`571-272-7822
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`Paper No. 27
`Entered: March 15, 2022
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`UNITED STATES PATENT AND TRADEMARK OFFICE
`_______________
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`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`_______________
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`BYTEDANCE LTD. and TIKTOK INC.,
`Petitioner,
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`v.
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`TRILLER, INC.,
`Patent Owner.
`_______________
`
`IPR2021-00099
`Patent 9,691,429 B2
`_______________
`
`Record of Oral Hearing
`Held: January 20, 2022
`_______________
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`Before GEORGIANNA W. BRADEN, GREGG I. ANDERSON, and
`MINN CHUNG, Administrative Patent Judges.
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`IPR2021-00099
`Patent 9,691,429 B2
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`APPEARANCES:
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`ON BEHALF OF THE PETITIONER:
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`
`W. KARL RENNER, ESQ.
`ADAM J. KESSEL, ESQ.
`KIM H. LEUNG, ESQ.
`DAN SMITH, ESQ.
`Fish & Richardson
`1000 Maine Avenue SW
`Washington, DC 20024
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`ON BEHALF OF THE PATENT OWNER:
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`CHAD E. NYDEGGER, ESQ.
`DAVID R. TODD, ESQ.
`BRIAN N. PLATT, ESQ.
`Workman Nydegger
`60 East South Temple, Suite 1000
`Salt Lake City, Utah 84111
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`The above-entitled matter came on for hearing on Thursday, January
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`20, 2022, commencing at 1:00 p.m., EST, by video/by telephone.
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`IPR2021-00099
`Patent 9,691,429 B2
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`P R O C E E D I N G S
`- - - - -
` JUDGE ANDERSON: -- proceeding is a hearing for
`IPR2021-00099, an inter partes review between Petitioner
`ByteDance Ltd. and TikTok Inc. and Patent Owner Triller, Inc.
`Triller is the owner of U.S. Patent No. 9,691,429 B2.
` I am Judge Anderson. Joining me on this video
`conference are Judges Braden and Chung. We're all
`participating via teleconference, and there are some
`things we need to keep in mind as a result of that.
` Chief among these is the handling of demonstrative
`exhibits. Make sure that you refer to each exhibit by slide
`number so that we can go with you. We also have substantial
`portions of the record. So if you need to refer to that, you
`know, you may do so.
` Each party is going to have 60 minutes to present
`argument. Petitioner has the burden to show unpatentability
`of the patent, and as a result, they're going to go first and
`may reserve -- and will be followed by the Patent Owner.
`Petitioner may reserve time for rebuttal, and Patent Owner
`may reserve time for a sur-rebuttal.
` We do not have a timer in -- because we're not in a
`hearing room, but I will -- and, hopefully, my panel members
`will also -- attempt to keep time. But you all should --
`should not rely on us, so watch, but we will do -- we will do
`the timing as -- as -- and we should -- we should be fine
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`with telling you the correct time and how much time you have
`to finish up.
` Let's see. What else do I want to say?
` We have not received any objections to the
`demonstratives. If either party has an objection to an
`argument that's made during the course of the proceedings,
`don't make it at that time, please. We want to hear what you
`have to say, but do that in your time, and we'll follow
`along. We'll have a written record and be able to determine
`whether or not the objection will be sustained or not.
` At this time, let's get some introductions. For
`Petitioner, who is going to be doing the speaking today?
` MR. SMITH: Karl, you're muted.
` MR. RENNER: First moment of our remoteness shows up
`so early.
` In any event, I'm Karl Renner. It's nice to see you
`all, and I'll be presenting on behalf of Petitioner, joined
`though by colleagues Dan Smith, Adam Kessel, and Kim Leung.
` JUDGE ANDERSON: Very good. Thank you, Mr. Renner.
` For Patent Owner, who will be making the argument?
` MR. NYDEGGER: Morning, Your Honor. This is Chad
`Nydegger from Workman Nydegger. I will be making the
`argument on behalf of Patent Owner. With me today in the
`room, I also have my -- two of my partners, David Todd and
`Brian Platt.
` JUDGE ANDERSON: Okay. Very good. I've got all that
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`down, and we are ready to proceed.
` Petitioner, you are on deck here, ready to go. And
`would you like to reserve any time for rebuttal? And, if so,
`how much time?
