`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`TYLER DIVISION
`
`REALTIME ADAPTIVE STREAMING
`
`LLC,
`
`Plaintiff,
`
`v.
`
`
`
`
`
`
`
`
`
`Case No. 6:17-cv-567
`
`JURY TRIAL DEMANDED
`
`ECHOSTAR TECHNOLOGIESL.L.C.,
`
`DISH NETWORK L.L.C., AND ARRIS
`
`GROUP,INC.,
`
`Defendants.
`
`COMPLAINT FOR PATENT INFRINGEMENT
`
`This is an action for patent infringement arising under the Patent Laws of the
`
`United States of America, 35 U.S.C. § 1 ef seg.
`
`in which Plaintiff Realtime Adaptive
`
`Streaming LLC (“Plaintiff’ or “Realtime”) makes the following allegations against
`
`Defendants EchoStar Technologies, L.L.C., DISH Network L.L.C., and Arris Group,
`
`Ine.:
`
`PARTIES
`
`1.
`
`Realtime is a Texas limited liability company. Realtime has a place of
`
`business at 1828 E.S.E. Loop 323, Tyler, Texas 75701. Realtime has researched and
`
`developed specific solutions for data compression, including, for example, those that
`
`increase the speeds at which data can be stored and accessed. As recognition of its
`
`innovations rooted in this technological field, Realtime holds multiple United States
`
`patents and pending patent applications
`
`2.
`
`On information and belief, EchoStar Technologies, L.L.C.
`
`is a Texas
`
`limited liability company with its principal place of business at 11717 Exploration Lane,
`
`Germantown, MD 20876 and a regular and established place of business at 10303 E
`
`DISH 1031
`Sling TV v. Realtime
`IPR2018-01332
`
`DISH 1031
`Sling TV v. Realtime
`IPR2018-01332
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 2 of 29 PagelD #: 2
`
`Bankhead Hwy # 100, Aledo, TX 76008. See, e.g., https://www.yellowpages.com/aledo-
`
`tx/mip/echostar-satellite-11408900. Upon information and belief, EchoStar Technologies,
`
`L.L.C. has a regular and established place of business in this District. On information
`
`and belief, EchoStar Technologies, L.L.C. can be served through its registered agent,
`
`Corporation Service Company D/B/A CSC-Lawyers Inc., 211 E. 7th Street Suite 620,
`
`Austin, TX 78701. EchoStar Technologies LLC is an indirect subsidiary of DISH
`
`Networks LLC. EchoStar Technologies LLC designs the set-top boxes used to deliver
`
`the DISH TVservice.
`
`3.
`
`Oninformation and belief, Defendant DISH Network L.L.C. (“DISH”)is
`
`a Colorado limited liability company with its principal office at 9601 S. Meridian Blvd.,
`
`Englewood, CO 80112 and a regular and established place of business at 1211 BroadSt,
`
`Wichita Falls, TX 76301.
`
`See, e.g., https://www.mapquest.com/us/texas/business-
`
`wichita-falls/DISH-tv-9269051. Upon information and belief, DISH Network L.L.C.
`
`has
`
`a
`
`regular and established place of business
`
`in this District. See, eg.,
`
`https://www.DISH.com/availability/tx/beaumont
`
`(“Get DISH TV Programming in
`
`Beaumont, Texas”). On information and belief, Defendant DISH Network L.L.C.
`
`conducts business throughout
`
`the United States,
`
`including in this District.
`
`On
`
`information and belief, DISH can be served through its registered agent, R. Dodge
`
`Stanton, 9601 S. Meridian Blvd., Englewood, CO 80112. EchoStar Technologies, L.L.C.
`
`and DISH Network L.L.C.are hereinafter referred to collectively as “DISH”or “Dish”.
`
`4.
`
`On information and belief, Defendant Arris Group, Inc. (“Arris”) is a
`
`Delaware Corporation with its principal office at 3871 Lakefield Drive, Suwanee, GA,
`
`30024. On information and belief, Arris maintains a regular and established place of
`
`business in this District, for example, at 101 E Park Blvd, Plano, TX 75074. See, e.g.,
`
`http://www.buzzfile.com/business/Arris-Group.-Inc.-972-546-1700. On information and
`
`belief, Arris maintains a regular and established place of business at 4516 Seton Center
`
`Pkwy, Suite 185, Austin, TX 78759. See, e.g., http://www.Arris.com/company/offices/.
