`____________
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________
`
`SAMSUNG ELECTRONICS CO. LTD., SAMSUNG ELECTRONICS
`AMERICA, INC., AND APPLE, INC.,
`Petitioner,
`
`
`v.
`
`NEONODE SMARTPHONE LLC,
`Patent Owner.
`____________
`
`Case IPR2021-00144
`Patent 8,095,879
`____________
`
`EXHIBIT 2007
`
`SECOND DECLARATION OF CRAIG ROSENBERG, PH.D.
`
`
`
`
`
`TABLE OF CONTENTS
`
`Page
`
`INTRODUCTION .........................................................................................1
`I.
`II. QUALIFICATIONS .....................................................................................2
`III. APPLICABLE LEGAL STANDARDS .......................................................9
`A.
`Priority Date of the Patent ..................................................................... 9
`B.
`Level of Ordinary Skill in the Art ......................................................... 9
`C. My Understanding of Legal Standards ............................................... 10
`IV. OPINIONS ...................................................................................................12
`A. Objective Evidence Of Non-Obviousness. ......................................... 12
`B.
`Claim 1 (And All Dependents): “Gliding … Away” .......................... 19
`C.
`Claim 1 (And All Dependents): “Wherein The Representation Of
`The Function Is Not Relocated Or Duplicated” .................................. 27
`1.
`Disclosure By Hirayama-307 Alone. ....................................... 28
`2.
`Obviousness In View Of Hirayama-307 Alone. ...................... 36
`3.
`Obviousness By Hirayama-307 In View Of Ren .................... 40
`V. CONCLUSION ............................................................................................45
`
`
` i
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`
`
`
`
`I.
`
`INTRODUCTION
`
`I, Craig Rosenberg, declare as follows:
`
`1.
`
`I have been retained on behalf of Neonode Smartphone LLC
`
`(“Neonode” and/or “Patent Owner”) for the above-captioned inter partes review to
`
`provide my expert opinions and expert knowledge. I understand that this
`
`proceeding involves U.S. Patent No. 8,095,879 (“the ’879 patent”). I understand
`
`that the ’879 patent is currently assigned to Neonode.
`
`2.
`
`I understand that the present Petition for inter partes review challenges
`
`claims 1-6, 12, 14-17 (“the challenged claims” or “claims”) of the ’879 patent and
`
`was filed by Petitioners Samsung Electronics Co. Ltd., Samsung Electronics
`
`America, Inc., and Apple Inc. (“Petitioner”).
`
`3.
`
`I understand that while the Petition originally presented Grounds 1A-
`
`1E, 2A-2D and 3, Patent Owner and Petitioners have since agreed to limit the
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`Petition to Grounds 2A-2D only and, therefore, my opinions in this declaration are
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`limited to these Grounds.
`
`4.
`
`I have been asked to provide my independent review, analysis,
`
`insights, and opinions regarding technical aspects of the ’879 patent and the
`
`Petition challenging the patentability of its claims. In particular, I have been asked
`
`to provide my analysis, insights, and opinions regarding the state of the art at the
`
`
`
`1
`
`
`
`
`
`time of the alleged invention and how a person of ordinary skill in the art would
`
`have understood the ’443 patent disclosure at that time.
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`5.
`
`In preparing this declaration, I have reviewed all of the references cited
`
`herein and in the Petition. In particular, I have reviewed and am familiar with the
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`’879 patent and its prosecution history, and the references cited against it,
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`discussed further below.
`
`6.
`
`In this declaration, I set forth the independent opinions that I have
`
`reached and the basis for those opinions in view of the information currently
`
`available to me. Such opinions are based, at least in part, on my experience for the
`
`past three decades with image and video processing, including encoding, decoding,
`
`and transmission. I reserve the right to supplement or revise my opinions should
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`additional documents or other information be provided to me.
`
`7.
`
`I am being compensated at an hourly rate of $450/hour for my work on
`
`this case. My compensation is not dependent upon my opinions, my testimony, or
`
`the outcome of this case.
`
`II. QUALIFICATIONS
`
`8. All of my opinions stated in this declaration are based on my own
`
`personal knowledge and professional judgment. In forming my opinions I have
`
`relied on my knowledge and experience in human factors, user interface design, user
`
`interaction design, human-computer interaction, and software engineering.
