Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 1 of 25
`
`
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF COLORADO
`
`
`REALTIME ADAPTIVE STREAMING
`
`
`
`LLC,
`
`Plaintiff,
`
` v.
`
`C.A. No. 1:17-cv-02097-CBS
`
`JURY TRIAL DEMANDED
`
`
`
`SLING TV L.L.C., SLING MEDIA INC.,
`
`AND SLING MEDIA, L.L.C.,
`
`Defendants.
`
`
`AMENDED 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 et seq. in which Plaintiff Realtime Adaptive
`
`Streaming LLC (“Plaintiff” or “Realtime”) makes the following allegations against
`
`Defendants Sling TV L.L.C., Sling Media Inc., and Sling Media, L.L.C.:
`
`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, Defendant Sling TV L.L.C. (“Sling TV”) is a
`
`Colorado limited liability company with its principal office at 9601 S. Meridian Blvd.,
`
`Englewood, CO 80112. On information and belief, Defendant Sling TV has a regular
`
`and established place of business in this District and conducts business throughout the
`
`United States, including in this District. On information and belief, Sling TV can be
`
`
`
`1
`
`DISH 1028
`Sling TV v. Realtime
`IPR2018-01342
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 2 of 25
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`
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`served through its registered agent, R. Dodge Stanton, 9601 S. Meridian Blvd.,
`
`Englewood, CO 80112.
`3.
`
`On information and belief, Defendants Sling Media Inc. and Sling Media
`
`L.L.C. (collectively, “Sling Media”) are, respectively, a Delaware corporation and a
`
`Delaware limited liability company with their principal office at 1051 E. Hillsdale Blvd,
`
`Suite 500, Foster City, CA 94404. On information and belief, Sling Media has a regular
`
`and established place of business in this District and conducts business throughout the
`
`United States, including in this District, for example, at 100 Inverness Terrace E.,
`
`Englewood, CO 80112 and P.O. Box 6655, Englewood, CO 80155. On information and
`
`belief, Sling Media can be served through its registered agent, The Corporation Trust
`
`Company, Corporation Trust Center, 1209 Orange St., Wilmington, DE 19801.
`4.
`
`On information and belief, Sling TV and Sling Media promotes and offers
`
`for sale Sling-branded products and services which infringe certain asserted patents.
`
`Accordingly, each of the Defendants is properly joined in this action pursuant to 35
`
`U.S.C. § 299.
`
`JURISDICTION AND VENUE
`
`5.
`
`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).
`6.
`
`This Court has personal jurisdiction over Sling TV L.L.C. in this action
`
`because Sling TV L.L.C. has committed acts within this District giving rise to this action
`
`and has established minimum contacts with this forum such that the exercise of
`
`jurisdiction over Sling TV L.L.C. would not offend traditional notions of fair play and
`
`substantial justice. Sling TV 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
`
`
`
`2
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`

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`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 3 of 25
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`
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`the asserted patents. On information and belief, Defendant Sling TV has a regular and
`
`established place of business in this District.
`7.
`
`This Court has personal jurisdiction over Sling Media in this action
`
`because Sling Media has committed acts within this District giving rise to this action and
`
`has established minimum contacts with this forum such that the exercise of jurisdiction
`
`over Sling Media would not offend traditional notions of fair play and substantial justice.
`
`Sling Media 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. On information and belief, Sling Media has a regular and established place of
`
`business in this District, including, e.g., at 100 Inverness Terrace E., Englewood, CO
`
`80112 and P.O. Box 6655, Englewood, CO 80155.
`8.
`
`Sling Media and Sling TV have conducted and do conduct business within
`
`the State of Colorado. Sling Media and Sling TV ship, distribute, sell, offer for sale and
`
`advertise their respective products or services in the United States, the State of Colorado
`
`and the District of Colorado. Sling Media and Sling TV have purposefully and
`
`voluntarily placed their products and services into the stream of commerce with the
`
`expectation that they will be purchased by consumers in the United States, the State of
`
`Colorado and the District of Colorado.
`9.
`
`Venue is proper in this district under 28 U.S.C. §§ 1391(b), 1391(c) and
`
`1400(b). Defendant Sling TV is organized under the laws of Colorado. Sling Media’s
`
`officers are located in Colorado. Upon information and belief, all Defendants have
`
`transacted business in this District and have committed acts of direct and indirect
`
`infringement in this District.
`
`ASSERTED PATENTS
`
`10.