`
`
`
`Case 6:17-cv-00567 Documenti Filed 10/10/17 Page 3 of 29 PagelD #: 3
`
`On information and belief, Defendant Arris conducts business throughout the United
`
`States, including in this District. On information andbelief, Arris can be served through
`
`its registered agent, Corporation Service Company, 40 Technology Pkwy South, #300,
`
`Norcross, GA 30092.
`
`Sy
`
`On information and belief, EchoStar, and DISH promotes and offers for
`
`sale DISH and Sling-branded products and services which infringe certain asserted
`
`patents. Accordingly, each of the Defendantsis properly joined in this action pursuant to
`
`35 U.S.C. § 299.
`
`6.
`
`On information and belief, Arris sells and offers for sale products and
`
`services incorporating technology from Sling Media which infringes certain asserted
`
`patents. Accordingly, Arris is properly joined in this action pursuant to 35 U.S.C. § 299.
`JURISDICTION AND VENUE
`
`7.
`
`This action arises under the patent laws of the United States, Title 35 of
`
`the United States Code. This Court has original subject matter jurisdiction pursuant to 28
`
`U.S.C. §§ 1331 and 1338(a).
`
`8.
`
`This Court has personaljurisdiction over EchoStar Technologies L.L.C.in
`
`this action because EchoStar Technologies L.L.C. has committed acts within the Eastern
`
`District of Texas givingrise to this action and has established minimum contacts with this
`
`forum suchthat the exercise ofjurisdiction over EchoStar Technologies L.L.C. would not
`
`offend traditional notions of fair play and substantial justice. EchoStar Technologies
`
`L.L.C. directly and through subsidiaries (including DISH) or intermediaries (including
`
`distributors, retailers, and others), has committed and continues to commit acts of
`
`infringementin this District by, among other things, offering to sell and selling products
`
`and/or services that infringe the asserted patents.
`
`In addition, EchoStar Technologies
`
`L.L.C.
`
`is incorporated under the laws of the state of Texas.
`
`Furthermore, upon
`
`information and belief, EchoStar Technologies L.L.C. has a regular and established place
`
`of business at 10303 E Bankhead Hwy # 100, Aledo, TX 76008.
`
`See, eg.,
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 4 of 29 PagelD #: 4
`
`https://www.yellowpages.com/aledo-tx/mip/echostar-satellite-11408900.
`
`Upon
`
`information and belief, EchoStar Technologies L.L.C. has a regular and established place
`
`of business in this District.
`
`9.
`
`This Court has personal jurisdiction over DISH Network L.L.C. in this
`
`action because DISH Network L.L.C. has committed acts within the Eastern District of
`
`Texas giving rise to this action and has established minimum contacts with this forum
`
`such that the exercise of jurisdiction over DISH Network L.L.C. would not offend
`
`traditional notions of fair play and substantial justice. DISH Network L.L.C. directly
`
`and/or through subsidiaries (including one or more of the named Co-Defendants) or
`
`intermediaries (including distributors, retailers, and others), has committed and continues
`
`to commit acts of infringement in this District by, among other things, offering to sell and
`
`selling products and/or services that infringe the asserted patents. For example, DISH
`
`Network L.L.C. advertises, “Get DISH TV Programming in Beaumont, Texas”. See, e.g.,
`
`https://www.DISH.com/availability/tx/beaumont. Upon information and belief, DISH
`
`has a regular and established place of business at 1211 Broad St, Wichita Falls, TX
`
`76301.
`
`See, e.g., https://www.mapquest.com/us/texas/business-wichita-falls/DISH-tv-
`
`9269051.
`
`Upon information and belief, DISH Network L.L.C. has a regular and
`
`established
`
`place
`
`of
`
`business
`
`in
`
`this
`
`District.
`
`See,
`
`€.£.,
`
`https://www.DISH.com/availability/tx/beaumont
`
`(“Get DISH TV Programming in
`
`Beaumont, Texas”).
`
`10.|This Court has personal jurisdiction over Arris Group, Inc. in this action
`
`because Arris Group, Inc. has committed acts within the Eastern District of Texas giving
`
`rise to this action and has established minimum contacts with this forum such that the
`
`exercise ofjurisdiction over Arris Group, Inc. would not offend traditional notionsof fair
`
`play and substantial justice. Arris Group,
`
`Inc. directly and/or through subsidiaries
`
`(including one or more of the named Co-Defendants) or intermediaries (including
`
`distributors, retailers, and others), has committed and continues to commit acts of
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 5 of 29 PagelD #: 5
`
`infringementin this District by, among other things, offering to sell and selling products
`
`and/or services that infringe the asserted patents. On information and belief, Arris
`
`maintains a regular and established place of business in this District, for example, at 101
`
`E Park Blvd, Plano, TX 75074.
