Exhibit 1011
`Exhibit 1011
`
`ZTE Corporation and ZTE (USA) Inc.
`ZTE Corporation and ZTE (USA) Inc.
`
`

`

`PUBLIC VERSION
`
`UNITED STATES INTERNATIONAL TRADE COMMISSION
`WASHINGTON, D.C. 20436
`
`In the Matter of
`
`CERTAIN WIRELESS DEVICES WITH
`3G CAP ABILITIES AND COMPONENTS
`THEREOF
`
`Investigation No. 337-TA-800
`
`INITIAL DETERMINATION
`Administrative Law Judge David P. Shaw
`
`Pursuant to the notice of investigation, 76 Fed. Reg. 54252 (Aug. 31, 2011), this is the
`
`Initial Determination in Certain Wireless Devices with 3G Capabilities and Components
`
`Thereof, United States International Trade Commission Investigation No. 337-TA-800.
`
`It is held that a violation of section 337 of the Tariff Act, as amended, has not occurred ip
`
`the importation into the United States, the sale for importation, or the sale within the United
`
`States after importation, of certain wirel~ss devices with 3G capabilities, or components thereof,
`
`with respect to asserted claims asserted claims 1, 2, 3, and 5 of U.S. Patent 7,706,830; asserted
`
`claims 1, 2, 4, 6, 7, and 8 of U.S. Patent No. 8,009,636; asserted claims 6, 13, 20, 26, and 29 of
`
`U.S. Patent No. 7,502,406; asserted claims 2, 3, 4, 7, 8, 9, 10~ 11, 14, 22, 23, 24, and 27 of U.S.
`
`Patent No. 7,706,332; asserted claims 1, 2, 3, 4, 5, 6, and 7 of U.S. Patent No. 7,970,127;
`
`asserted claims 16, 17, 18, and 19 of U.S. Patent No. 7,536,013; or_ e.s.serted. cl"'!-ll..n~-.L. 2.,),_4,_.5,
`
`6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, and 18 of U.S. Patent No. 7,616,970.
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00001
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS
`
`Page
`
`I.
`
`Background ........................... .................................. ... ...................................... ......... .......... 1
`
`A.
`
`B.
`
`C.
`
`Institution of the Investigation; Procedural History ........................ ............ ............. 1
`
`Tue Private Parties; Assignment of Patents ...................................... ..................... .. 5
`
`The Accused Products ................................................. ............................................. 6
`-~/!
`The Accused Nokia Products ................... ..... ... .... ....... .......... ................ ....... 8
`
`1.
`
`2.
`
`3.
`
`The Accused Huawei Products ................ ......... ............................. ....... ..... 10
`
`The Accused ZTE Products ............................................. .......................... 13
`
`II.
`
`Jurisdiction ............................ ................. .......... ................ .................... .... ... .............. ...... .. 15
`
`III.
`
`hnportation ............................... ..................................................... ...... .............................. 16
`
`IV.
`
`Tue Power Ramp-Up ('830 and '636) Patents .................................................................. 16
`
`A.
`
`Overview of the Patents and Asserted Claims ............................... .... ............... ; ... .16
`
`1.
`
`2.
`
`The '830 Patent .................. ........................................................................ 16
`
`The '636 Patent ..... ........................................................... ........................... 18
`
`B.
`
`Claim Construction ...................... ................. .... ... .... .......... ........................ ........ .... 19
`
`1.
`
`2.
`
`3.
`
`General Principles of Law ................ ......... ..................... : ........................ .. 19
`
`Level of Ordinary Skill ............................................................................. .22
`
`Construction of Disputed Claim Terms ............. .. .... .... ............... ... .... ........ 22
`
`C.
`
`Infringement ............. .... ............... ... ...... ...................... ... ......... ........... ... .......... ........ 3 8
`
`1.
`
`2.
`
`3.
`
`4.
`
`General Principles of Law ....................... .......... .. ........ ....... ....................... 38
`
`The Accused Power Ramp-Up Products ....................... ............................ .44
`
`InterDigital's Reliance on the WCDMA Standard .... : ..... ... .................. .... .46
`
`Global Infringement Issues .................................................... ................ .... 48
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00002
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`5.
`
`6.
`
`7.
`
`8.
`
`9.
`
`10.
`
`11.
`
`12.
`
`13.
`
`14.
`
`'830Patent-Claim 1 ................................................................................ 59
`
`'830 Patent- Claim 2 ................................................................................ 63
`
`'830Patent-Claim3 ................................................................................ 64
`
`'830 Patent- Claim 5 ................................................................................ 64
`
`'6&9 Patent- Claim 1 ................................................................................ 65
`·' di/'
`.
`'636 Patent- Claim 2 ................................ : ....................... : ....................... 66
`
`'636 Patent - Claim 4 ................................................................................. 67
`
`'636 Patent - Claim 6 ................................................................................ 68
`
`'636 Patent- Claim 7 ................................................................................ 68
`
`'636 Patent- Claim 8 ................................................................................ 69
`
`D.
`
`Validity .................................................................................................................. 70
`
`1.
`
`2.
`
`3.
`
`General Principles of Law ......................................................................... 70
`
`Anticipation and Obviousness ................................................................... 74
`
`Lack of Written Description ............... , ...................................................... 92
`
`V.
`
`The Closed-Loop Power Control ('406 and '332) Patents ............................................... 95
