patent is attached as
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`Exhibit 3.
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`22. The ’941 patent issued from U.S. Patent Application 15/082,878,
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`which was filed by Neocific, Inc. on March 28, 2016. The now-issued ’941 patent
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`was assigned from Neocific, Inc. to CFIP NCF LLC on November 22, 2019 before
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`it was assigned to Neo Wireless LLC on January 23, 2020.
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`23. The ’941 patent is valid and enforceable.
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`IV. The ’450 Patent
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`24. On October 15, 2019, the United States Patent and Trademark Office
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`duly and legally issued U.S. Patent No. 10,447,450 (“the ’450 patent”), entitled
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`“Method and System for Multi-Carrier Packet Communication with Reduced
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`Overhead.” A copy of the ’450 patent is attached as Exhibit 4.
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`25. The ’450 patent issued from U.S. Patent Application 15/676,421,
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`which was filed by Neocific, Inc. on August 14, 2017. The now-issued ’450 patent
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`was later assigned from Neocific, Inc. to CFIP NCF LLC on November 22, 2019
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`before it was assigned to Neo Wireless LLC on January 23, 2020.
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`26. The ’450 patent is valid and enforceable.
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`V. The ’512 Patent
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`27. On March 30, 2021, the United States Patent and Trademark Office
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`duly and legally issued U.S. Patent No. 10,965,512 (“the ’512 patent”), entitled
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`7
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.722 Filed 07/20/22 Page 8 of 39
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`“Method and Apparatus Using Cell-Specific and Common Pilot Subcarriers in
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`multi-Carrier, Multi Cell Wireless Communication Networks.” A copy of the ’512
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`patent is attached as Exhibit 5.
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`28. The ’512 patent issued from U.S. Patent Application 17/012,813,
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`which was filed by Neo Wireless on September 4, 2020.
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`29. The ’512 patent is valid and enforceable.
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`VI. The ’302 Patent
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`30. On September 8, 2020, the United States Patent and Trademark Office
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`duly and legally issued U.S. Patent No. 10,771,302 (“the ’302 patent”), entitled
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`“Channel Probing Signal for a Broadband Communication System.” A copy of the
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`‘302 patent is attached as Exhibit 6.
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`31. The ’302 patent issued from U.S. Patent Application 15/953,950,
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`which was filed on April 16, 2018 and was assigned from Neocific, Inc. to CFIP
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`NCF LLC on November 22, 2019 before it was assigned to Neo Wireless LLC on
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`January 23, 2020.
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`32. The ’302 patent is valid and enforceable.
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`33. Neo Wireless owns all rights, title, and interest in and to each of the
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`’366, ’908, ’941, ’450, ’512, and ’302 patents (the “Patents-in-Suit”) and possesses
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`all rights of recovery.
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`8
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.723 Filed 07/20/22 Page 9 of 39
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`FACTUAL ALLEGATIONS
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`34.
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` Inventor Xiaodong (Alex) Li, Ph.D. founded Neocific Inc. in the
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`early 2000s to design, develop, and implement a new wireless communication
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`system. He and his co-inventors had extensive experience with wireless
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`communications systems, including the development of the Wi-Max standards, and
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`a deep understanding of the flaws in existing systems at the time. The inventors
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`saw an opportunity to create a new wireless communication system meant to
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`address those flaws while incorporating cutting-edge Orthogonal Frequency-
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`Division Multiple Access (OFDMA) based technologies, and, starting in the 2004-
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`2005 timeframe, they filed patents on the work.
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`35. Dr. Li served as the President and Founder of Neocific. Dr. Li
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`obtained his Ph.D. in electrical engineering from the University of Washington, his
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`M.S. from Shanghai Jiao Tong University, and his B.S. from Tsinghua University.
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`Dr. Li has authored more than 30 journal and conference papers in wireless
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`communications, video coding, and networking. He has been granted more than
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`100 U.S. and foreign patents.
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`36. Dr. Titus Lo, Ph.D. is a founding employee of Neocific. Dr. Lo
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`obtained his Ph.D. in electrical engineering from McMaster University and his B.S.
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`from the University of British Columbia. Dr. Lo has authored more than 30
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`technical papers in international peer-reviewed journals and presented more than
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.724 Filed 07/20/22 Page 10 of 39
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`50 times at industry events. He has been granted more than 100 U.S. and foreign
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`patents.
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`37. The inventions in the Patents-in-Suit relate to various improvements
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`in OFDMA networks and corresponding user equipment, and those improvements
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`have since been incorporated into the 3GPP standards for 4G/LTE and 5G/NR
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`networks.