`
`See, e.g., http://www.buzzfile.com/business/Arris-
`
`Group.-Inc.-972-546-1700. On information and belief, Arris also maintains a regular and
`established place of business at 4516 Seton Center Pkwy, Suite 185, Austin, TX 78759.
`
`See, e.g., http://www.Arris.com/company/offices/.
`
`11.|Venueis proper in this district under 28 U.S.C. §§ 1391(b), 1391(c) and
`
`1400(b). Defendant Echostar Technologies L.L.C.
`
`is incorporated in Texas. Upon
`
`information andbelief, all Defendants have transacted business in the Eastern District of
`
`Texas and have committed acts of direct and indirect infringementin the Eastern District
`
`of Texas. In addition, Echostar maintains an Uplink & Broadcast Center in Texas located
`
`at
`
`710
`
`Conrads
`
`Ln.,
`
`New
`
`Braunfels,
`
`TX
`
`78130.
`
`See
`
`http://www.echostar.com/company/locations.aspx. In addition, on information andbelief,
`EchoStar has a regular and established place of business at 10303 E Bankhead Hwy #
`
`100, Aledo, TX 76008. See, e.g., https://www.yellowpages.com/aledo-tx/mip/echostar-
`
`satellite-1 1408900. On information and belief, DISH has regular and established places
`
`of business in this District. For example, DISH advertises, “Get DISH TV Programming
`
`in Beaumont, Texas”. See, e.g., https://www.DISH.com/availability/tx/beaumont. On
`
`information and belief, Arris maintains a place of businessin this District at 101 E Park
`
`Blvd, Plano, TX 75074. See, e.g., http://www.buzzfile.com/business/Arris-Group,-Inc.-
`
`972-546-1700. On information and belief, Arris also maintains a regular and established
`
`place of business at 4516 Seton Center Pkwy, Suite 185, Austin, TX 78759.
`
`See, e.g.,
`
`http://www.Arris.com/company/offices/.
`ASSERTED PATENTS
`
`12.
`
`The asserted patents are U.S. Patent Nos. 8,867,610 (“the ‘610 Patent”)
`
`and 8,934,535 (“the ‘535 patent”) (collectively, “Asserted Patents”).
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 6 of 29 PagelD #: 6
`
`13.
`
`The Asserted Patents have beencited asprior art during the prosecution of
`
`at least 400 patent applications of Realtime and other companies. Those other companies
`
`include well-known technology companies such as: Quantum, Fujitsu, IBM, Seagate,
`
`STMicroelectronics, Cisco, LSI, Skyfire Labs, Chicago Mercantile Exchange, Thomson
`
`Reuters, OSR Open Systems Resources, Exegy, RIM, Renesas, Red Hat, Xerox, and
`
`Microsoft.
`
`COUNT I
`
`INFRINGEMENTOFU.S. PATENT NO.8,867,610
`
`14.
`
`Plaintiff Realtime realleges and incorporates by reference the foregoing
`
`paragraphsabove,asif fully set forth herein.
`
`15.
`
`Plaintiff Realtime is the owner by assignment of United States Patent No.
`
`8,867,610 (“the ‘610 Patent”) entitled “System and methods for video and audio data
`
`distribution.” The ‘610 Patent was duly and legally issued by the United States Patent
`
`and Trademark Office on October 21, 2014. A true and correct copy of the “610 Patentis
`
`included as Exhibit A.
`
`16.
`
`On information and belief, DISH has made, used, offered for sale, sold
`
`and/or imported into the United States DISH products and servicesthat infringe the *610
`patent, and continues to do so. By wayofillustrative example, these infringing products
`include, without limitation, DISH’s streaming video products and services compliant with
`
`various versions of the H.264 video compression standard, such as, e.g., the DISH TV
`
`service, and all versions and variations thereof since the issuance of the ‘610 patent
`
`e.8.,
`See,
`(“DISH
`Accused
`Instrumentalities”).
