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`protected by U.S. Patents Nos. 6,665,003 and 7,477,284 (“the Asserted Patents”).
`
`DECLARATION OF VERED LEVY—RON
`
`1.
`
`I, Vered Levy—Ron, am more than twenty—one years of age, am
`
`competent to present this declaration, and have personal knowledge of the facts set
`
`forth herein.
`
`2.
`
`This declaration is given in support of patent owner Yissum Research
`
`Development Company of the Hebrew University of Jerusalem’s
`
`(“Yissum’ s”)
`
`Opposition To Joinder.
`
`3.
`
`I am Chief Executive Officer of HumanEyes Technologies, Ltd.
`
`(“HumanEyes”). I have served as CEO of HumanEyes since February 1, 2010. As
`
`part of my job responsibilities as CEO, I have also familiarized myself with the
`
`history of HumanEyes’ business operations prior to my arrival at the company.
`
`4.
`
`HumanEyes was founded in 2000 by Shmuel Peleg, Moshe Ben—Ezra,
`
`Yael Pritch, and their business partner Gideon Ben—Zvi
`
`to commercialize the
`
`research breakthroughs of Professor Peleg and his team, including the inventions
`
`Building on the research conducted by Professor Peleg and his team, HumanEyes
`
`was able to develop and market the first software to allow creation of panoramic
`
`3D images from images captured from a single—lens, standard digital camera.
`
`5.
`
`Today, HumanEyes’
`
`commitment
`
`to
`
`commercializing
`
`these
`
`discoveries and growing and developing the nascent 3D printing and imaging
`
`industry continues with the development and sale of HumanEyes’ Capture 3D,
`
`Creative3D, Producer3D,
`
`and iPhone App Snapily3D software products
`
`(collectively “HumanEyes Software” or “the Software”),
`
`its Snapily and
`
`SnapilyPro printing services (collectively “Snapily”), and its extensive software
`
`licensing program.
`
`HumanEyes has been developing a similar Snapily3D
`
`application for use on Android phones and recently displayed the prototype at the
`
`2012 and 2013 Mobile World Congress in Barcelona.
`
`

`
` 
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`
`Buzz Hays. Dr. Kenji Tanaka even referred to Professor Peleg as “one of the most
`
`famous people in this field” in correspondence between Dr. Tanaka and Professor
`
`Peleg in 2004.
`
`8.
`
`Sony’s marketing, importation, and sale of devices that include the 3D
`
`Sweep Panorama and Sweep Multi—Angle features have already negatively
`
`impacted HumanEyes’ efforts toward licensing the Asserted Patents. For example,
`
`promising licensing discussions with another company halted July 2011 based on
`
`that company’s explanation that it believed the accused Sony devices were
`
`infringing the Asserted Patents.
`
`Sony’s infringement
`
`is believed to have
`
`negatively affected negotiations with other potential licensees as well. HumanEyes
`
`DECLARATION OF VERED LEVY—RON
`
`6.
`
`HumanEyes has made substantial
`
`investments in licensing efforts
`
`designed to identify and cultivate partnerships with companies interested in
`
`incorporating HumanEyes’ technology into their products. Since its founding, I
`
`and other HumanEyes employees, including Founder Shmuel Peleg, former CEOs
`
`Gideon Ben—ZVi and Duby Hodd, former and current Vice Presidents of R&D
`
`Assaf Zomet and Anton Bar, Head of Sales for the Americas Jeff Miller, and
`
`others have had licensing discussions with dozens of U.S. or multi—national
`
`companies with substantial operations and/or sales in the United States.
`
`7.
`
`HumanEyes’ licensing efforts have also included multiple meetings
`
`and other communications with representatives of Sony regarding the inventions
`
`protected by the Asserted Patents at least as early as 2004 and as recently as 2010.
`
`For example, Professor Peleg, I, and others at HumanEyes have discussed the
`
`technologies protected by the Asserted Patents with employees of Sony including
`
`at
`
`least Dr. Kenji Tanaka, Toshiyuki Ogura, and Atsushi
`
`Iizuka at Sony
`
`Corporation; Sony Electronics Inc. marketing director Mary Abram; and Senior
`
`Vice President of Sony Corporation of America’s “Sony 3D Technology Center”
`
`

`
` 
" " 

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`
`property and technology continues to harm HumanEyes’ business even outside of
`
`the licensing context. For example, the continuing perceived uncertainty in the
`
`market regarding the strength and value of HumanEyes’ intellectual property is
`
`harming HumanEyes’ ability to find licensing partners as well as HumanEyes’
`
`ability to raise investment capital. The greater the delay in resolving this dispute
`
`regarding Sony’s infringement, the greater this uncertainty becomes.
`
`10.
`
`The impact of Sony’s infringement on HumanEyes’ licensing efforts,
`
`as well as the management attention that has had to be diverted from HumanEyes’
`
`core business to attend to this litigation and Patent Office proceedings, have
`
`harmed HumanEyes’ revenue. In addition, the significant cost to HumanEyes as a
`
`small company battling a global conglomerate is overwhelming and Sony’s request
`
`to add additional claims to this proceeding more than a year after the litigation
`
`began—potentially delaying either these proceedings and/or the litigation—would
`
`hurt us even more, because a significant portion of HumanEyes’ 2013 armual
`
`expenses will be attributable to costs associated with the defense and enforcement
`
`of HumanEyes’ intellectual property in this litigation and the related proceedings.
`
`In fact, HumanEyes needed to raise additional funds above and beyond its ongoing
`
`expenses in order to defend its IP, and drawing the process out longer will increase
`
`the financial burden, as well as the burden on the company’s personnel.
`
`11.
`
`The financial harm Sony’s infringement has caused was a substantial
`
`driver of major budget cuts and a reduction of force that I was forced to implement
`
`DECLARATION OF VERED LEVY—RON
`
`has also sought to license the Asserted Patents to companies interested in 3D
`
`display technology, including printing technology, to provide a vehicle for such
`
`companies’ customers to generate 3D content.
`
`Sony’s devices provide a
`
`competing vehicle for the generation of such 3D content.
`
`9.
`
`Sony’s ongoing infringement and use of HumanEyes’ intellectual
`
`

`
`DECLARATION OF VERED LEVY—RON
`
`in January 2013.
`
`I reduced HumanEyes’ workforce by a third—laying off 8 of
`
`HumanEyes’
`
`formerly 23
`
`employees.
`
`Today,
`
`15
`
`employees
`
`remain at
`
`HumanEyes. A reduction in force of that magnitude directly impacts the viability
`
`of a small business like HumanEyes, limiting our ability to grow, attract new
`
`customers, pursue licensing partners, implement projects, and maintain investor
`
`commitment.
`
`12. HumanEyes and I provided additional details about these and other
`
`harms to HumanEyes’ business resulting from Sony’s ongoing infringement
`
`through the production of confidential documents and through confidential
`
`deposition testimony during the ITC Investigation.
`
`Declaration
`
`I declare that all statements made herein on my own knowledge are true and
`
`that all statements made on information and belief are believed to be true, and
`
`further, that these statements were made with the knowledge that willful false
`
`statements and the like so made are punishable by fine or imprisonment, or both,
`
`under Section 1001 of Title 18 of the United States Code.
`
`Executed: July 12, 2013
`
`
`
`Vered Levy— Ror
`
`R-338456_l

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