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`38. Neo Wireless owns all substantial right, title, and interest in the
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`Patents-in-Suit, and holds the right to sue and recover damages for infringement
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`thereof.
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`39. David Loo is the CEO of Plaintiff Neo Wireless. Mr. Loo works and
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`resides in Wayne, Pennsylvania. Mr. Loo has over a decade of experience as a
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`licensing executive and patent attorney with a well-established track record of
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`assisting companies, inventors and patent holders to ensure they are fairly
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`compensated for their inventions.
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`40. The wireless communication industry has been developing rapidly
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`since Bell Labs developed the First Generation of modern commercial cellular
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`technology in 1984. Multiple wireless communication technologies designated by
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`generations emerged and brought new capacities to people all over the world. In
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`2008, 3GPP created and finalized the LTE standards as an upgrade to 3G. The
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`cellular industry recognized its major benefits, and virtually all cellular device
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.725 Filed 07/20/22 Page 11 of 39
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`manufacturers have embraced LTE as the next generation of commercial cellular
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`technology and developed phones, hotspots, and other cellular-connectivity
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`devices to utilize the 4G LTE technology.
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`41.
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`In recent years, automakers have implemented this cellular
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`communications technology into their vehicles. For example, telematics systems
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`first debuted in 1996 through OnStar using analog cell networks, which allowed
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`consumers to receive remote diagnostics, remotely unlock vehicles, and receive
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`emergency services including aid after a collision. In 2007, 3G technology
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`emerged bringing greater speed and capacity to these features allowing automakers
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`to design more advanced functions.
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`42. When the technology emerged, Volkswagen began implementing the
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`newest 4G LTE cellular technology into many of its products. 4G LTE technology
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`provided for 10 times faster data speeds, increased responsiveness, and the ability
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`to support voice and data connections simultaneously. 4G LTE connection further
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`provides consumers with a variety of in-vehicle Wi-Fi hot spots and vast
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`entertainment options. As a result, Volkswagen could better support a variety of
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`wireless features including remote start, lock and unlock doors, honk the horn,
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`flash the lights, family guardian alerts, driving diagnostics, safety alerts, Wi-Fi
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`hotspot, etc.
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.726 Filed 07/20/22 Page 12 of 39
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`43. Volkswagen provides 4G LTE connectivity in its various products via
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`the Volkswagen Car-Net, Audi Connect, My Bentley, and Porsche Connectsystems
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`integrated into the accused products.
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`44. Building on these 4G LTE capabilities, Volkswagen developed and
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`utilizes the myVW, myAudi, My Porsche, and My Bentley Apps that enable its
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`customers to interact with their vehicles from their cellular devices, using the
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`cellular connectivity of the vehicles. Features on these Apps include remote start,
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`unlock and locking the vehicle, honk and flash features, last parked location,
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`among others.
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`45. Volkswagen models that implement 4G/LTE communications—
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`including but not limited to Passat, Tiguan, Atlas, Audi A3, Audi A6, Audi A7,
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`Mulsanne, Macan and Cayenne models—as well as those that may in the future
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`implement 4G/LTE or 5G/NR capabilities, are collectively referred to herein as the
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`“Accused Products.”
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`46. Volkswagen’s Accused Products are configured to operate within
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`4G/LTE and/or NR/5G cellular networks and in communication with base stations
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`and other network access points. The cellular networks and base stations are
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`interoperable and implement the one or more releases of the 4G/LTE and NR/5G
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`3GPP standards from release 8 through at least release 17. The cellular networks,
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`including the cell-serving base stations, are controlled and configured by various
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`carriers and implemented using a variety of hardware and/or software.
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`Additionally, each base station may operate differently based on the wireless
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`conditions, location, and/or network configuration.
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`47. Additionally, the communications between Volkswagen’s Accused
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`Products and the serving base station include a multitude of signals back and forth
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`in normal operation, such as when establishing connections, sending and receiving
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`control information, sending and receiving reference signaling, communicating
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`data in the uplink and downlink, obtaining network parameters, etc. And
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`Volkswagen’s Accused Products do this across a potentially large range of time
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`and locations, including across a variety of base station equipment and
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`configurations and/or wireless conditions. As such, Volkswagen’s Accused
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`Products are configured to operate across the various modes, formats, and schemes
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`defined in the 4G/LTE and NR/5G 3GPP standards.