`(e.g.,
`services
`(“[S]atellite
`https://forum.DISH.com/viewtopic.php?t=9864&p=58341
`DirecTV, XstreamHD and DISH Network) utilize the 1080p/24-30 format with MPEG-4
`
`AVC/H.264 encoding for pay-per-view movies that are downloaded in advance via
`
`satellite or on-demand via broadband.”); http://www.satelliteguys.us/xen/threads/hd-
`
`bitrate-is-under-5-mb-s-for-most-channels-is-this-correct.256211/ (“For HD video DN
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 7 of 29 PagelD #: 7
`
`exclusively uses H.264 compression (sometimes ambiguously referred to here as MPEG-
`A, as there is more than one MPEG-4 video compression format). H.264 is about 2X more
`
`efficient than MPEG-2 for the same video quality.”).
`
`17.
`
`On information and belief, Arris has made, used, offered for sale, sold
`
`and/or imported into the United States Arris products andservices that infringe the ‘610
`patent, and continues to do so. By way ofillustrative example, these infringing products
`include, withoutlimitation, Arris’s streaming video products and services compliant with
`
`various versions of the H.264 video compression standard,suchas, e.g., Arris MS4000,
`
`and all versions and variations thereof since the issuance of the ‘610 patent (“Accused
`
`Instrumentalities”).
`
`See, e.g., http://www.Arris.com/products/media-streamer-ms4000/
`
`(“Transcode to H.264 with adaptive bitrate up to 4 Live/DVR streams”).
`18.
`On information and belief, each of DISH and Arris hasdirectly infringed
`
`and continuesto infringe the ‘610 patent, for example, through its own use andtesting of
`
`the Accused Instrumentalities, which when used, practice the method claimed by Claim 1
`
`of the ‘610 patent, namely, a method, comprising: determining, a parameter or an
`
`attribute ofat least a portion of a data block having video or audio data; selecting one or
`more compression algorithms from amongaplurality of compression algorithms to apply
`to the at least the portion of the data block based upon the determined parameter or
`
`attribute and a throughput of a communication channel, at least one of the plurality of
`compression algorithms being asymmetric; and compressingthe at least the portion of the
`data block with the selected compression algorithm after selecting the one or more
`
`compression algorithms.
`
`19.|The DISH Accused Instrumentalities determine a parameter of at least a
`
`portion of a video data block. Different parameters correspond with, for example,
`different moment to moment requirements, e.g., the degree of motion of a video data
`
`block at any given time. See, e.g., http://www.satelliteguys.us/xen/threads/hd-bitrate-is-
`under-5-mb-s-for-most-channels-is-this-correct.256211/ (“Subtracting out the audio data
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 8 of 29 PagelD #: 8
`
`rates, most of the DN HD channels clock in less than 4 Mbit/s for the video stream.
`However these rates are averages only. DN multiplexes several HD channels per
`transponder, and their compressors can dynamically allocate higher or lower rates
`for each channel based on moment to moment requirements. A static scene on one
`channel would requirefar less than a high action scene on another. Still the data rates
`do not appear to change drastically and the average rate does appear to be a reasonable
`predictor of video quality. Furthermore DN reduces the resolution of a number of
`their HD channels from 1920x1080 to 1440x1080. This leads to a softer picture more
`
`amenable to higher compression.”).
`20.
`The Sling TV Accused Instrumentalities determine a parameter of at least
`a portion of a video data block,
`e.g. based on different
`types of content.
`https://www.cuttingcords.com/home/2015/2/9/Sling-tv-technical-details
`(“First
`off,
`I
`foundoutthat the streams wereof differing quality depending on what channel you were
`watching. Sling has apparently tailored different encoding profiles to different types
`of content which is nice. ... Below I have listed the encodingprofile that each channelis
`using. As you are probably aware, they are adaptive quality and jump between
`various qualities depending on how much bandwidth is available at any given
`
`time.”).
`The Sling Media Accused Instrumentalities determine a parameter of at
`21.
`least a portion of a video data block. Different parameters are determined, for example,
`based
`on
`statistics
`observed
`by
`the
`Slingplayer
`client.
`See,
`¢eg.,
`https://answers.Slingbox.com/thread/3940 (“Sling Media believes their programming
`methodology choses the best encoding parameteres based on thestatistics observed by
`the Slingplayer. You can see the statistics that it uses for the algorithim which
`dynamically choses the parameters by pressing [Alt]+[Shift]+[i] while connected to the
`
`Slingbox.”).