`
`The asserted patents are U.S. Patent Nos. 8,867,610 (“the ‘610 Patent”)
`
`
`
`3
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 4 of 25
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`
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`and 8,934,535 (“the ‘535 patent”) (collectively, “Asserted Patents”).
`11.
`
`The Asserted Patents have been cited as prior 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
`
`INFRINGEMENT OF U.S. PATENT NO. 8,867,610
`
`12.
`
`Plaintiff Realtime realleges and incorporates by reference the foregoing
`
`paragraphs above, as if fully set forth herein.
`13.
`
`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 Patent is
`
`included as Exhibit A.
`14.
`
`On information and belief, Sling TV has made, used, offered for sale, sold
`
`and/or imported into the United States Sling TV products and services that infringe the
`
`‘610 patent, and continues to do so. By way of illustrative example, these infringing
`
`products include, without limitation, Sling TV’s streaming video products and services
`
`compliant with various versions of the H.264 video compression standard, such as, e.g.,
`
`the Sling Orange and Sling Blue TV services, and all versions and variations thereof
`
`since the issuance of the ‘610 patent (“Sling TV Accused Instrumentalities”). See, e.g.,
`
`https://www.Sling.com/ (“Sling TV offers two domestic streaming services: The single-
`
`stream Sling Orange
`
`service and
`
`the multi-stream Sling Blue
`
`service.”);
`
`https://www.reddit.com/r/Slingtv/comments/2ynmxx/what_resolutions_are_the_channels
`
`_in/ (“OTA broadcasts use MPEG-2, which is far less efficient than the H.264 used by
`
`
`
`4
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 5 of 25
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`
`
`Sling, which needs far less data than MPEG-2 to deliver similar quality.”).
`15.
`
`On information and belief, Sling Media has made, used, offered for sale,
`
`sold and/or imported into the United States Sling Media products and services that
`
`infringe the ‘610 patent, and continues to do so. By way of illustrative example, these
`
`infringing products include, without limitation, Sling Media’s streaming video products
`
`and services compliant with various versions of the H.264 video compression standard,
`
`such as, e.g., Slingbox set-top boxes (including, but not limited to, Slingbox 500,
`
`Slingbox M2, Slingbox M1, Slingbox 350, and Sling Adapter), and all versions and
`
`variations thereof since the issuance of the ‘610 patent (“Accused Instrumentalities”).
`
`See,
`
`e.g.,
`
`http://www.tivocommunity.com/community/index.php?threads/capturing-
`
`Slingbox-350-500-video.504853/ (“For the newer Slingboxes the video is H.264.”);
`
`https://answers.Slingbox.com/thread/3940 (“I have the SlingBox Solo and by all accounts
`
`it streams h.264.”).
`16.
`
`On information and belief, each of Sling TV and Sling Media has directly
`
`infringed and continues to infringe the ‘610 patent, for example, through its own use and
`
`testing 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 of at least a portion of a data block having video or audio data; selecting
`
`one or more compression algorithms from among a 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
`
`compression algorithms 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.
`17.
`
`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
`
`
`
`5
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 6 of 25
`
`
`
`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 which is nice. … Below I have listed the encoding profile that each channel is
`
`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.”).
`18.
`least a portion of a video data block. Different parameters are determined, for example,
`
`The Sling Media Accused Instrumentalities determine a parameter of at
`
`based
`
`on
`
`statistics
`
`observed
`
`by
`
`the Slingplayer
`
`client.
`
` See,
`
`e.g.,
`
`https://answers.Slingbox.com/thread/3940 (“Sling Media believes their programming
`
`methodology choses the best encoding parameteres based on the statistics 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.”).
`19.
`algorithms to apply to the at least the portion of the data block based upon the determined
`
`The Sling TV Accused Instrumentalities select one or more compression
`
`parameter or attribute and a throughput of a communications channel, at least one of the
`
`plurality
`
`of
`
`compression
`
`algorithms
`
`being
`
`asymmetric.
`
`See,
`
`e.g.,
`
`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 which is nice. … Below I have listed the encoding profile that each channel is
`
`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.”).
`20.
`compression algorithms to apply to the at least the portion of the data block based upon
`
`The Sling Media Accused Instrumentalities select one or more
`
`
`
`6
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 7 of 25
`
`
`
`the determined parameter or attribute and a throughput of a communications channel, at
`
`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 on the statistics 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.”).
`21.