`
`
`
`2
`
`
`
`
`
`9. My qualifications to testify about the ’879 patent and the relevant
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`technology are set forth in my curriculum vitae (“CV”), which I have included as
`
`Ex. 2002. In addition, a brief summary of my qualifications is included below:
`
`10.
`
`I hold a Bachelor of Science in Industrial Engineering, a Master of
`
`Science in Human Factors, and a Ph.D. in Human Factors from the University of
`
`Washington School of Engineering. For 30 years, I have worked in the areas of
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`human factors, user interface design, software development, software architecture,
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`systems engineering, and modeling and simulation across a wide variety of
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`application areas, including aerospace, communications, entertainment, and
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`healthcare.
`
`11.
`
`I graduated from the University of Washington in 1988 with a B.S. in
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`Industrial Engineering. After graduation, I continued my studies at the University of
`
`Washington. In 1990, I obtained an M.S. in Human Factors. In 1994, I graduated
`
`with a Ph.D. in Human Factors. In the course of my doctoral studies, I worked as an
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`Associate Assistant Human Factors Professor at the University of Washington
`
`Industrial Engineering Department. My duties included teaching, writing research
`
`proposals, designing and conducting funded human factors experiments for the
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`National Science Foundation, as well as hiring and supervising students. While
`
`studying at the University of Washington, I also worked as a human factors
`
`researcher and designed and performed advanced human factors experiments
`
`
`
`3
`
`
`
`
`
`relating to virtual environments and interface design, stereoscopic displays, and
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`advanced visualization research, which was funded by the National Science
`
`Foundation. My duties included user interface design, systems design, software
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`development, graphics programming, experimental design, as well as hardware and
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`software interfacing.
`
`12.
`
`I have published twenty-one research papers in professional journals
`
`and proceedings in the areas of user interface design, computer graphics, and the
`
`design of spatial, stereographic, and auditory displays. I also authored a book chapter
`
`on augmented reality displays in the book “Virtual Environments and Advanced
`
`Interface Design” (Oxford University Press, 1995). In addition, I created one of the
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`first virtual spatial musical instruments called the MIDIBIRD that utilized the MIDI
`
`protocol, two six-dimensional spatial trackers, a music synthesizer, and a computer
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`graphics workstation to create an advanced and novel musical instrument.
`
`13. For the past 21 years, I have served as a consultant for Global Technica,
`
`Sunny Day Software, Stanley Associates, Techrizon, CDI Corporation, and the Barr
`
`Group. In this capacity, I have provided advanced engineering services for many
`
`companies.
`
`14.
`
`I consulted for the Boeing Company for over 16 years as a senior human
`
`factors engineer, user interface designer, and software architect for a wide range of
`
`advanced commercial and military programs. Many of the projects that I have been
`
`
`
`4
`
`
`
`
`
`involved with include advanced software development, user interface design, agent-
`
`based software, and modeling and simulations in the areas of missile defense,
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`homeland security, battle command management, computer aided design,
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`networking and communications, air traffic control, location-based services, and
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`Unmanned Aerial Vehicle (“UAV”) command and control. Additionally, I was the
`
`lead system architect developing advanced air traffic controller workstations and air
`
`traffic control analysis applications, toolsets, and trade study simulations for Boeing
`
`Air Traffic Management.
`
`15.
`
`I was also the architect of the Boeing Human Agent Model. The Boeing
`
`Human Agent Model is an advanced model for the simulation of human sensory,
`
`cognitive, and motor performance as applied to the roles of air traffic controllers,
`
`pilots, and UAV operators. In another project, I was the lead human factors engineer
`
`and user interface designer for Boeing’s main vector and raster computer aided
`
`drafting and editing system that produces the maintenance manuals, shop floor
`
`illustrations, and service bulletins for aircraft produced by the Boeing Commercial
`
`Aircraft Company. Additional responsibilities in my time as a consultant include
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`system engineering, requirements analysis, functional specification, use case
`
`development, user stories, application prototyping, modeling and simulation, object-
`
`oriented software architecture, graphical user interface analysis and design, as well
`
`as UML, C++, C#, and Java software development.
`
`
`
`5
`
`
`
`
`
`16.
`
`In 1995 and 1996, I was hired as the lead human factors engineer and
`
`user interface designer for the first two-way pager produced by AT&T. Prior to this
`
`technology, people could receive pages but had no way to respond utilizing their
`
`pager. This new technology allowed users to use a small handheld device to receive
`
`and send canned or custom text messages, access and update an address book, and
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`access and update a personal calendar. This high-profile project involved designing
`
`the entire feature set, user interface/user interaction design and specification, as well
`
`as all graphical design and graphical design standards.