`
`A.
`
`Overview of the Patents and Asserted Claims ....................................................... 95
`
`1.
`
`2.
`
`The '406 Patent .......................................................................................... 95
`
`The '332 Patent ............... ; ........................................................................... 97
`
`B.
`
`Claim Construction .............................................................................................. 100
`
`1.
`
`2.
`
`Level of Ordinary Skill ......................................................................... : ..... ~ OQ
`
`I
`
`•j -
`
`Construction of Disputed Claim Terms ................................................... 100
`
`C.
`
`Infringement. ............................................................................. : .......................... 111
`
`1.
`
`The '406 and '3 3 2 Accused Products ...................................................... 111
`
`11
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00003
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`2.
`
`3.
`
`4.
`
`5.
`
`6.
`
`7.
`
`8.
`
`Operation of the WCDMA Products ............................ ..... ....................... 114
`
`Operation of the CDMA2000 Products ................. ...... .... ..... .......... ......... 119
`
`Global Infringement Issues ................................ .................. ....... ......... .. .. 125
`
`'406 Patent - (N onasserted) Claim 1 ................................. ...... ................ 141
`
`'40_6: Patent - Claim 6 ............ ............... ..................................... ... : .......... 144
`. :'.11~1
`'406 Patent - (N onasserted) Claim 7 ......... .............. .. ..... ................. ........ 144
`
`'406 Patent - Claim 13 ............................ .......... ......... ...... .... ......... .......... 146
`
`9. ·
`
`'406 Patent - (N onasserted) Claim 15 ........ ........ ... ............................ ...... 14 7
`
`10.
`
`11.
`
`12.
`
`13.
`
`14.
`
`15.
`
`16.
`
`17.
`
`18.
`
`19.
`
`20.
`
`21.
`
`22.
`
`23.
`
`24.
`
`'406 Patent- Claim 20 ........... ...................... .. ...................................... .. .148
`
`'406 Pate~t - (N onasserted) Claim 21 ..................................... ............... .149
`
`'406 Patent-(Nonasserted) Claim 22 ..................................................... 150
`
`'406 Patent- Claim 26 .................................... ..................... ................... 151
`
`'406 Patent - Claim 29 ........................ .... ............. .. ............. ...... .............. 151
`
`'332 Patent - (Nonasserted) Claim 1 ............ ... ... .............................. ... ..... 153
`
`'332 Patent- Claim 2 .............................................................................. 154
`
`'332 Patent- Claim 3 ............................................................... ............... 155
`
`'332 Patent - Claim 4 ........................................................................ ..... .156
`
`'332Patent-Claim7 .......................... ..... ...... ... ...................................... 156
`
`'332 Patent-Claim 8 ..................... ................... ......... ............................. 157
`
`'332 Patent-Claim 9 .................. ................................ ..... ................ ...... .. 160
`
`'3~2 Patent- Claim 10 ............................... .................. ............... ....... ..... 160
`
`'332 Patent - Claim 11 .'. ............................................. .... ............ : ............ 161
`
`'332 Patent- Claim 14 ........ : .................................................................. .162
`
`111
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00004
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`25.
`
`'332 Patent- (Nonasserted) Claim 21 ... .................................................. .162
`
`26.
`
`27.
`
`28.
`
`29.
`
`30.
`
`'332 Patent-Claim 22 ......... ..... ................................... ......... ... .... .......... .165
`
`'332 Patent- Claim 23 .. .... ...... ....... ........ .................... ........ ..... ............ ... .166
`
`'332 Patent-Claim 24 ........................................................................... . 167
`
`'3:.~ Patent- Claim 27 ............................ ... ........... .. ........ ................ ... ..... 167
`. ~.~-ji•
`Indirect Infringement ('406 Patent) ..... ... ...... .... ............. ..... ..................... 168
`
`D.
`
`Validity ....................................................... ..... ............. .................................. ..... 173
`
`1.
`
`2.
`
`Priority Date ............................................. .................. ...... ........... ............. 173
`
`Anticipation and Obviousness ............. .... ...... ...... ...... ..... ......... ..... ........... 191
`
`VI.
`
`The UE ID ('127 and '013) Patents ............................. ...... ........... ............... .... ........ ....... 208
`
`A.
`
`Overview of the Patents and Asserted Claims ................... ................................. .208
`
`1.
`
`2.
`
`3.
`
`The '127 Patent ......................................... ......... .... ....................... ....... .... 208
`
`The '013 Patent ............................................ ...................................... .. ..... 210
`
`Overview of the Technology .............. , ...................... ......... ..................... 211
`
`B.
`
`Claim Construction ...................................................................... .............. : ......... 213
`
`1.
`
`2.
`
`Level of Ordinary Skill .......................................................... ... ............. .. 213
`
`Construction of Disputed Claim Terms .. ........ .. ................ .. ........... ..... .... .213
`
`C.
`
`Infringement. .................. ................... .... ..................... ...... ... .. .............. ................. 222
`
`1.
`
`2.
`
`3.
`
`4.
`
`5.
`
`The UE ID Accused Products .................................................................. 222
`
`Global Infringement Issues ................. ............ ...... ....... ........ ... ................. 230