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`48. As described further below and set forth in Exhibits 7–12, the
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`Asserted Patents read onto portions of the 4G/LTE or NR/5G standards, each of
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`which Volkswagen implements in its Accused Products. In particular, Volkswagen
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`and/or its customers and end users must practice one or more claims from each of
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`the Asserted Patents in order to implement the 4G/LTE and/or NR/5G standards in
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`the Accused Products. Thus, on information and belief, Volkswagen’s
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`13
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.728 Filed 07/20/22 Page 14 of 39
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`implementation(s) of the LTE/4G and/or NR/5G standards necessarily infringes
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`one or more claims of the Asserted Patents.
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`49. Volkswagen does not have any rights to the Patents-in-Suit.
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`50. Neo Wireless has complied with 35 U.S.C. § 287. Neo Wireless does
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`not make, offer for sale, or sell within the United States any patented article under
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`the Asserted Patents. Additionally, to the extent it was necessary, Neo Wireless
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`provided Volkswagen with actual notice of its infringement prior to the filing of
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`this lawsuit, or at a minimum by the filing of this Complaint.
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`51.
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`In the interest of providing detailed averments of infringement, Neo
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`Wireless has identified below at least one claim per patent to demonstrate
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`infringement. However, the selection of claims should not be considered limiting,
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`and additional claims of the Patents-in-Suit (including method, system, and
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`apparatus claims) that are infringed by the Volkswagen Defendants will be
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`disclosed in compliance with the Court’s rules related to infringement contentions.
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`VOLKSWAGEN’S ACTS OF PATENT INFRINGEMENT
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`52. Neo Wireless incorporates by reference the preceding paragraphs as if
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`fully set forth herein.
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`53. As set forth below, Volkswagen’s Accused Products incorporate,
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`without any license from Neo Wireless, 4G/LTE and/or 5G/NR technology
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`14
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.729 Filed 07/20/22 Page 15 of 39
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`protected by patents owned by Neo Wireless. Neo Wireless respectfully seeks
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`relief from this Court for Volkswagen’s infringement.
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`54. Each Volkswagen entity has directly infringed, and continues to
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`directly infringe, the Asserted Patents under 35 U.S.C. § 271(a) by making, using,
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`selling and/or offering to sell, in the Eastern District of Tennessee and elsewhere in
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`the United States, and/or importing into the Eastern District of Tennessee and
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`elsewhere in the United States, one or more of Volkswagen’s Accused Products,
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`that is, certain infringing vehicles outfitted with instrumentalities that infringe the
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`Asserted Patents, as further described in detail in Counts I–VI infra.
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`55. Each Volkswagen entity, directly or by controlling the activities of its
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`subsidiaries, makes, sells, offers for sale, uses, and imports the Accused Products
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`in the United States. And, each Volkswagen entity engages in the designing,
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`developing, testing, and manufacturing of the Accused Products sold, used, and
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`offered for sale in the United States, as well as the sale of the Accused Products.
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`56. For example, VGA, directly or by controlling the activities of its
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`subsidiaries, manufactures, makes, sells, offers for sale, uses, and imports the
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`Accused Products in the United States. VGACO engages in the designing,
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`developing, testing, and manufacturing of the Accused Products sold, used, and
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`offered for sale in the United States, as well as the sales the Accused Products.
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`15
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.730 Filed 07/20/22 Page 16 of 39
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`57. VGA makes, sells, offers for sale, uses, and imports vehicles outfitted
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`with instrumentalities that infringe the Asserted Patents to its customers,
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`subsidiaries, distributors, retailers, dealerships and/or end users in the United
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`States.
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`58. For example, VGA owns and operates at least twenty-eight facilities
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`in the Unites States responsible for designing, building, assembling,
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`manufacturing, offering for sale, and selling the Accused Products sold throughout
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`the United States.
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`59. Similarly, VGA owns and operates the official Volkswagen of
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`America website that offers for sale infringing vehicles outfitted with
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`instrumentalities that infringe the Asserted Patents in the United States.
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`60. VGA imports foreign-made vehicles outfitted with instrumentalities
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`that infringe the Asserted Patents for use, sale, offer for sale, and other distribution
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`throughout the United States.
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`61. VGACO owns and operates at least one large manufacturing facility
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`in Tennessee responsible for designing, building, assembling, manufacturing,
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`offering for sale, and selling the Accused Products sold throughout the United
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`States.
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`62. Each Volkswagen entity has indirectly infringed the Asserted Patents
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`under 35 U.S.C. § 271(b) by actively inducing infringement by others, such as its
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`
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`16
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.731 Filed 07/20/22 Page 17 of 39
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`
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`subsidiaries, dealerships, distributors, retailers, and end-user customers, by, for
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`example, implementing the infringing features in its cellular-capable products,
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`encouraging its users to take advantage of LTE and/or NR features within the
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`United States, and/or instructing, dictating, or training its dealerships and
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`customers to use the infringing features. Because they performed these acts with
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`full knowledge of the Asserted Patents and their infringement thereof, as set forth
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`in detail below, each Volkswagen entity has specifically intended others, such as
`
`its subsidiaries, dealerships, distributors, retailers, and end-user customers, to
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`infringe Neo’s Asserted Patents knowing its subsidiaries, dealerships, distributors,
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`retailers, and end-user customers’ acts constitute infringement.