`
`17. From 1999–2001, I was the lead human factors engineer and user
`
`interface designer for a company called Eyematic Interfaces that was responsible for
`
`all user interface design and development activities associated with real-time mobile
`
`handheld 3D facial tracking, animation, avatar creation and editing software for a
`
`product for Mattel. My work involved user interface design, human factors analysis,
`
`requirements gathering and analysis, and functional specifications.
`
`18.
`
`In 2001, I was the lead user interface designer for a company called
`
`Ahaza that was building IPv6 routers. I designed the user interfaces for the
`
`configuration and control of these advanced network hardware devices. My
`
`responsibilities included requirements analysis, functional specification, user
`
`interface design, user experience design, and human factors analysis.
`
`
`
`6
`
`
`
`
`
`19.
`
`In 2006-07, I was the lead user interface designer for a company called
`
`ObjectSpeed that developed a portable handheld telephone for use in homes and
`
`businesses that had many of the same capabilities that we take for granted in mobile
`
`cellular phones. This portable multifunction device supported voice, email, chat,
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`video conferencing, internet radio, streaming media, Microsoft Outlook integration,
`
`photo taking and sharing, etc. The ObjectSpeed device was specifically designed and
`
`developed as a portable handheld device.
`
`20.
`
`I am the founder, inventor, user interface designer, and software
`
`architect of WhereWuz. WhereWuz is a company that produces advanced mobile
`
`software running on GPS-enabled smartphones and handheld devices. WhereWuz
`
`allows users to record exactly where they have been and query this data in unique
`
`ways for subsequent retrieval based on time or location. WhereWuz was specifically
`
`designed and developed to run on small handheld devices.
`
`21.
`
`I am the co-founder of a medical technology company called Healium.
`
`Healium developed advanced wearable and handheld user interface technology to
`
`allow physicians to more effectively interact with electronic medical records.
`
`22.
`
`I am the co-founder of a medical technology company called
`
`StratoScientific. StratoScientific is developing an innovative case for a smartphone
`
`that turns a standard handheld smartphone into a full featured digital stethoscope that
`
`
`
`7
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`
`
`
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`incorporates visualization and machine learning that can be utilized for telemedicine
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`and automated diagnosis.
`
`23.
`
`In 2012-13, I designed and developed a large software project for
`
`Disney World called xVR that allowed the operational employees of Disney World
`
`to utilize a handheld device to view the current and historical status of all of the
`
`guests of Disney World within multiple attractions as well as within one of their
`
`restaurants. The application could run in a real-time/live mode where it would
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`display data collected from sensors that showed the location and status of all guests
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`within the attraction; the application could also be run in a fast-time/simulated mode.
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`The application was developed on a laptop computer and was specifically designed
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`to run on a variety of devices, including laptops, PCs, smartphones, and tablets.
`
`24.
`
`I have received several awards for my engineering work relating to
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`interface design, computer graphics, and the design of spatial, stereographic, and
`
`auditory displays, including a $10,000 scholarship from the I/ITSEC for advancing
`
`the field of interactive computer graphics for flight simulation and a Link Foundation
`
`award for furthering the field of flight simulation and virtual interface design. I have
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`also created graphics for several popular book covers as well as animations for a
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`movie produced by MIRAMAR.
`
`
`
`8
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`
`
`
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`III. APPLICABLE LEGAL STANDARDS
`
`25. When considering the ’879 patent and stating my opinions, I rely on
`
`the following legal standards as described to me by the attorneys for Neonode.
`
`A.
`
`Priority Date of the Patent
`
`26.
`
`I understand that the analysis of alleged obviousness of the Patent
`
`should be performed from the perspective of a POSITA as of the priority date of
`
`the Patent. The Patent was filed on December 10, 2002. My opinions in this
`
`matter are from the perspective of a POSITA as of that date; however, my opinions
`
`do not change if the priority date is slightly changed.
`
`B.
`
`Level of Ordinary Skill in the Art
`
`27.