`
`'127 Patent - Claim 1 .................................. .... ............. ...... ..................... 240
`
`'127 Patent - Claim 2 ......................................................... ..................... 250
`
`'127Patent-Claim3 ...................... .. ........ ............................................ .. 251
`
`"
`
`lV
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00005
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`6.
`
`7.
`
`8.
`
`9.
`
`· 10.
`
`11.
`
`12.
`
`13.
`
`14.
`
`'127 Patent- Claim 4 ............................. ................ ................................ . 251
`
`'127 Patent ...:.'Claim 5 ........................................ .... .... ............................. .252
`
`'127 Patent - Claim 6 .............................................................................. 252
`
`'127 Patent - Claim 7 .............................................................................. 253
`
`'013"Patent-Claim 16 ............................................................................ 253
`. i~/
`'013Patent-Claim17 ............................................................................ 255
`
`'013 Patent-Claim 18 ..................................................................... ....... 255
`
`'013 Patent- Claim 19 .................. .... ............................................... ...... .256
`
`Infringement of the Accused Products Upon Importation ....................... 257
`
`D.
`
`Validity .................................. ... ........................................................................... 258
`
`1.
`
`2.
`
`3.
`
`4.
`
`Priority Date ('127 and '013 Patents) ..................... ....................... ......... .258
`
`Anticipation and Obviousness(' 127 and '013 Patents) .......................... .260
`
`Lack of Written Description(' 127 Patent) ............................................. .286
`
`Indefiniteness ('127 Patent) ................. ,. ................................................... 290
`
`VII.
`
`The Dual Mode Subscriber Unit ('970) Patent.. ............................................................. 293
`
`A.
`
`B.
`
`C.
`
`Overview of the '970 Patent and Asserted Claims ................................... ........... 293
`
`The '970 Accused Products ....................................................................... ......... .295
`
`Claim Construction .............. ... ........................ ....................... ....... ..... .................. 297
`
`1.
`
`2.
`
`Level of Ordinary Skill ......................................... ............................... .... 297
`
`Construction of Disputed Claims ............................................................. 297
`
`D.
`
`Infringement ......................................................................................................... 315
`
`1.
`
`2.
`
`Claim 1 ............................................ ......................................................... 315
`
`Claim 2 .............. .............. ............. ................. ....... ....... ... ...................... .... 325
`
`v
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00006
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`Claim 3 ............... .. ............................................ : ....................................... 326
`
`Claim 4 ............. .' ................ .................................................. ..................... 326
`
`Claim 5 ..................................................................................................... 327
`
`Claim 6 ........................................................... .................. ....... .. ......... ...... 328
`c~~?17 ..................................................................................................... 329
`
`Claim 8 ..................................................................................................... 329
`
`Claim 9 ............................. .... .................................................................... 330
`
`Claim 10 ................................................................................................... 331
`
`Claim 11 ................................................. ... ............................................... 333
`
`Claim 12 ................................................... .. .............................................. 333
`
`Claim 13 ........................................................................................... ..... ... 334
`
`Claim 14 ................................................................................................... 335
`
`Claim 15 ................................................................................... ~ ........ ..... ... 336
`
`Claim 16 .............................................. , .. .... ................. : ............................ 336
`
`Claim 17 ......................................................................................... ~ ......... 33 7
`
`Claim 18 ................................................................................................... 337
`
`Infringement of the Accused Products Upon Importation ....................... 338
`
`Indirect Infringement ......................... ..... .. ............... ................ ........ .. ...... 339
`
`3.
`
`4.
`
`5.
`
`6.
`
`7.
`
`8.
`
`9.
`
`10.
`
`11.
`
`12.
`
`13.
`
`14.
`
`15.
`
`16.
`
`17.
`
`18.
`
`19.
`
`20.
`
`E.
`
`Validity ....................................... .......................... ..................................... : ......... 342
`
`' I
`
`1.
`
`2.
`
`Priority Date ......................... ...... .......... ..................................................... 342
`
`Anticipation and Obviousness ................................... ........ ..... ....... ... .. ..... 345
`
`VIII. Domestic Industry ............................................................................... ........................ .... 3 82
`
`A.
`
`General Principles of Law ............................... ..... ........... .............. ...................... 3 82
`
`Vl
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00007
`
`