`22.
`
`The DISH Accused Instrumentalities select one or more compression
`
`
`
`Case 6:17-cv-00567 Document 1 Filed 10/10/17 Page 9 of 29 PagelD #: 9
`
`algorithms to apply to the at least the portion of the data block based upon the determined
`parameteror attribute and a throughput of a communications channel, at least one of the
`plurality
`of
`compression
`algorithms
`being
`asymmetric.
`See,
`¢.g.,
`http://www.satelliteguys.us/xen/threads/hd-bitrate-is-under-5-mb-s-for-most-channels-is-
`this-correct.256211/ (“Subtracting out the audio data rates, most of the DN HD channels
`
`clock in less than 4 Mbit/s for the video stream. However these rates are averages only.
`
`DN multiplexes several HD channels per transponder, and their compressors can
`dynamically allocate higher or lower rates for each channel based on moment to
`moment requirements. A static scene on one channel would require far less than a
`high action scene on another.Still the data rates do not appear to change drastically and
`the average rate does appear to be a reasonable predictor of video quality. Furthermore
`DN reduces the resolution of a number of their HD channels from 1920x1080 to
`1440x1080. This leads to a softer picture more amenable to higher compression.”).
`23.
`The Sling TV Accused Instrumentalities select one or more compression
`algorithmsto apply to the at least the portion of the data block based upon the determined
`parameteror attribute and a throughput of a communications channel, at least one of the
`
`
`plurality of|compression algorithms being asymmetric. See, eg,
`
`
`
`
`https://www.cuttingcords.com/home/2015/2/9/Sling-tv-technical-details
`(“First off,
`I
`found out that the streams were of differing quality depending on what channel you were
`watching. Sling has apparently tailored different encoding profiles to different types
`of content whichis nice. ... Below I havelisted the encoding profile that each channelis
`using. As you are probably aware, they are adaptive quality and jump between
`various
`qualities depending
`on how much bandwidth is available at an
`iven
`
`time.’’).
`select one or more
`The Sling Media Accused Instrumentalities
`24,
`compression algorithms to apply to the at least the portion of the data block based upon
`the determined parameteror attribute and a throughput of a communications channel, at
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 10 of 29 PagelD #: 10
`
`least one of the plurality of compression algorithms being asymmetric. See, e.g.,
`
`https://answers.Slingbox.com/thread/3940 (“Sling Media believes their programming
`methodology choses the best encoding parameteres based onthestatistics observed by
`
`the
`Slingplayer. You can see the statistics that it uses for the algorithim which
`dynamically choses the parameters by pressing [Alt]+[Shift]+[i] while connected to the
`
`Slingbox.”).
`
`25.
`
`Based on a throughput of the communications channel—reflected by the
`
`max video bitrate—and resolution parameter identified, any H.264-compliant system
`
`such as the Accused Instrumentalities would determine which profile (e.g., “baseline,”
`
`“extended,” “main”, or “high”) and/or which “level” within a profile (which corresponds,
`
`e.g., to a maximum picture resolution, frame rate, and bit rate) corresponds with that
`parameter, then select between at least two asymmetric compressors.
`If, for example,
`
`baseline or extended is the correspondingprofile, then the system will select a Context-
`
`Adaptive Variable Length Coding (“CAVLC”)entropy encoder. If, for example, main or
`high is the correspondingprofile, then the system will select a Context-Adaptive Binary
`Arithmetic Coding (“CABAC”) entropy encoder.