`
`I understand that various factors should be considered when
`
`determining the person of ordinary skill in the art in connection with a particular
`
`patent. I understand that these include, without limitation: (a) the educational level
`
`of the inventors and that of practitioners and other inventors in the art (e.g.,
`
`degrees, subjects, etc.); (b) the type of problems encountered in the art; (c) prior art
`
`solutions to such problems; (d) the speed at which innovations are made in the art;
`
`and (e) the sophistication of the invention.
`
`28. Dr. Bederson opines that a “POSA for the ’879 patent would have had
`
`at least a bachelor’s degree in computer science, computer engineering, or the
`
`equivalent education and at least two years of experience in user-interface design
`
`
`
`9
`
`
`
`
`
`and development. Additional years of experience could substitute for formal
`
`education, and vice versa.” For the purpose of this declaration, I will apply the same
`
`definition of the level of skill of a POSITA.
`
`29. Based on my experience, education, and training, I met the definition of
`
`a POSITA in December of 2002, the time of filing of the application that issued as
`
`the ’879 Patent. I also had greater knowledge and experience than a POSITA. I
`
`worked with POSAs in 2002, and I am able to render opinions from the perspective
`
`of a POSITA based on my knowledge and experience. My opinions concerning the
`
`’879 Patent claims and the prior art are from the perspective of a POSITA, as set
`
`forth above.
`
`30. As further discussed below, my opinions as stated in this declaration
`
`are valid even if the Board adopts a slightly different level of ordinary skill in the
`
`art.
`
`C. My Understanding of Legal Standards
`
`31.
`
`I understand that a patent claim is unpatentable if the claimed
`
`invention would have been obvious to a person of ordinary skill in the art at the
`
`time of the purported invention.
`
`32.
`
`I understand that an obviousness analysis involves comparing a claim
`
`to the prior art to determine whether the claimed invention would have been
`
`obvious to a person of ordinary skill in the art at the time of the invention in view
`
`
`
`10
`
`
`
`
`
`of the prior art and in light of the general knowledge in the art as a whole. I also
`
`understand that obviousness is ultimately a legal conclusion based on underlying
`
`facts of four general types, all of which must be considered: (1) the scope and
`
`content of the prior art; (2) the level of ordinary skill in the art; (3) the differences
`
`between the claimed invention and the prior art; and (4) any objective indicia of
`
`non-obviousness.
`
`33.
`
`I also understand that obviousness may be established under certain
`
`circumstances by combining or modifying the teachings of the prior art. Specific
`
`teachings, suggestions, or motivations to combine any first prior art reference with
`
`a second prior art reference can be explicit or implicit, but must have existed
`
`before the date of purported invention. I understand that prior art references
`
`themselves may be one source of a specific teaching or suggestion to combine
`
`features of the prior art, but that such suggestions or motivations to combine art
`
`may come from the knowledge that a person of ordinary skill in the art would have
`
`had.
`
`34.
`
`I understand that a reference may be relied upon for all that it teaches,
`
`including uses beyond its primary purpose, but also including teachings that lead
`
`away from the invention. I understand that a reference may be said to teach away
`
`when a person of ordinary skill, upon reading the reference, would be discouraged
`
`
`
`11
`
`
`
`
`
`from following the path set out in the reference, although the mere disclosure of
`
`alternative designs does not teach away.
`
`35.
`
`I further understand that whether there is a reasonable expectation of
`
`success from combining references in a particular way is also relevant to the
`
`analysis.
`
`36.
`
`I understand that it is improper to use hindsight to combine references
`
`or elements of references to reconstruct the invention using the claims as a guide.
`
`My analysis of the prior art is made from the perspective of a person of ordinary
`
`skill in the art at the time of the invention.
`
`37.
`
`I am not offering any legal opinions in this declaration nor am I
`
`qualified to do so. I only consider such legal standards in framing my opinions and
`
`conclusions as well as placing assertions made by Petitioner in the Petition into the
`
`proper context. Additionally, from a subject matter perspective, I understand that
`
`the petitioner always has the burden of persuasion regarding a challenge of
`
`patentability of an invention under an inter partes review.
`
`IV. OPINIONS
`
`A. Objective Evidence Of Non-Obviousness.
`
`38.
`
`I understand that Neonode’s N1 phone was introduced in Spring 2002
`
`and commercially sold starting in 2004. I further understand that Neonode’s N2
`
`phone was sold starting in 2007. Ex. 2022, ¶ 6.
`
`
`
`12
`
`
`
`
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`39.