`

`PUBLIC VERSION
`
`TABLE OF CONTENTS (CONT'D)
`
`Page
`
`B.
`
`InterDigital's Domestic Investments ............................................... ....... ...... ....... 385
`
`1.
`
`2.
`
`3G Licensing Investments ................. ....... ......... ..... ...... ... .... ............... ...... 385
`
`Alleged Investments in the Asserted Patents ........ ................................... 392
`
`C.
`
`Analysis and Conclusion on the Domestic Industry ............................................ 397
`
`1.
`
`2.
`
`3.
`
`Intt<rDigital's Reliance on the Asserted Patent Families ......................... 397
`~(,
`.
`The Nexus Between InterDigital's 3G Licensing Investments and the
`Asserted Patents ......................................... .......... ............. : ...... ................ 400 .
`
`InterDigital's Domestic 3G Licensing Investments Are Substantial ...... .413
`
`IX.
`
`Other Def ens es ........................................................ .................... ...... ............. ...... ..... ...... 417
`
`A.
`
`FRAND .......... .. ................... ................. .............. .. ...... .... ................ .................... .. 417
`
`1.
`
`2.
`
`The Relevant IPR Policies ...... ............................................ .................... .418
`
`Respondents' Contentions ............... ........ .. ... ....... : .............. ................... .. 422
`
`B.
`
`License ....................................................... .......................................................... 440
`
`1.
`
`2.
`
`3.
`
`General Principles of Law ................... ............................... .................... .440
`
`Factual Background ................................................... ................................ 441
`
`Analysis and Conclusion ..... .. .......... ... .. ...... .. ....... ... .. .... ....... .... ......... .. ..... .442
`
`X.
`
`Conclusions of Law ................................... .... ................................... .... ... ... .... ................ 446
`
`XI.
`
`Initial Determination on Violation ..... .................................. : ..... ............... ...................... 447
`
`XII. Order .. ....... ................... .......................... ....... .......... .... ... .... ...................... ..... .. ...... ........... 448
`
`vii
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00008
`
`