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`63. For example, VGA and VGACO’s advertising, sales, design,
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`development and/or technical materials related to the 3GPP LTE/4G and/or 5G/NR
`
`standards associated with the Volkswagen Accused Products contained and
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`continue to contain instructions, directions, suggestions, and/or invitations that
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`invite, entice, lead on, influence, encourage, prevail on, move by persuasion,
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`and/or cause their subsidiaries, distributors, retailers, dealerships, customers, and
`
`the public to directly infringe at least one claim of each of the Patents-in-Suit,
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`either literally or under the doctrine of equivalents.
`
`64. Each Volkswagen entity has further provided the above-mentioned
`
`technical documentation and training materials to its subsidiaries, distributors,
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`
`
`17
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.732 Filed 07/20/22 Page 18 of 39
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`
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`retailers, dealerships, customers, and the public that cause end users of the Accused
`
`Products to utilize the products in a manner that directly infringe on one or more
`
`claims of the Asserted Patents, and engaged in such inducement to promote the
`
`sales of the Accused Products (e.g. through user manuals, product support,
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`marketing materials, technical materials, and training materials) to actively induce
`
`the end users of the Accused Products to infringe the Asserted Patents.
`
`65. VGA advertises on its website to its customers and other end users
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`Volkswagen’s Car-Net services and its Wi-Fi hotspot technological capabilities for
`
`the Accused Products.4 These advertisements are meant to entice sales and use of
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`the Accused Instrumentalities.
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`66. VGA and VGACO further advertise and provide their customers and
`
`end users with specifications describing the Accused Instrumentalities and how
`
`they are used in the Accused Products.
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`67. Volkswagen took the above actions intending to cause infringing acts
`
`by others.
`
`68. Further, Volkswagen has made, used, sold, offered to sell, imported
`
`and/or encouraged the making, using, selling, offering to sell, or importing of
`
`Volkswagen’s Accused Products despite knowing of an objectively high likelihood
`
`that its actions constituted infringement of the Asserted Patents at all times relevant
`
`
`4 See https://carnet.vw.com/#/home#wifihotspot.
`
`
`
`18
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.733 Filed 07/20/22 Page 19 of 39
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`
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`to this suit. Alternatively, each Volkswagen entity subjectively believed there was
`
`a high probability that others would infringe the Asserted Patents but took
`
`deliberate steps to avoid confirming that it was actively inducing infringement by
`
`others.
`
`69. Neo sent a letter to Volkswagen’s parent company on November 23,
`
`2021 that Volkswagen received no later than January 20, 2022 informing
`
`Volkswagen of Neo Wireless’s relevant patent portfolio, including listing the
`
`patents-in-suit and how the patents-in-suit cover certain 3GPP wireless standards
`
`used in Volkswagen’s Accused Products in an attempt to initiate commercial
`
`licensing discussions. On information and belief, through the parent company,
`
`VGA and VGACO obtained actual knowledge of the Asserted Patents and their
`
`infringement thereof no later than January 20, 2022. Volkswagen did not respond,
`
`refused to engage in any good faith licensing negotiations, and continued
`
`infringing on the Asserted Patents. In any event, VGA and VGACO were on actual
`
`notice of the Asserted Patents and their infringement on the date of service of this
`
`Complaint. Therefore, each Volkswagen entity was or is now aware of the
`
`Asserted Patents or has willfully blinded itself as to the existence of the Asserted
`
`Patents and the Accused Products’ infringement thereof and has deliberately and
`
`wantonly continued to infringe on Neo’s patent rights.
`
`
`
`19
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.734 Filed 07/20/22 Page 20 of 39
`
`
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`70. For the reasons described above, each Volkswagen entity’s
`
`infringement of the Asserted Patents has been willful and egregious.
`
`71. Volkswagen’s acts of infringement have caused damage to Neo
`
`Wireless. Neo Wireless is entitled to recover from Volkswagen the damages
`
`incurred by Neo Wireless as a result of Volkswagen’s wrongful acts.
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`COUNT ONE: INFRINGEMENT OF THE ’366 PATENT
`
`72. Plaintiff incorporates the allegations of all of the foregoing paragraphs
`
`as if fully restated herein.