`
`I have reviewed Neonode’s promotional material, which highlight the
`
`phone’s swipe-based user interface. Neonode specifically touted its “specially
`
`designed interface” that allows “you to easily access the different applications with
`
`simple sweeping gestures ... on the screen.” Ex. 2008 [N2 Advertisement Video]
`
`(00:27-00:35); see also id., (00:45-00:51) (“And you can easily access all of the
`
`Neonode N2’s content using the seven available sweeps.”). As Neonode explained,
`
`“there is nothing else you need other than your intuition.” Id., (01:25-01:27).
`
`40. From my review of Neonode’s promotional video and other materials,
`
`the “swipe” gesture of Neonode’s user interfaces in the N1 and N2 phones is covered
`
`by claim 1. The claimed inventions concern a user interface for a mobile handheld
`
`computer unit that includes a touch sensitive area that includes a representation of a
`
`function wherein the representation consists of only one option for activating the
`
`function wherein an object (e.g., a finger) touches the touch sensitive area where the
`
`representation is provided and then the “object,” the finger in our example, “glid[es]
`
`along the touch sensitive area away from the touched location, wherein the
`
`representation of the function is not relocated or duplicated during the gliding.” I
`
`have also reviewed the Shain Declaration (Ex. 2023), and his testimony further
`
`confirms that the N1 and N2 devices practiced the claim 1 limitations:
`
`Both the Neonode N1 and N2 presented three icons in a strip along the
`lower edge of the display immediately following unlocking of the
`phone. One of the icons represented the Start Menu, one represented
`
`
`
`13
`
`
`
`
`
`the Keyboard Menu, and the third represented the Tools Menu. Each of
`the icons consisted of only one option for activating the associated
`function. Each of the icons were activatable by a gesture in which a
`thumb or finger touches the icon, and swipes up toward the center of
`the screen before lifting off of the screen. None of the icons were
`relocated or duplicated during the swiping gesture.
`
`41. The Applicant also equated the “gliding ... away” motion with
`
`“swiping.” Ex. 1003 [Prosecution-History] 269 (“a finger touches a touch-sensitive
`
`screen at a location where an icon for a function is displayed, and then
`
`rubs/swipes/glides along the touch screen away from the location without lifting the
`
`finger.”). The Applicant also specifically referenced and provided a link to its
`
`promotional video for a commercial embodiment, the Neonode N2 phone, and asked
`
`the Examiner to “view the demonstration video … prior to reviewing Applicant’s
`
`arguments ….” Ex. 2035 [2008-03-14 Office-Action-Response] 15-16; Ex. 2008
`
`[N2-Advertisement-Video]. As the screen shots below from the video show, the
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`“gliding … away” gesture is similar to what many of today’s systems refer to as a
`
`“swipe” gesture and is distinct from a drag-and-drop operation. Specifically, the
`
`thumb is placed on a representation of a function (an arrow) and through a swiping
`
`motion, the menu screen opens:
`
`
`
`14
`
`
`
`
`
`See Ex. 2008 [N2-Advertisement-Video ] (screenshots from 00:26-00:27).
`
`42. Such gliding corresponds to what is shown, for instance, in Figure 2
`
`which shows a thumb gliding along the touchscreen:
`
`
`
`
`
`43.
`
`I further have reviewed material showing praise for Neonode’s swiping
`
`user interface. For example, Pen Computing Magazine described Neonode N1
`
`phone’s swipe as “simple and brilliant” and different from the “dreaded gestures” of
`
`the pen computing devices (like Petitioner’s Hirayama-307):
`
`
`
`15
`
`
`
`
`
`Swipe, swipe, swipe
`
`You see, instead of the usual menus and pulldowns, most operations are
`performed by sweeps of your finger—usually your thumb—across the
`surface of the Neonode’s display. […] If this sounds like the dreaded
`“gestures” that never really caught on in pen computing, it’s not. The
`swipes are much simpler, there are only a few, and they are consistently
`used throughout all applications. The idea here is to let you hold a
`phone in the palm of your hand and operate it entirely with your thumb.
`No need to push buttons, view tiny menus, pull out a tiny stylus, or use
`scroll wheels, rockers or other such vexing miniature controls. […]
`Neonode’s swiping interface is [] simple and brilliant.
`
`Ex. 2012, 2-3; id., 5 (“What’s the bottomline? The Neonode phone is quite
`
`obviously unique, ... The user interface is compelling and it’s easy to see how just
`
`a bit more development could provide almost total consistency and thus a user
`
`experience simpler than pretty much anything else that comes to mind. The speed
`
`is simply amazing. That’s the way a phone should operate.”).