` MR. RENNER: I would, Your Honor. We'd like to
`reserve 25 minutes, please.
` JUDGE ANDERSON: So we will try to give you a
`heads-up a little before 35 minutes of your argument.
` MR. RENNER: Thank you.
` JUDGE ANDERSON: Very good. Mr. Renner, please,
`proceed.
` ORAL ARGUMENT ON BEHALF OF PETITIONER
` MR. RENNER: Okay. Well, may it please the Court.
` If you'd go to Slide 2, please, of our
`demonstratives, you'll see a Table of Contents that's
`produced there. Interestingly, we'll be working backwards
`through the Table of Contents, starting with the
`Beauregard-Hozumi combination, and then we'll address some
`specific issues as it relates to a few of the other items.
`Of course, we're happy to take questions on anything that
`you'd like to hear about.
` But, with that in mind, I would have us go to Slide
`67 to begin our discussion of that Beauregard-Hozumi ground.
` And I should say to you I'll be presenting on that
`ground, and after that, Dan Smith will be joining and
`speaking to additional points.
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` As to the Beauregard and Hozumi ground, just wanting
`to remind everyone that this is a ground that was endorsed in
`the Institution Decision, and it was a fundamental part of
`the Institution Decision in that other grounds that had been
`presented, items were identified with respect to each of
`those. So this ground was one that was really central to
`that investigation.
` And it was instituted over a host of arguments and
`citations to record evidence that were made by Patent Owner
`in the Preliminary -- Preliminary Response. And I mention
`that because when we look at the Institution Decision in this
`case, it's a little -- it's almost uncharacteristically
`detailed in that there was a lot of consideration given to
`those points.
` And I make that known because when we look at the
`record, it's our impression that the record is largely
`rehashing those same arguments. You're not seeing a lot of
`new arguments. You're not seeing a lot of evidence submitted
`that wasn't earlier put forth, and yet, under an expert's
`testimony, there is an expert declaration that came in after
`the fact that did endorse. So I just wanted to lay that
`groundwork.
` One notable exception, additionally, I wanted to call
`out was arguments were made after the institution that
`related to combinability of the references, so we're going to
`be speaking a lot about how the references come together and
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`how this ground comes together to make sure that Your Honors
`have every opportunity to consider both views on that, that
`particular issue.
` If I could go to Slide 68 with that in mind. We talk
`a little bit about the Beauregard reference, the primary. In
`this slide, we reproduce page 50 of the Petition, and we cite
`to the Beauregard case and offer an explanation to some
`extent of what it teaches.
` And in particular, we're talking about two
`limitations of Beauregard here, number one being the
`alignment of synchronization of not just one but multiple
`video clips, which -- which Triller's expert acknowledges is
`video takes. Now, they're aligned to a single selected audio
`track, then the leveraging of the synchronization or the
`alignment of those with that audio track to create what is
`thought of as a single video production.
` Offered in the main paragraph, under the highlighted
`section of Beauregard, is teachings that the recorded clips
`while the common audio track is being recorded as well, so
`these are happening in concert with one another. In fact,
`Beauregard, when you read into it, it describes that users
`can record clips of themselves dancing, lip-synching, playing
`along, if you will, with each synchronized to the same
`selected audio track that is replayed during video recording.
` Slide 69, please.
` Here you see a graphical representation of what
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`Beauregard has to offer, highlighted and annotated, of
`course. I'm going to walk through this just for a moment for
`orientation.
` The top of this shows in green the audio track. It's
`again reproduced down at the bottom to illustrate how
`ultimately a music video comes together, but the top is this
`audio track. Right below it are six different video segments
`-- Video 1, Video 2, Video 3 -- all the way down to 6. Each
`of those is captured in synchronization with the audio track,
`says Beauregard.
` And the music video in red down at the bottom, when
`you start looking at what happens to those, in green, you see
`the audio, again, reproduced. But above the green, you see
`segments from each one of those different video tracks. Each
`one of those is -- there's pieces of it that comprise part of
`what becomes that music video. So there's a compilation
`going on.
` From all this, end of drawing, of course, you see
`that Beauregard's teaching the capture of the plural video
`takes in synchronization with a single selected audio track,
`and that's pretty well established.