`

`PUBLIC VERSION
`
`The following abbreviations may be used in this Initial Determination:
`
`ACK
`
`ALJ
`
`APC
`
`ASIC
`
`Acknowledgement
`
`Administrative Law Judge
`
`Adaptive Power Control
`
`Application Specific Integrated Circuit
`
`CDMA'·'·:
`•.;(~
`·~'t.i'
`
`Code Division Multiple Access
`
`CDX
`
`CPX
`
`CX
`
`Dep.
`
`Complainants' Demonstrative Exhibit
`
`Complainants' Physical Exhibit
`
`Complainants' Exhibit
`
`Deposition
`
`DPCCH
`
`Dedicated Physical Control Channel
`
`DPDCH
`
`Dedicated Physical Data Channel
`
`EDIS
`
`Electronic Document Imaging System
`
`E-DPDCH
`
`Enhanced Dedicated Physical Data Channels
`
`ETSI
`
`European Telecommunicatio.ns Standards Institute
`
`FRAND
`
`Fair, Reasonable and Non-Discriminatory
`
`HSDP A
`
`High Speed Downlink Packet Access
`
`HS-PDSCH High Speed Physical Downlink Shared Channel
`
`HS-SCCH
`
`High Speed Shared Control Channel
`
`IMT-2000
`
`International Mobile.Telecommunications-2000
`Standard
`
`INP ADOC
`
`International Patent Document Center
`
`ITU
`
`JDX
`
`International Telecommunications Union
`
`Joint Demonstrative Exhibit
`
`vm
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00009
`
`

`

`PUBLIC VERSION
`
`JPX
`
`JX
`
`Joint Physical Exhibit
`
`Joint Exhibit
`
`MPEP
`
`Manual of Patent Examining Procedure
`
`PRACH
`
`Physical Random Access Channel
`
`PTO
`
`U.S. Patent and Trademark Office
`
`RAND
`. ~i:
`
`RDX
`
`Reasonable and Non-Discriminatory
`
`Respondents' Demonstrative. Exhibit
`
`RF
`
`RPX
`
`RWS
`
`RX
`
`SDX
`
`SPX
`sx
`sso
`
`TIA
`
`TPC
`
`Tr.
`
`UE
`
`UEID
`
`UMTS
`
`WCDMA/
`W-CDMA
`
`WLAN/
`W-LAN
`
`Radio Frequency
`
`Respondents' Physical Exhibit
`
`Rebuttal Witness Statement
`
`Respondents' Exhibit
`
`Staffs Demonstrative Exhibit
`
`Staff's Physical Exhibit
`
`Staff's Exhibit
`
`Standard-Setting Organization
`
`Telecommunications Industry Association
`
`Transmit Power Control
`
`Transcript
`
`User Equipment
`
`User Equipment Identification
`
`Universal Mobile Telecommunications System
`. ;;
`-
`Wideband Code Division Multiple Access
`
`Wireless Local Area Network
`
`IX
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00010
`
`

`

`PUBLIC VERSION
`
`ws
`
`3G
`
`3GPP
`
`3GPP2
`
`Witness Statement
`
`Third Generation
`
`Third Generation Partnership Project
`
`Third Generation Partnership Project 2
`
`x
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00011
`
`

`

`PUBLIC VERSION
`
`I.
`
`Background
`
`A.
`
`Institution of the Investigation; Procedural History
`
`By publication of a notice in the Federal Register on August 31, 2011, pursuant to
`
`subsection (b) of section 337 of the Tariff Act of 1930, as amended, the Commission instituted
`
`this investigation to determine:
`
`[W]hetheriJP.ere is a violation of subsection (a)(l)(B) of section 337 in the
`importati6f into the United States, the sale for impo:r;tation, or the sale
`within the United States after importation of certain wireless devices with
`3G capabilities and components thereof that infringe one or more of
`claims 1-15 of the '540 patent [U.S. Patent No. 7,349,540]; claims 1, 2,
`6-9, 13, 15-16, 20-22, 26, 28-30, 34-36, and 40 of the '406 patent [U.S.
`Patent No. 7,502,406]; claims 1-19 of the '013 patent [U.S. Patent No.
`7,536,013]; claims 1-18 of the '970 patent [U.S. Patent No. 7,616,970];
`claims 1-27 of the '332 patent [U.S. Patent No. 7,706,332]; claims 1-3,
`5-8, 10, 16-18, 20-23, and 25 of the '830 patent [U.S. Patent No.
`7,706,830]; and claims 1-14 of the
`'127 patent [U.S. Patent No.
`7,970,127], and whether an industry in the United States exists as requrred
`by subsection (a)(2) of section 337.
`
`76 Fed. Reg. 54252 (Aug. 31, 2011).
`
`The Commission named as complainants Inter Digital Communications, LLC of King of
`
`Prussia, Pennsylvania; 1 InterDigital Technology Corporation .. of Wilmington, Delaware; and IPR
`
`Licensing, Inc. of Wilmington, Delaware. Id.
`
`The Commission named as respondents Huawei Technologies Co., Ltd. of Shenzhen,
`
`China; Future Wei Technologies, Inc. d/b/a Huawei, Technologies (USA) of Plano, Texas
`
`1 InterDigital Communications, LLC subsequently moved to amend the Complaint and Notice of
`Investigation to reflect the fact that it converted from a Pennsylvania limited liability company to
`a Delaware corporation, and changed its name toinforDigital Co:r:Dinunications, Inc. to reflect the
`change in corporate form. The administrative law judge granted this motion in an initial
`determination. See Order No. 91 (Jan. 17, 2013), aff'd, Notice of Commission Determination
`Not to Review an Initial Determination Granting Complainants' Motion for Leave to Amend the
`Complaint and Notice of Investigation (Feb. 4, 2013).
`
`The InterDigital entities will be referred to collectively as "InterDigital."
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00012
`
`