`
`44.
`
`I have also reviewed material showing praise of Neonode’s swipe-based
`
`user interface by various technology observers. Exs. 2014 (“I’ve been playing with
`
`my N1m on and off, and I’m very impressed! It’s definitely a best kept secret device
`
`– Neonode’s touch-based user interface with gesture recognition ... is extremely
`
`intuitive ...”); 2016 (“[The N2] has the most advanced touchscreen available, and
`
`has no buttons ... ‘Neonode N2 is designed for advanced simplicity. You do
`
`
`
`16
`
`
`
`
`
`everything on-screen, simply and conveniently, with just one finger, Infibeam says.
`
`‘The combination of an optical touch screen and specifically designed user interface
`
`makes access to all features and content of your Neonode N2 both quick and easy.’”);
`
`2015, 2017; Ex. 2021 [Hunting the iPhone killer; Swedish Neonode generates buzz
`
`for device] (“the N2 from Neonode Inc. – is the strongest contender for the title of
`
`‘iPhone killer,’ ... ‘They’ve come out with a kick-ass device’... the [N1’s] screen
`
`reacts to the intuitive passage of a finger over the screen to initiate basic phone, Web
`
`browser and multimedia functions.”).
`
`45.
`
`I have also reviewed testimony that Senior management at Samsung’s
`
`mobile telecom division were extremely impressed by Neonode’s N1, and in early
`
`2005 began discussions with Neonode about licensing the N1’s gesture-based user
`
`interface and touch screen technology. Ex. 2026, ¶ 9. Ki-Tai Lee (K. T. Lee), head
`
`of Samsung’s mobile telecom division, presciently told Neonode that he believed
`
`Neonode’s intuitive user interface was “the future of mobile phones.” Id. Neonode
`
`had many hours of meetings with Samsung, including a meeting in London, attended
`
`by Marcus Bäcklund, Thomas Ericsson, and Per Bystedt. Id. Mr. Lee told
`
`Samsung’s negotiators—in Neonode’s presence—that “we need this,” referring to
`
`the Neonode’s N1 gesture-based user interface and the license for the user interface.
`
`Id. I further understand that Samsung subsequently signed a licensing agreement
`
`with Neonode in 2005, and the licensing agreement covered, among other things,
`
`
`
`17
`
`
`
`
`
`the application that ultimately issued as the ’879 patent. Ex. 2026, ¶ 10; Ex. 2024,
`
`¶¶ 13-14.
`
`46.
`
`I have further reviewed evidence demonstrating the belief among the
`
`technology observers that when Apple introduced the first iPhone in 2007, its
`
`swiping gestures resembled that of Neonode. For example, Pen Computing
`
`Magazine wrote:
`
`Listening to Apple’s claims of all the patents covering the iPhone’s user
`interface one might assume the iPhone broke completely new ground
`and went where no phone had ever gone before.
`
`That is not entirely so. Neonode, a small Swedish company ...
`announced the Neonode N1 back in 2002. ... It did not use a stylus
`either. Instead, it used a swipe and tap system on a novel touch screen
`that used a grid of infrared beams to sense finger movement.
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`... And if the iPhone’s swipes and taps seem futuristic, they are not.
`Neonode has been using them since the first N1 came out. In fact, the
`company’s Neno user interface is based entirely on swipes and taps.
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`Ex. 2013, 1. The author followed,
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`[I]t must be vexing to see Apple essentially claim ownership of
`concepts the Neonode phone has been using for at least five years.
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`Ex. 2013, 9.
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`47.
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`I have also reviewed a Ph.D. dissertation and a Master’s thesis that
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`described Neonode as “the first smartphone to use a touchscreen as primary input
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`18
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`and to support touch gestures for several functions,” (Ex. 2018, 9), and “The
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`Neonode N1 was the first commercially available mobile device to make extensive
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`use of swipe gestures appropriate for one-handed use, including a browser that
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`scrolled content vertically with swipes,” (Ex. 2020, 8).
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`48.