` But left to its own --
` JUDGE ANDERSON: Mr. -- Mr. Renner, I have, I think,
`a quick question, which is, The Patent Owner seemed to say
`that with respect to the video take --
` MR. RENNER: Um-hmm.
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` JUDGE ANDERSON: -- limitation language in the claim,
`Claim 1, that you had agreed in the district court with their
`construction that the video take was recorded continuously.
`I had a hard time believing that, but maybe it's true, so
`tell me.
` MR. RENNER: Yes, Your Honor. There was an agreement
`that was reached. This is, of course, after the Petition was
`filed, but yes, there was an agreement that was reached in
`the district court on that term and its construction.
` JUDGE ANDERSON: So are we following the construction
`of Patent Owner, which I believe is for video take --
` MR. RENNER: That is correct.
` JUDGE ANDERSON: -- a segment of recorded video that
`was continuously recorded without starting or stopping?
` MR. RENNER: That was the agreed on in this record
`construction, Your Honor.
` JUDGE ANDERSON: Okay. So we're following that;
`right? That's right?
` MR. RENNER: Yes. Correct, Your Honor. Yes.
` JUDGE ANDERSON: Okay. Very good. Okay. Go ahead.
` MR. RENNER: Okay. Thank you.
` If we turn -- my apologies. Then let's continue on
`with the Beauregard discussion a little bit, if we could.
` The -- what I just was talking about was endorsed in
`the Institution Decision because this is the same layout,
`what we were just talking about, in terms of what Beauregard
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`discusses as had been put forth in the Petition, supported by
`the expert at that time.
` Again, the Institution Decision goes into fairly
`significant detail on exactly what this means, and also,
`however, it turns to Hozumi, as we had encouraged, relating
`to how you do the synchronization in the combination that's
`been proposed. And in particular, Hozumi teaches what has
`been -- what's become known as the beginning-beginning
`synchronization between the audio track and the captured
`video segments that are here. So we want to look together at
`the beginning here, at Hozumi, make sure we've got a grounded
`sense of it, if we could, please; therefore, I would go to
`Slide 48, if we could.
` In Slide 48, we've reproduced paragraph 77 from
`Hozumi. There's a couple of really key paragraphs in Hozumi
`that are spoken of quite often, 77 being one of them and 92
`another -- and we'll take that on in a minute -- and to
`Figure 6C here.
` And what you see here is Hozumi's explaining that the
`audio track begins playing in synchronization with this very
`specific event, and that is the beginning of the capture of
`video. So, in the particular embodiment of Hozumi, what you
`have is a user who presses start on capture video, and when
`they do that, Hozumi teaches that they begin to play -- the
`recorder does -- the audio track of interest. And, in that
`sense, you guarantee alignment of the beginning of the audio
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`and the beginning of the video, and it's actually built in to
`what Hozumi is teaching.
` There's reasons for that, and we'll go into that
`after we get done talking about what the combination actually
`brings and entails.
` The point here is that Hozumi is talking about a
`bringing forth of that audio and that video at the same time,
`so they can be recorded in synchronization, and you can read
`that into paragraph 77 itself. I'll just for a moment say,
`do that. It says, Shown in Figure 6C -- which is on the
`right, so it's telling us that's what that's intended to
`represent -- when the video-image capture unit 112 starts
`capturing video images of an object, audio controller 132
`causes the audio output 110 to output audio data.
` So it's telling us really clearly there that's the
`way Hozumi is designed. And when we bring these two
`together, of course, what you'd see is you'd have the video
`clips, the multiple of the video clips that are shown in
`Beauregard that are aligned with and synchronized in their
`own way with the audio track in Beauregard. You would use,
`as the combination says, this mechanism, the mechanism that's
`described here explicitly in Hozumi to accomplish that
`synchronization -- perhaps differently, but that's how you'd
`accomplish that synchronization of the combination.
` Now, further to the point, Figure 6, which is
`referenced there on the right-hand side -- and I don't mean
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`to beat a dead horse here, but just to make sure we're all
`seeing this -- it shows you that alignment. It shows you the
`specifics.
` And let me pause for a second. And, Judge Braden, I
`see your video is doing things. Can you hear? I just want
`to make sure I'm not (inaudible) --
` JUDGE BRADEN: No, I can hear.
` MR. RENNER: Okay. Terrific. Thank you.
` JUDGE BRADEN: Thank you.