`

`PUBLIC VERSION
`
`(together, "Huawei"); Nokia Corporation of Espoo, Finland; Nokia Inc. of White Plains, New
`
`York (together, "Nokia"); ZTE Corporation of Shenzhen, China; and ZTE (USA) Inc. of
`
`Richardson, Texas (together, "ZTE"} (collectively, "Respondents"). Id.
`
`The Office of Unfair Import Investigations ("OUII" or "Staff') was also named as a party
`
`to this investigation. Id.
`
`The target date fa:t;¢ompletion of this investigation was set at approximately 18 months,
`
`i.e., February 28, 2013. Order No. 6 at 1(Oct.14, 2011), aff'd, Notice of Commission
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`Determination Not to Review an Initial Determination Setting an 18-Month Target Date for
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`Completion of the Investigation (Nov. 2, 2011).
`
`InterDigital moved to amend the complaint and notice of investigation (1) to add
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`allegations of infringement of claims 1-4, 6-9, and 29-31 ofU.S. Patent No. 8,009,636 ("the '636
`
`patent") and (2) to name LG Electronics, Inc.; LG Electronics U.S.A., Inc.; and LG Electronics
`
`Mobilecomm U.S.A., Inc. (together, "LG") as respondents. The administrative law judge
`
`granted InterDigital's motion in an initial determination. See Order No. 5 (Dec. 5, 2011), ajf'd,
`-
`Notice of Commission Determination Not to Review an Initial Determination Granting
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`Complainants' Motion for Leave to Amend the Complaint and Notice of Investigation (Dec. 21,
`
`2011).
`
`InterDigital, Nokia, Huawei, and ZTE subsequently moved to extend the target date of
`
`this investigation by four months.2 The administrative law judge granted the parties' motion in
`
`an initial determination, and extended the target date to June 28, 2013. See Order No. 13 (Jan. 6,
`
`2 LG did not join or otherwise respond to the motion. See Order No. 13. The Staff did not
`oppose the motion. See id.
`
`2
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00013
`
`

`

`PUBLIC VERSION
`
`2012), a.ff'd, Notice of Commission Determination Not to Review an Initial Determination
`
`Extending the Target Date for Completion of the Investigation (Jan. 25, 2012).
`
`I
`
`Pursuant to the Supplement to the Strategic Human Capital Plan 2009-2013, issued by the
`
`Commission on January 18, 2011, the Staff provided notice that its participation in this
`
`investigation "will be limited to issues relating to U.S. Patent Nos. 7,349,540, 7,536,013, and
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`7,970,127, as well as iss~~ relating to Respondents' patent misuse and/or FRAND defenses."
`
`)
`
`See Commission Investigative Staffs Notice of Partial Participation (Jan 18, 2012).
`
`InterDigital filed a motion to amend the complaint and notice of investigation to add
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`Huawei Device USA, Inc. as a respondent. Tue administrative law judge granted InterDigital's
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`motion in an initial determination. See Order No. 19 (Apr. 11, 2012), aff'd, Notice of
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`Commission Determination Not to Review an Initial Detennination Granting Complainants'
`
`Motion for Leave to Amend the Complaint and Notice of Investigation (May 1, 2012). 3
`
`LG filed a motion pursuant to 19 C.F.R § 210.21(a)(2) to terminate the investigation as to
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`LG based on an arbitration agreement. Tue administrative law judge granted LG's motion in an
`
`initial determination. See Order No. 30 (June 4, 2012), a.ff'd, Notice of Commission
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`Determination Not to Review an Initial Determination Temiinating Certain Respondents From
`
`the Investigation (July 6, 2012). InterDigital appealed LG's termination from this investigation,
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`and the Federal Circuit recently issued an opinion reversing the termination. Inter Digital
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`Commc'ns, LLCv Int '! Trade Comm 'n, No. 2012-1628 (Fed. Cir. June 7, 2013).
`
`InterDigital moved to terminate this investigation in part, i.e., as to claims 1-15 of the
`..
`.
`-. - •,
`..
`-
`'013 patent; claims 8-14 of the '127 patent; all claims of the '540 patent; claims 1, 2, 9, 16, 28,
`
`•:·.-::····
`
`3 "Huawei" hereinafter refers collectively to Hua~ei Technologies Co., Ltd.; Future Wei
`Technologies, Inc. d/b/a Huawei, Technologies (USA); and Huawei Device USA, Inc.
`
`3
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00014
`
`