`max video bitrate—and resolution parameter identified, any H.264-compliant system
`
`Based on a throughput of the communications channel—reflected by the
`
`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 corresponding profile, then the system will select a Context-
`
`Adaptive Variable Length Coding (“CAVLC”) entropy encoder. If, for example, main or
`
`high is the corresponding profile, 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/
`
`
`
`7
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 8 of 25
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`
`
`
`See http://web.cs.ucla.edu/classes/fall03/cs218/paper/H.264_MPEG4_Tutorial.pdf
`
`at 7:
`
`
`
`8
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 9 of 25
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`
`
`
`Moreover, the H.264 Standard requires a bit-flag descriptor, which is set to
`
`
`
`determine the correct decoder for the corresponding encoder. As shown below, 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
`
`https://www.itu.int/rec/dologin_pub.asp?lang=e&id=T-REC-H.264-201304-S!!PDF-
`
`E&type=items (Rec. ITU-T H.264 (04/2013)) at 80:
`
`
`22.
`
`The Accused Instrumentalities compress the at least the portion of the data
`
`block with the selected compression algorithm after selecting the one or more,
`
`
`
`9
`
`
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`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 10 of 25
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`
`
`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/2007/10/29/how-h-264-works-part-ii/:
`
`See
`
`http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.602.1581&rep=rep1&type=pdf
`
`
`
`at 13:
`
`
`23.
`
`
`
`On information and belief, Sling TV and Sling Media also directly
`
`infringe and continue to infringe other claims of the ‘610 patent, for similar reasons as
`
`explained above with respect to Claim 1 of the ‘610 patent.
`24.
`
`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.
`25.
`
`On information and belief, Sling TV and Sling Media have had knowledge
`
`of the ‘610 patent since at least the filing of this Complaint or shortly thereafter, and on
`
`information and belief, Sling TV and Sling Media knew of the ‘610 patent and knew of
`
`their infringement, including by way of this lawsuit.
`26.
`
`Upon information and belief, the affirmative acts of each of Sling Media
`
`and Sling TV of making, using, and selling the Accused Instrumentalities, and providing
`
`
`
`10
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 11 of 25
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`
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`implementation services and technical support to users of the Accused Instrumentalities,
`
`have induced since the filing of this Amended Complaint and continue to induce users of
`
`the Accused Instrumentalities to use them in their normal and customary way to 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 among a 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
`
`compression algorithms 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, Sling Media instructs customers that “Sling
`
`Media believes their programming methodology choses the best encoding parameteres
`
`based on the statistics observed by the Slingplayer. You can see the statistics that it uses
`
`for
`
`the
`
`algorithim
`
`which
`
`dynamically
`
`choses
`
`the
`
`parameters”
`
`https://answers.Slingbox.com/thread/3940. For similar reasons, each of Sling Media and
`
`Sling TV also induces its customers to use the Accused Instrumentalities to infringe other
`
`claims of the ‘610 patent. Each of Sling Media and Sling TV specifically intended and
`
`was aware that these normal and customary activities would infringe the ‘610 patent.
`
`Each of Sling Media and Sling TV performed the acts that constitute induced
`
`infringement, 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. On information and belief, each of Sling Media and
`
`Sling TV engaged in such inducement to promote the sales of the Accused
`
`Instrumentalities. Accordingly, each of Sling Media and Sling TV has induced 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 infringement of the ‘610 patent.
`
`
`
`11
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`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 12 of 25
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`
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`27.
`
`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 Sling TV and Sling Media has
`
`injured Realtime and is liable to Realtime for infringement of the ‘610 patent pursuant to
`
`35 U.S.C. § 271.
`28.
`
`As a result of the infringement of the ‘610 patent by Sling TV and Sling
`
`Media, Plaintiff Realtime is entitled to monetary damages in an amount adequate to
`
`compensate for Sling TV and Sling Media’s infringement, but in no event less than a
`
`reasonable royalty for the use made of the invention by Sling TV and Sling Media,
`
`together with interest and costs as fixed by the Court.
`
`
`COUNT II
`INFRINGEMENT OF U.S. PATENT NO. 8,934,535
`
`29.
`
`Plaintiff realleges and incorporates by reference the foregoing paragraphs
`
`above, as if fully set forth herein.
`30.
`
`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.
`31.