`Both encoders are asymmetric
`
`compressors because it takes a longer period of time for them to compress data than to
`
`decompress data. See https://sonnati.wordpress.com/2007/10/29/how-h-264-works-part-
`
`ii/
`
`10
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 11 of 29 PagelD#: 11
`
`
`
`
`
`I andPSlices Yes Yes Yes Yes Yes
`
`B Slices
`No
`Yes
`Yes
`Yes
`Yes
`SI and SPSlices
`No
`Yes
`No
`No
`No
`
`Baseline Extended Main
`
`High
`
`, High10
`
`Multiple Reference
`Frames
`
`In-Loop Deblocking Filter
`CAVLC Entropy Coding
`CABAC Entropy Coding
`Flexible Macroblock
`Ordering (FMO)
`
`Arbitrary Slice Ordering
`(ASO)
`
`RedundantSlices (RS)
`Data Partitioning
`Interlaced Coding
`(PIcAFF, MBAFF)
`4:2:0 Chroma Format
`
`Monochrome Video
`Format (4:0:0)
`4:2:2 Chroma Format
`4:4:4 Chroma Format
`
`8 Bit Sample Depth
`9 and 10 Bit Sample
`Depth
`
`11 to 14 Bit Sample
`Depth
`8x8 vs. 4x4 Transform
`Adaptivity
`
`Quantization Scaling
`Matrices
`
`Separate Cb and Cr OP
`control
`
`Separate Color Plane
`Coding
`Predictive Lossless
`Coding
`
`Yes
`
`t
`
`Yes
`' Yes
`No
`Yes
`
`Yes
`
`Yes
`No
`No
`
`Yes
`
`No
`
`No
`No
`
`Yes
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`Yes
`
`Yes
`Yes
`No
`yes
`
`Yes
`
`Yes
`Yes
`Yes
`
`Yes
`
`No
`
`No
`No
`
`Yes
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`Yes
`
`Yes
`Yes
`Yes
`No
`
`No
`
`No
`No
`Yes
`
`Yes
`
`No
`
`No
`No
`
`Yes
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`No
`
`Yes
`
`Yes
`Yes
`Yes
`No
`
`No
`
`No
`No
`Yes
`
`Yes
`
`Yes
`
`No
`No
`
`Yes
`No
`
`No
`
`Yes
`
`Yes
`
`Yes
`
`No
`
`No
`
`Yes
`
`Yes
`Yes
`Yes
`No
`
`No
`
`No
`No
`Yes
`
`Yes
`
`Yes
`
`No
`No
`
`Yes
`Yes
`
`No
`
`Yes
`
`Yes
`
`Yes
`
`No
`
`No
`
`See http://web.cs.ucla.edu/classes/fall03/cs218/paper/H.264 MPEG4 Tutorial.pdf
`
`at 7:
`
`11
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 12 of 29 PagelD #: 12
`
`The following table summarizes the two majortypes of entropy coding: Variable Length
`Coding {VLC) and Context Adaptive Binary Arithmetic Coding (CABAC]. CABAC offers
`superior coding efficiency over VLC by adapting to the changing probability distribution
`of symbols, by exploiting correlation between symbols, and by adaptively exploiting bit
`correlations using arithmetic coding. H.264 also supports Context Adaptive Variable Length
`Coding {CAVLC} which offers superior entropy coding over VLC withoutthe full cost of
`CABAC.
`
`H.264 Entropy Coding - Comparison of Approaches
`
`Variable Length Coding
`Ans)
`
`Coreem Cruhcoe tlle
`Arithmetic Coding(CABAC)
`
`(literati
`
`¢ Where it is used
`
`® Probability distribution
`
`higherefficiency
`
`MPEG-2,
`MPEG-4 ASP
`
`Static - Probabilities never
`change
`
`H.264/MPEG-4 AVC
`(high efficiency option)
`ive
`- Adjusts
`probabilities based on
`actual data
`Yes - Exploits symbol
`correlations
`by using
`“contexts”
`
`* Leverages correlation
`between symbols
`
`No- Conditional
`probobilities ignored
`
`Yes - Exploits “arithmetic
`No-Low codingefficiency
`* Non-integer code words
`coding” which generates
`forhighprobability symbols
`non-inleger codewords for
`
`Moreover, the H.264 Standard requiresa bit-flag descriptor, whichis set to
`
`determine the correct decoder for the corresponding encoder. As shownbelow,if the flag
`
`= 0, then CAVLC must have been selected as the encoder; if the flag = 1, then CABAC
`
`must have been selected as the encoder. See
`
`s://www.itu.int/rec/dologin
`
`
`
`pub.asp?lan: =e&id=T-REC-H.264-201304-S!!PDF-
`
`
`
`
`E&type=items (Rec. ITU-T H.264 (04/2013)) at 80:
`
`entropy_coding_mode_flag selects the entropy decoding method to be applied for the syntax elements for which two
`descriptors appear in the syntax tables as follows:
`—
`If entropy_coding_modeflag is equal to 0, the method specified by the left descriptor in the syntax tableis applied
`(Exp-Golomb coded, see clause 9.1 or CAVLC,see clause 9.2).
` Othenvise (entropy_coding_mode_flag is equal to 1), the method specified by the right descriptor in the syntax table
`is applied (CABAC,see clause 9.3).