`

`PUBLIC VERSION
`
`30, 34-36, and 40 of the '406 patent; claims 5, 6, 12, 13, 15-20, 25, and 26 of the '332 patent;
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`and claims 16-18, 20-23, and 25 of the '830 patent. The administrative law judge granted
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`InterDigital's motion in an initial determination. SetrOrdet No. 38 (July 24, 2012), aff'd, Notice
`
`of Commission Determination Not to Review an Initial Detennination Terminating Certain
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`Claims From the Investigation (Aug. 9, 2012).
`
`On August 14, 2~:2, a prehearing conference was held to discuss discovery and
`· dV
`
`scheduling matters.
`
`In response to a joint motion filed by the private parties, the administrative law judge
`
`issued an initial determination extending the target date for this investigation to October 28,
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`2013. See Order No. 63 (Sept. 10, 2010), aff'd, Notice of Commission Determination Not to
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`Review an Initial Determination Extending the Target Date for Completion of the Investigation
`
`(Oct. 1, 2012). The due date for the Initial Determination on violation is therefore June 28, 2013.
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`Order No. 63 at 2.
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`InterDigital moved to terminate this investigation in part, i.e., as to claims 7, 8, 15, 21,
`
`and 22 of the '406 patent; claims 1 and 21 of the '332 patent; and claims 6-8 and 10 of the ' 830
`
`patent. The administrative law judge granted Inter Digital' s motion in an initial determination.
`
`See Order No. 87 (Jan. 3, 2013), ajf'd, Notice of Commission Determination Not to Review an
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`Initial Determination Terminating Certain Claims From the Investigation (Jan. 23, 2013).
`
`A prehearing conference was held on February 12, 2013, with the evidentiary hearing in
`
`this investigation commencing immediately thereafter.. The hearing concluded on February 22,
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`2013. See Order No. 62; Hearing Tr. 1-2542. The private parties were requested to file
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`post-hearing briefs not to exceed 600 pages il,1. length, and to file reply briefs not to exceed 300
`
`4
`
`ZTE Corporation and ZTE (USA) Inc.
`Exhibit 1011-00015
`
`

`

`PUBLIC VERSION
`
`pages in length. Hearing Tr. 14. The Staff was requested to file a post-hearing brief not to
`
`exceed 200 pages in length, and to file a reply brief not to exceed 100 pages in length. Id.
`
`B.
`
`The Private Parties; Assignment of Patents
`
`InterDigital Communications, Inc. is a Pennsylvania limited liability company with its
`
`principal place, of business in King of Prussia, Pennsylvania. See Third Am. Compl. at 2, if 2.1.
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`InterDigital Technology ~prpo.ration is a Delaware corporation with its principal place of
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`business in Wilmington, Deleware. Id. at 2, if 2.2. IPR Licensing, Inc. is a Delaware corporation
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`with its principal place of business in Wilmington, Delaware. Id. at 2-3, if 2.3. InterDigital
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`Communications, Inc.; InterDigital Technology Corporation; and IPR Licensing, Inc. are
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`subsidiaries of InterDigital Inc., a Pennsylvania corporation. Id
`
`Huawei Technologies Co., Ltd. is a corporation organized and existing under the laws of
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`the People's Republic of China with its principal place of business in Shenzhen, China. Resp. of
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`Huawei Techs. Co., Ltd. to Third Am. Compl. at 3-4, if 3.1. Future Wei Technologies, Inc. d/b/a
`
`Huawei, Technologies (USA) is a Texas corporation with a principal place of business in Plano,
`
`Texas. Resp. ofFuturewei Techs., Inc. to Third Am