` MR. RENNER: Sure.
` You can see the alignment there of -- of what the
`video is and that audio, and they begin at the beginning.
`Who knew? Which would be consistent, as you could imagine,
`with hitting that start button and seeing things unfold.
` So, if we look now to Slide 83, we see the other of
`the two principal paragraphs that we draw from in Hozumi, the
`92 paragraph. And here, again, you see the
`beginning-beginning synchronization being confirmed. In this
`paragraph, it just describes largely the same thing, but it's
`in a different section, and it's just showing you the
`comprehensiveness of it.
` It says, If a user gives an instruction to start
`capturing video images -- this is the highlighted section --
`audio controller 132 causes the audio output unit 110 to
`sequentially output the audio data.
` Again, you're triggering that audio data start on the
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`capture.
` So what's made of these proofs in the record? How
`are they handled? We'll tell you there's not handling much
`at all. 92 and 77 are just not contested. This teaching, it
`comes in. It's the -- it's correct, it's accurate, and it's
`actually endorsed.
` If you look at the Patent Owner Reply, for instance,
`at page 50, you'd see, and I'll quote, Figure 6C shows that
`the beginning of the set of video frames is synchronized with
`the beginning of the set of audio frames.
` So it's pretty -- pretty tight on that point.
` If we go to Slide 70, please. We'll continue on
`looking at the combination, of course.
` Consistent with what's been stated in the Petition,
`then, in the combination, we get several things. You've got
`Beauregard's multiple video recordings against a single audio
`track would be initiated with a video camera. And according
`to Hozumi, the video camera would inspire, trigger, begin the
`audio track playback and the video capture at the same time.
`And, therefore, while the video capture's occurring, a POSITA
`would've found it obvious to synchronize the plural
`Beauregard video clips with an audio track using
`beginning-beginning synchronization consistent with the
`claim.
` And this is all described, again. We're -- nothing
`here is outside of the scope or what's been in the Petition
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`or what came forward to you. And next I'll go to 71 just to
`make sure.
` You're saying, Well, why would you make that
`modification? So that's the modification we propose. That's
`how it works. But why would you do it? Would a person of
`skill do it? Surely, they would. There's several different
`reasons, and we laid it out in the next few slides.
` JUDGE BRADEN: But, Counselor, before you get to your
`rationale for combining, Patent Owner makes an argument that
`there is a conflation between the different audio tracks,
`between Hozumi's video being synchronized with Beauregard,
`and it ignores the synchronization while capturing step of
`Claim 1. Why is that not true in Petitioner's perspective?
` MR. RENNER: Hmm. Because the audio and the video
`are being played and captured at the same time, and you can
`see in the processing of Hozumi that there is a multiplexing
`that happens in the processing of Hozumi.
` That was actually questioned on the deposition with
`the expert for Triller. We asked him, What -- what did it
`mean? How did that all work?
` And what was said in that transcript -- I'll see if I
`can find it. There's a slide actually that speaks well to
`the content here. Let me see. I think it is 49. Yeah.
`Yeah, I think it is 49. Yeah, 49. Okay.
` So, Slide 49, if we go to 49, please.
` Let me get a better view of that because it's a
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`little small on my screen here, if I may. There it is.
`Yeah, 49.
` So, in this, there were questions and answers that
`were asked about -- in fact, let me go back to 47 for a
`moment first, and it'll help us to orient a little better.
` 47 gives you Figure 9 from Hozumi, and it goes down
`the same process; right? Where you're going to have the
`selected information come forth, you're going to have the
`output audio data in 4- -- my eyes aren't what they used to
`be -- 406, and then you create the video data. And,
`ultimately, you come down into the decision, and you start to
`-- you multiplex at 238 these two. So the process is you
`capture each one; you multiplex them together to you make
`sure that, in fact, that synchronization is locked in.
` But we asked the expert about that. We said, is that
`your understanding of what went on here? And, sure enough,
`the answers are what we thought they would be.
` Question/answer on the right-hand side of Slide 49
`tells us, you know:
` So the multiplexing step 238, described in Figure 6,
`that occurs while the audio data is being outputted; right?
` Correct. Seems to, is what the answer is.
` And the multiplexing 238, it occurs while the video
`data is being captured; right?
` Yes, seems to be.