`
`—
`
`26.
`
`The Accused Instrumentalities compress the at least the portion of the data
`
`block with the selected compression algorithm after selecting the one or more,
`
`12
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 13 of 29 PagelD #: 13
`
`compression algorithms. After its selection, the asymmetric compressor (CAVLC or
`CABAC) will compress the video data, in accordance with the specifications of the
`profile and level
`selected,
`to provide various compressed data blocks.
`See
`https://sonnati.wordpress.com/2007/1 0/29/how-h-264-works-part-ii/:
`Entropy Coding
`For entropy coding, H.264 may use an enhanced VLC, a more complex context-adaptive
`variable-length coding (CAVLC) or an ever more complex Context-adaptive binary-arithmetic
`coding (CABAC) which are complex techniques to losslessly compress syntax elements in the
`video stream knowing the probabilities of syntax elements in a given context. The use of
`CABAC can improve the compression of around 5-7%. CABAC may requires a 30-404 oftotal
`processing power to be accomplished.
`
`See
`://citeseerx.ist. su.edu/viewdoc/download?doi=10.1.1.602.1581&rep=re 1&type=pdf
`
`
`
`
`Typical compression ratios to maintain excellent quality are:
`e
`10:1 for general images using JPEG
`e
`30:1 for general video using H.263 and MPEG-2
`e
`60:1 for general video using H.264 and WMV9
`
`On information and belief, DISH and Arris also directly infringe and
`27.
`continue to infringe other claims of the ‘610 patent, for similar reasons as explained
`
`above with respect to Claim 1 of the ‘610 patent.
`28.
`On information and belief, use of the Accused Instrumentalities in their
`ordinary and customary fashion results in infringement of the methods claimed by the
`
`‘610 patent.
`On information and belief, DISH and Arris have had knowledge of the
`29.
`‘610 patent since at least the filing of this Complaint or shortly thereafter, and on
`information and belief, DISH and Arris knew of the ‘610 patent and knew of their
`
`infringement, including by way ofthis lawsuit.
`30.
`Upon information and belief, the affirmative acts of each of DISH and
`Artis of making, using, and selling the Accused Instrumentalities, and providing
`
`13
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 14 of 29 PagelD #: 14
`
`implementation services and technical support to users of the Accused Instrumentalities,
`have inducedsincethefiling of this Amended Complaint and continue to induce users of
`
`the Accused Instrumentalities to use them in their normal and customary wayto infringe
`
`the ‘610 patent by practicing a method, comprising: determining, a parameter or an
`attribute of at least a portion of a data block having video or audio data; selecting one or
`more compression algorithms from amonga plurality of compression algorithms to apply
`to the at least the portion of the data block based upon the determined parameter or
`attribute and a throughput of a communication channel, at least one of the plurality of
`compressionalgorithms being asymmetric; and compressing the at least the portion of the
`data block with the selected compression algorithm after selecting the one or more,
`
`compression algorithms. For example, DISH instructs customers (e.g., of the Hopper
`with Sling) that they can, “Watch Live TV: Live sporting events, weather, news, and
`more — with a broadband-connected, Sling-enabled DVR and DISH Anywhere, you can
`
`watch all of your favorite channels anywhere you go! Watch Recorded TV: Access
`recorded shows from your broadband-connected, Sling-enabled DVR anywhere. You can
`even start watching on your TV and resume watching later on your computer or mobile
`device!”.
`See, e.g., https://www.myDISH.com/DISH-anywhere. For example, Arris
`
`instructs its customers that the MS4000 can “[t]ranscode to H.264 with adaptive bitrate
`
`€.8.,
`See,
`streams”.
`Live/DVR
`4
`to
`up
`https://www.Arris.com/globalassets/resources/data-sheets/365-095-24637 ms4000.pdf.
`For similar reasons, each of DISH and Arris also induces its customers to use the
`
`Accused Instrumentalities to infringe other claimsof the ‘610 patent. Each of DISH and
`
`Arris specifically intended and was aware that these normal and customary activities
`would infringe the ‘610 patent. Each of DISH and Arris performed the acts that
`constitute induced infringement, since the filing of the Complaint, and would induce
`actual infringement, with the knowledge of the ‘610 patent and with the knowledge, or
`willful blindness to the probability, that the induced acts would constitute infringement.