`
`73. As described above, each Volkswagen entity has infringed and
`
`continues to infringe the ’366 Patent by implementing, using, offering for sale, and
`
`selling 4G/LTE and/or 5G/NR cellular functionality according to one or more
`
`3GPP standard releases from 8 through 17 in the Accused Products, and
`
`performing the acts of infringement described above.
`
`74. Volkswagen’s Accused Products are configured to operate across the
`
`various modes, formats, and schemes defined in the 4G/LTE and NR/5G 3GPP
`
`standards. Volkswagen’s Accused Products are configured to operate within
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`4G/LTE and/or NR/5G cellular networks that are controlled and configured by
`
`various carriers and implemented using a variety of hardware and/or software.
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`Additionally, each base station may operate differently based on the wireless
`
`conditions, location, and/or network configuration. Accordingly, Volkswagen’s
`
`
`
`20
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.735 Filed 07/20/22 Page 21 of 39
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`
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`Accused Products are configured to accommodate those differences and implement
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`the 3GPP standards holistically, and do not exclude particular modes or schemes in
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`which a serving base station may be configured to operate.
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`75. Each of Volkswagen’s Accused Products implements the portions of
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`the 3GPP LTE standard specification that read on at least claim 1 of the ’366
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`patent. See Exhibit 7. Exhibit 7 illustrates how implementing and carrying out
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`certain portions of the 3GPP LTE standard (“covered functionality”) requires the
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`practicing of at least claim 1 of the ’366 patent. Id. On information and belief, each
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`portion of the standard cited in Exhibit 7 is implemented to provide LTE
`
`functionality in the Accused Products. For example, the covered functionality of
`
`the ’366 patent is present in the 3GPP LTE standard from the earliest release
`
`number 8 through the last LTE release number 17. As further illustrated in Exhibit
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`7, third-party industry experts through textbooks and articles confirm the inclusion
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`of the covered functionality within the 3GPP LTE standard. Further, industry
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`experts consulted by Neo have confirmed that, based on their experience with and
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`knowledge of the 3GPP standards and their implementation, the Accused Products
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`are configured to practice the covered functionality when they provide LTE
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`connectivity. The technology covered by claim 1 of the ’366 patent and reflected in
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`the 3GPP standard portions set out in Exhibit 7 is a core part of communications on
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`an LTE network, and would be required in any device operating on said network.
`
`
`
`21
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.736 Filed 07/20/22 Page 22 of 39
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`
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`For example, the covered functionality related to the random-access procedure is
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`integral to the establishment of connections between Volkswagen’s Accused
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`Products and the serving base stations for LTE networks. Additionally, based on
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`FCC filings and corroborating public information, Defendants’ Accused Products
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`are compliant with various 3GPP LTE releases, including release 8 and later
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`releases, and are configured with the covered functionalities. Finally, on
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`information and belief, due to the features Volkswagen advertises as enabled by
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`the 4G/LTE functionality, including but not limited to remote connectivity and Wi-
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`Fi internet access, Volkswagen’s Accused Products implement the covered
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`functionality of the 3GPP LTE standard regardless of whether one or more aspects
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`of that functionality is mandatory or optional to implement the LTE standard.
`
`76. Volkswagen’s Accused Products therefore meet at least one claim of
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`the ’366 patent.
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`77. To the extent that Volkswagen releases any new version of
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`Volkswagen’s Accused Products, such instrumentalities will meet the claims of the
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`’366 patent and infringe under 35 U.S.C. § 271(a)–(b) in ways analogous to
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`Volkswagen’s current infringement described above.
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`78. Neo Wireless has been damaged and continues to be damaged by
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`Volkswagen’s infringement of the ’366 patent.
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`
`
`22
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`
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`Case 2:22-md-03034-TGB ECF No. 30, PageID.737 Filed 07/20/22 Page 23 of 39
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`
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`COUNT TWO: INFRINGEMENT OF THE ’908 PATENT
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`79. Neo Wireless incorporates the allegations of the foregoing paragraphs
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`as if fully restated herein.
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`80. As described above, each Volkswagen entity has infringed and
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`continues to infringe the Asserted Patents by implementing and using 4G/LTE
`
`and/or 5G/NR cellular functionality according to one or more 3GPP standard
`
`releases from 8 through 17 in the Accused Products, and performing the acts of
`
`infringement described above.
`
`81. Volkswagen’s Accused Products are configured to operate across the
`
`various modes, formats, and schemes defined in the 4G/LTE and NR/5G 3GPP
`
`standards. Volkswagen’s Accused Products are configured to operate within
`
`4G/LTE and/or NR/5G cellular networks that are controlled and c
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