`
`On information and belief, Sling TV has made, used, offered for sale, sold
`
`and/or imported into the United States Sling TV products and services that infringe the
`
`‘535 patent, and continues to do so. By way of illustrative example, these infringing
`
`products include, without limitation, Sling TV’s streaming video products and services
`
`compliant with various versions of the H.264 video compression standard, such as, e.g.,
`
`the Sling Orange and Sling Blue TV services, and all versions and variations thereof
`
`since the issuance of the ‘535 patent (“Sling TV Accused Instrumentalities”). See, e.g.,
`
`
`
`12
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 13 of 25
`
`
`
`https://www.Sling.com/ (“Sling TV offers two domestic streaming services: The single-
`
`stream Sling Orange service and the multi-stream Sling Blue service.”);
`
`https://www.reddit.com/r/Slingtv/comments/2ynmxx/what_resolutions_are_the_channels
`
`_in/ (“OTA broadcasts use MPEG-2, which is far less efficient than the H.264 used by
`
`Sling, which needs far less data than MPEG-2 to deliver similar quality.”).
`32.
`
`On information and belief, Sling Media has made, used, offered for sale,
`
`sold and/or imported into the United States Sling Media products and services that
`
`infringe the ‘535 patent, and continues to do so. By way of illustrative example, these
`
`infringing products include, without limitation, Sling Media’s streaming video products
`
`and services compliant with various versions of the H.264 video compression standard,
`
`such as, e.g., Slingbox set-top boxes (including, but not limited to, Slingbox 500,
`
`Slingbox M2, Slingbox M1, Slingbox 350, and Sling Adapter), and all versions and
`
`variations thereof since the issuance of the ‘535 patent (“Accused Instrumentalities”).
`
`See, e.g., http://www.tivocommunity.com/community/index.php?threads/capturing-
`
`Slingbox-350-500-video.504853/ (“For the newer Slingboxes the video is H.264.”);
`
`https://answers.Slingbox.com/thread/3940 (“I have the SlingBox Solo and by all accounts
`
`it streams h.264.”).
`33.
`
`On information and belief, each of Sling TV and Sling Media has directly
`
`infringed and continues to infringe the ‘535 patent, for example, through its own use and
`
`testing 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
`
`compressors from among a plurality of compressors based upon the determined
`
`parameter or attribute; compressing the at least the portion of the data block with the
`
`selected one or more asymmetric compressors to provide one or more compressed data
`
`blocks; and storing at least a portion of the one or more compressed data blocks. Upon
`
`information and belief, each of Sling TV and Sling Media uses the Accused
`
`
`
`13
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`

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`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 14 of 25
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`
`
`Instrumentalities to practice infringing methods for their own internal non-testing
`
`business purposes, while testing the Accused Instrumentalities, and while providing
`
`technical support and repair services for the Accused Instrumentalities to each of Sling
`
`TV and Sling Media customers.
`34.
`
`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
`
`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 which is nice. … Below I have listed the encoding profile that each channel is
`
`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.”).
`35.
`
`The Sling Media Accused Instrumentalities determine a parameter of at
`
`least a portion of a video data block. Different parameters are determined, for example,
`
`based
`
`on
`
`statistics
`
`observed
`
`by
`
`the Slingplayer
`
`client.
`
` See,
`
`e.g.,
`
`https://answers.Slingbox.com/thread/3940 (“Sling Media believes their programming
`
`methodology choses the best encoding parameteres based on the statistics 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.”).
`36.
`
`As, for example, explained above, the Accused Instrumentalities
`
`determine a parameter of at least a portion of a video data block. As shown below,
`
`examples of such parameters include bitrate (or max video bitrate) and resolution
`
`parameters. Different parameters correspond with different end applications. H.264
`
`provides for multiple different ranges of such parameters, each included in the “profiles”
`
`and “levels” defined by the H.264 standard. See
`
`
`
`14
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 15 of 25
`
`
`
`http://www.axis.com/files/whitepaper/wp_h264_31669_en_0803_lo.pdf at 5:
`
`See https://en.wikipedia.org/wiki/H.264/MPEG-4_AVC:
`
`
`
`
`
`37.
`algorithms to apply to the at least the portion of the data block based upon the determined
`
`The Sling TV Accused Instrumentalities select one or more compression
`
`parameter or attribute and a throughput of a communications channel, at least one of the
`
`plurality
`
`of
`
`compression
`
`algorithms
`
`being
`
`asymmetric.
`
`See,
`
`e.g.,
`
`
`
`15
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 16 of 25
`
`
`
`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 which is nice. … Below I have listed the encoding profile that each channel is
`
`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.”).
`38.