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`I have also reviewed testimony about commercial sales of Neonode
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`phones, explaining that Neonode sold tens of thousands of its N1 and N2 phones to
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`various operators around the world, including Mexico, Belgium and India. Ex. 2022,
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`¶ 6; Ex. 2025; Ex. 2028; Ex. 2026, ¶ 11; Ex. 2024, ¶¶ 8-10. I understand that, as a
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`small startup company without the backing of any major carrier, and with limited
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`manufacturing experience, Neonode phones were priced up to $1,000, which is
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`many times more expensive than the typical luxury phones of its time. Id.
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`49. The above evidence, showing praise by industry observers, competitors
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`and users, further support my conclusions below that the claims were not obvious at
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`the time of the invention.
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`B. Claim 1 (And All Dependents): “Gliding … Away”
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`50. The claims require “activating [a] function” via a “multi-step operation
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`comprising (i) an object touching the touch sensitive area at a location where the
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`representation is provided and then (ii) the object gliding along the touch sensitive
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`area away from the touched location ...” Ex. 1001 [’879] cl. 1.
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`19
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`51. The pending claims during prosecution originally recited “moving in a
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`direction from a starting point that is the representation [of a function] … to said
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`display area.” Ex. 1003 [Prosecution History] 326. However, “in accordance with
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`the conclusions of [an examiner] interview” and in order to “properly claim the
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`present invention,” the claims were amended to recite the specific gesture of “gliding
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`… away from the location [of the representation of a function].” Id., 343. Thus, the
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`claim was altered from any “moving in a direction from a starting point” to a specific
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`gesture, “gliding ... away” to “properly claim the present invention.”
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`52. The Applicant also equated the “gliding ... away” motion with
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`“swiping.” Ex. 1003 [Prosecution History] 269 (“a finger touches a touch-sensitive
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`screen at a location where an icon for a function is displayed, and then
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`rubs/swipes/glides along the touch screen away from the location without lifting the
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`finger.”). The Applicant also specifically referenced and provided a link to its
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`promotional video for a commercial embodiment, the Neonode N2 phone, and asked
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`the Examiner to “view the demonstration video … prior to reviewing Applicant’s
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`arguments ….” Ex. 2035 [2008-03-4 Office-Action-Response] 15-16; Ex. 2008 [N2
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`Advertisement Video]. As the screen shots below from the video show, the “gliding
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`… away” gesture is similar to what many today’s systems refer to as a “swipe”
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`gesture and is distinct from a drag-and-drop operation. Specifically, the thumb is
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`20
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`placed on a representation of a function (an arrow) and through a swipe motion, the
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`menu screen opens:
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`See Ex. 2008 [N2 Advertisement Video] (screenshots from 00:26-00:27).
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`
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`53. The specification similarly demonstrates a swipe motion. See Ex. 1001
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`[’879] Fig. 2, 4:7-11.
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`54. During prosecution, the Applicant also made it clear that the claimed
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`“gliding … away” is distinct from “drag-and-drop”:
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`Hoshino does not teach gliding a finger away from an icon. Instead,
`Hoshino teaches a drag-and-drop operation for moving an icon.
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`Ex. 1003 [Prosecution-History] 171.
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`55.
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`In accord, the Applicant distinguished Hoshino’s “conventional” “drag-
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`and-drop” “operation” from the “novel” “touch-and-glide” operation of the
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`“[c]laimed invention”:
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`Id., 170.
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`21
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`56.
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`I understand that when an Applicant makes unequivocal statement about
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`what is not included in the scope of the claim, courts have found such statements to
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`be prosecution disclaimers, which means that the claim should be interpreted to
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`exclude the disavowed aspect. I further understand that regardless of whether or not
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`the applicant’s statements during prosecution raise to the level of prosecution
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`disclaimer, they are relevant in informing the POSITA regarding the meaning and
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`scope of the claims.
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`57. Based on my overall review of the claim language, the specification and
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`the prosecution history, it is my opinion that a POSITA would have understood that
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`“gliding … away” does not encompass a drag-and-drop operation.
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`58. The Petition relies on Hirayama-307 alone for the disclosure of the
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`“gliding … away” limitation. Pet., 58-59. Hirayama-307 was already analyzed by
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`the Examiner, who explained that Hirayama-307 is “pertinent to applicant’s
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`disclosure,” as it “teaches a method of activating functions.” Ex. 2009 [2006-03-23
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`Non-Final Rejection] 15. Yet, the Examiner never relied upon Hirayama-307 as a
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`basis of rejection.
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`59. Hirayama-307’s operation
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`is a “conventional” drag-and-drop
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`“operati