` He was confirming exactly what the figure seems to
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`show. We just wanted to make sure of it. Then, in fact,
`what's happening is these things are coming together at the
`same time. They're being multiplexed at the same time.
`They're being synchronized at the same time.
` I believe that's -- I believe that gets to the
`answer, but are there -- did I --
` JUDGE BRADEN: Thank you, Counsel. I do believe I
`understand your perspective. Thank you.
` MR. RENNER: Thank you. You bet.
` And so -- so we're back to, Well, would you make the
`change? That's the change that we propose to be made, but we
`want to make sure we gave you a record that showed that
`people, in fact, would've made the change because Beauregard
`is Beauregard; it teaches you to actually do what it teaches
`you to do, and we're telling you to move away from that or at
`least give an alternative to it.
` There were four different reasons that we gave.
`Interestingly, the fourth is KSR. We'll talk about that, but
`the other three being more substantively oriented and
`directed to these particular references, we want to make sure
`you hear that these are -- these are advantages or things
`that are not achieved through Beauregard's current approach.
`These are things that would be achieved because of that
`integration.
` So let's look at the first of those -- would be at
`Slide 72, please.
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` We do this again in the Petition, and I believe they
`were referenced and endorsed in the Institution Decision as
`well. I think you had had a look at them.
` But -- but, in any event, this is the automation of
`the audio track playback on beginning the video capture.
`That itself is an advantage. That itself is -- it may not be
`in every instance that you'd want to do that, but there would
`surely be some instances where this would be advantageous,
`and we pointed that out. I can imagine -- and I'll just
`paint the picture of one.
` You might want to do a video that's got to deal with
`a song that you like. Wouldn't it be nice that when you push
`the one button, which is the video capture, that song that
`you want to do your video to, it starts up -- so that you
`have alignment right then, right there between the audio and
`that video? That's advantage number one.
` Number two, if you look at 73, another reason to
`combine has a lot to do with that. And that is to avoid
`misalignment that would otherwise potentially occur between
`an audio segment and whatever video you're trying to -- so
`you're trying to do that same song, and you don't have the
`automation that Hozumi brings to bear. What happens?
`There's going to be some -- some misalignment as between the
`two, and you're going to have to deal with that.
` In fact, when you look at Beauregard, you see that
`very misalignment appear. If you look at that same figure
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`that we looked at a few moments ago, you would see -- there
`it is, if you go back to Slide 69 -- you'd see Vid 1 and Vid
`3, even Vid 2, and you would see these extend kind of to the
`left. You see other videos are to the right of the start.
`You see some misalignment that's going on in the front end of
`the video in that audio segment, and you've got to do some
`complex math. You've got to do some cross-correlation, says
`Beauregard, to get to something that's synchronization.
` Now, there's -- I'm sure there's benefits to that
`too; right? But these are different approaches to accomplish
`different goals.
` The third reason is that you might not even have a
`user remember. He's in a loud environment. He's kind of
`distracted. He might not even remember to hit that start
`button, and then they've got to redo their video. You
`automate this for them. It's similar to the automation, but
`it's a little different than that.
` And then, finally, you've got KSR that tells us that
`what we have here is you've got Beauregard with a very clear
`teaching; you've got Hozumi with a not unclear teaching of
`its own; and what we have here is known methods to achieve
`predictable results. And we would expect -- reasonable
`expectation would be to have success here, so KSR itself
`supports, we believe, as well.
` With that, I would move us to Slide 76, and we kind
`of recap on that a minute because it wasn't -- in the
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`Institution Decision, if we wanted to look back on it, pages
`34 and 35, they kind of touched on a variety of these points,
`these reasons to combine. And, as with some of the other
`aspects of -- of Hozumi, we found that they were thinly
`treated.
` But, in any event, there were two reasons given that
`were not rebuttals to these; these were accepted, if you
`will. They were not actually contested motivations for
`combination, but these were presented more as a teaching away
`that, despite those motivations, despite that coming together
`in the way that we talk about, there might be reasons, say
`Triller, to not pull these together. We examine those with
`you as well.
` Now, we think that's a pretty high burden you'd have
`to show because we've already, we believe, accomplished our
`prima facie case, and this comes in more as a teaching away
`than anything else.