`compression algorithms to apply to the at least the portion of the data block based upon
`
`The Sling Media Accused Instrumentalities select one or more
`
`the determined parameter or attribute and a throughput of a communications channel, at
`
`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 on the statistics 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.”).
`39.
`
`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”) corresponds with that parameter, then select between at
`
`least two asymmetric compressors. If baseline or extended is the corresponding profile,
`
`then the system will select a Context-Adaptive Variable Length Coding (“CAVLC”)
`
`entropy encoder. If main or high is the corresponding profile, 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/
`
`
`
`16
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 17 of 25
`
`
`
` See
`
`http://web.cs.ucla.edu/classes/fall03/cs218/paper/H.264_MPEG4_Tutorial.pdf at 7:
`
`
`
`
`
`17
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 18 of 25
`
`
`
`
`Moreover, the H.264 Standard requires a bit-flag descriptor, which is set to
`
`determine the correct decoder for the corresponding encoder. As shown below, 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
`
`https://www.itu.int/rec/dologin_pub.asp?lang=e&id=T-REC-H.264-201304-S!!PDF-
`
`E&type=items (Rec. ITU-T H.264 (04/2013)) at 80:
`
`40.
`
`The Accused Instrumentalities compress the at least the portion of the data
`
`block with the selected one or more asymmetric compressors to provide one or more
`
`compressed data blocks. After its selection, the asymmetric compressor (CAVLC or
`
`CABAC) will compress the video data to provide various compressed data blocks. See
`
`https://sonnati.wordpress.com/2007/10/29/how-h-264-works-part-ii/:
`
`
`
`
`
`18
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 19 of 25
`
`
`
`See
`
`http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.602.1581&rep=rep1&type=pdf
`
`at 13:
`
`
`See http://www.ijera.com/papers/Vol3_issue4/BM34399403.pdf at 2:
`
`
`
`
`
`19
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 20 of 25
`
`
`
`
`On information and belief, the Accused Instrumentalities store at least a
`
`41.
`
`portion of the one or more compressed data blocks in buffers, hard disk, or other forms of
`
`memory/storage.
`42.
`
`On information and belief, Sling TV and Sling Media also directly
`
`infringe and continue to infringe other claims of the ‘535 patent, for similar reasons as
`
`explained above with respect to Claim 15 of the ‘535 patent.
`43.
`
`On information and belief, use of the Accused Instrumentalities in their
`
`
`
`20
`
`

`

`Case 1:17-cv-02097-CBS Document 12 Filed 10/10/17 USDC Colorado Page 21 of 25
`
`
`
`ordinary and customary fashion results in infringement of the methods claimed by the
`
`‘535 patent.
`44.
`
`On information and belief, Sling TV and Sling Media have had knowledge
`
`of the ‘535 patent since at least the filing of this Complaint or shortly thereafter, and on
`
`information and belief, Sling TV and Sling Media knew of the ‘535 patent and knew of
`
`their infringement, including by way of this lawsuit.
`45.
`
`Upon information and belief, the affirmative acts of each of Sling Media
`
`and Sling TV of making, using, and selling the Accused Instrumentalities, and providing
`
`implementation services and technical support to users of the Accused Instrumentalities,
`
`have induced since the filing of this Amended Complaint and continue to induce users of
`
`the Accused Instrumentalities to use them in their normal and customary way to infringe
`
`the ‘535 patent by practicing a method, comprising: determining a parameter of at least a
`
`portion of a data block; selecting one or more asymmetric compressors from among a
`
`plurality of compressors based upon the determined parameter or attribute; compressing
`
`the at least the portion of the data block with the selected one or more asymmetric
`
`compressors to provide one or more compressed data blocks; and storing at least a
`
`portion of the one or more compressed data blocks. For example, Sling Media instructs
`
`customers that “Sling Media believes their programming methodology choses the best
`
`encoding parameteres based on the statistics observed by the Slingplayer. You can see
`
`the statistics that it uses for the algorithim which dynamically choses the parameters”
`
`https://answers.Slingbox.com/thread/3940. For similar reasons, each of Sling Media and
`
`Sling TV also induces its customers to use the Accused Instrumentalities to infringe other
`
`claims of the ‘535 patent. Each of Sling Media and Sling TV specifically intended and
`
`was aware that these normal and customary activities would infringe the ‘535 patent.
`
`Each of Sling Media and Sling TV performed the acts that constitute induced
`
`infringement, and would ind