`
`14
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 15 of 29 PagelD #: 15
`
`On information and belief, each of DISH and Arris engaged in such inducement to
`
`promote the sales of the Accused Instrumentalities. Accordingly, each of DISH and Arnis
`
`has induced, since the filing of the Complaint, and continue to induce users of the
`
`Accused Instrumentalities to use the Accused Instrumentalities in their ordinary and
`
`customary way to infringe the ‘610 patent, knowing that
`
`such use constitutes
`
`infringementof the ‘610 patent.
`
`31.
`
`By making, using, offering for sale, selling and/or importing into the
`
`United States the Accused Instrumentalities, and touting the benefits of using the
`
`Accused Instrumentalities’ compression features, each of DISH and Arris has injured
`
`Realtime and is liable to Realtime for infringement of the ‘610 patent pursuant to 35
`
`U.S.C. § 271.
`
`32.
`
`As a result of the infringement of the ‘610 patent by DISH and Anis,
`
`Plaintiff Realtime is entitled to monetary damages in an amount adequate to compensate
`
`for DISH and Arris’s infringement, but in no event less than a reasonable royalty for the
`
`use made ofthe invention by DISH and Arris, together with interest and costs as fixed by
`
`the Court.
`
`COUNT Il
`
`INFRINGEMENTOFU.S. PATENT NO.8,934,535
`
`33.
`
`Plaintiff realleges and incorporates by reference the foregoing paragraphs
`
`above, as if fully set forth herein.
`
`34.
`
`Plaintiff Realtime is the owner by assignment of United States Patent No.
`
`8,934,535 (“the ‘535 patent”) entitled “Systems and methods for video and audio data
`
`storage and distribution.” The ‘535 patent was duly and legally issued by the United
`
`States Patent and Trademark Office on January 13, 2015. A true and correct copy of the
`
`‘535 patent is included as Exhibit B.
`
`35.
`
`On information and belief, DISH has made, used, offered for sale, sold
`
`15
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 16 of 29 PagelD#: 16
`
`and/or importedinto the United States DISH products and services thatinfringe the ‘535
`
`patent, and continues to do so. By wayofillustrative example, these infringing products
`
`include, without limitation, DISH’s streaming video products and services compliant with
`
`various versions of the H.264 video compression standard, suchas, e.g., the DISH TV
`
`service, and all versions and variations thereof since the issuanceof the ‘535 patent
`
`(“DISH Accused Instrumentalities”). See, e.g.,
`
`https://forum.DISH.com/viewtopic.php?t=9864&p=58341 (“[S]atellite services(e.g.,
`
`DirecTV, XstreamHD and DISH Network)utilize the 1080p/24-30 format with MPEG-4
`
`AVC/H.264 encoding for pay-per-view movies that are downloadedin advance via
`
`satellite or on-demand via broadband.”); http://www.satelliteguys.us/xen/threads/hd-
`
`bitrate-is-under-5-mb-s-for-most-channels-is-this-correct.256211/ (“For HD video DN
`
`exclusively uses H.264 compression (sometimes ambiguously referred to here as MPEG-
`
`4, as there is more than one MPEG-4 video compression format). H.264 is about 2X more
`
`efficient than MPEG-2 for the same video quality.”).
`
`36.
`
`On information and belief, Arris has made, used, offered for sale, sold
`
`and/or imported into the United States Arris products and services that infringe the ‘535
`
`patent, and continues to do so. By wayofillustrative example, these infringing products
`
`include, without limitation, Arris’s streaming video products and services compliant with
`
`various versions of the H.264 video compression standard, such as, e.g., Arris MS4000,
`
`and all versions and variations thereof since the issuance of the ‘535 patent (“Accused
`
`Instrumentalities”).
`
`See, e.g. http://www.Arris.com/products/media-streamer-ms4000/
`
`(“Transcode to H.264 with adaptive bitrate up to 4 Live/DVRstreams”).
`
`37.
`
`On information and belief, each of DISH and Arris has directly infringed
`
`and continues to infringe the ‘535 patent, for example, through its own use andtesting of
`
`the Accused Instrumentalities, which when used, practices the methods claimed by at
`
`least Claim 15 of the ‘535 patent,
`
`including a method, comprising: determining a
`
`parameter of at
`
`least a portion of a data block; selecting one or more asymmetric
`
`16
`
`
`
`Case 6:17-cv-00567 Document1 Filed 10/10/17 Page 17 of 29 PagelD #: 17
`
`compressor