` In any event, there are two arguments that we thought
`were worth talking about. And those we -- we show at Slide
`92, in the first instance, and that would be the argument
`that there's a frustration going on through the combination
`of Beauregard's primary principle teaching.
` The second, we will address after that. Just a
`preview for you is there is thought to be more communications
`necessary if you made this combination than if not, and that
`was thought to be something that Beauregard didn't want to
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`have happen. They talk about that as well.
` But Slide 92 starts us off in discussing the
`principle of operation, so we could go to that and turn
`really pretty quickly to 93.
` The Petition explains that, according to Triller, a
`POSITA consulting Beauregard would recognize that it teaches
`the correlation of the captured videos. The videos that are
`correlated are earlier captured videos, and they've --
`they've been synchronized with a single audio work and that
`there is -- they're used by Beauregard to correlate those
`videos.
` What they seem to fail to appreciate is that there
`would be problems that come with Beauregard's approach, just
`the things that could be improved and that, in fact, are
`approved, as we've just talked about, by Hozumi.
` Number one, that cross-correlation technique that's
`talked about there, it's an after-the-fact technique and it's
`a very complex technique. It's mathematically intensive.
`And you don't need any of that if you start your audio and
`your video at the same time. You start them at the same
`time, immediately, you have synchronization. You don't have
`to do extra work, and you don't have to wait for it. It's
`just right there for you.
` It also imposes burdens on the user. The user has to
`deal with its audio; it has to deal with the video. With the
`Hozumi-complemented Beauregard, as we've proposed, you touch
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`one button, and you're off and running.
` So the idea that there's a cross-correlation as a
`fundamental principle of Beauregard that's somehow blown up
`and instructed and would lead people to not make this
`combination, well, we think quite the contrary.
` We think that this combination would be something
`that's going to improve Beauregard, at least for some
`applications. Again, there may be reasons why, in some
`instances, you want to maintain a Beauregard-type approach as
`an option. You know, maybe you didn't have the video you
`wanted to start on, or it's -- the noise is already being
`played, whatever it may be. But this is an option that we
`believe and have put forth a record that tells you were
`obvious to those of skill to make available to do that
`combination.
` I'm going to actually move into the other argument.
`Let's talk a little bit about the communication argument.
`Slide 98 is where you'll find --
` JUDGE ANDERSON: Let me -- this may be a good spot to
`ask this: So does the construction of synchronization,
`either this capture synchronization or the
`beginning-beginning synchronization, or there's actually a
`third synchronizing described in the -- or claimed in the
`patent, does our construction -- do we need to construe that
`in order to resolve this dispute?
` Because it seems like a lot of what you're talking
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`about here with cross-correlation leads back to the whole
`idea of what I think the patent is all about, and -- and it
`does seem to go to synchronization, generally.
` MR. RENNER: Your Honor, we -- we haven't seen a
`record on this that we believe has that term or those terms
`distinguishing this art. So the answer -- we don't believe
`that it's necessary for Your Honors to reach construction on
`those terms in order to resolve this part of the dispute.
` We're happy to, obviously, take any questions on
`that, or if opposing counsel has a different view, we're
`happy to, of course, hear that, but I don't believe the
`record bears that out.
` JUDGE ANDERSON: Okay. Well, we will get to opposing
`counsel, but so, is there any particular problem you have
`with the Patent Owner's -- I think they're saying it's the
`plain and ordinary meaning, which is, quote, “matching so as
`to be substantially the same,” end quote. Seems to me like
`that is just the plain and ordinary meaning. I don't think
`it adds much.
` Do you have any argument that would say that's not
`something we should look at or adopt?
` MR. RENNER: I don't believe so. I'll go back -- if
`you -- if you'll forgive me, Your Honors, I'll go back on the
`break to make sure. I didn't -- I didn't put that into the
`direct here and hadn't planned to give you argument on that
`term. But I'll confirm that. If it's okay, I'll come back
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`up and make sure of it when we get back to the redirect.
` JUDGE ANDERSON: Very good. And, correspondingly, as
`long as you're going to work on your break, you say -- you --
`the Petitioner says that synchronization is establishing a
`relationship between a plurality of videos and the selected
`-- I felt I was corrected by Patent Owner and appropriately
`so -- the selected audio track.
` Same question about that or same request for some
`kind of comment. It seems like that doesn't really help us
`very much. It seem