`
`
`
`
`
`
`UNITED STATES PATENT AND TRADEMARK OFFICE
`____________________
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________________
`APPLE INC.,
`Petitioner,
`
`v.
`PROXENSE, LLC,
`Patent Owner.
`____________________
`Case No. IPR2024-01485
`U.S. Patent No. 8,886,954
`____________________
`PETITION FOR INTER PARTES REVIEW
`
`

`

`B. 
`
`TABLE OF CONTENTS
`REQUIREMENTS FOR IPR ...................................................................... 1 
`A.  Grounds for Standing ........................................................................... 1 
`B. 
`Challenge and Relief Requested .......................................................... 1 
`C. 
`Claim Construction .............................................................................. 2 
`II.  OVERVIEW OF THE ‘954 PATENT ........................................................ 4 
`III.  THE CHALLENGED CLAIMS ARE UNPATENTABLE ...................... 4 
`A. 
`[GROUND 1] – Burger Renders Obvious Claims 1, 2, 4, 5, 7-
`13, 15, 16, 18-24, 26-29 ....................................................................... 4 
`1. 
`Burger ......................................................................................... 4 
`2. 
`Application of Burger to the ‘954 Claims ............................... 22 
`[GROUND 2] – Burger and Robinson Render Obvious Claims
`3, 14, 17 .............................................................................................. 86 
`1. 
`Robinson .................................................................................. 86 
`2. 
`Combination of Burger and Robinson ..................................... 89 
`3. 
`Application of Burger and Robinson to the ‘954 Claims ........ 92 
`[GROUND 3] – Burger and Orsini Render Obvious Claims 6
`and 25 ................................................................................................. 94 
`1. 
`Orsini ........................................................................................ 94 
`2. 
`Combination of Burger and Orsini .......................................... 95 
`3. 
`Application of Burger and Orsini to the ‘954 Claims .............. 98 
`IV.  PTAB DISCRETION SHOULD NOT PRECLUDE
`INSTITUTION ............................................................................................ 99 
`A. 
`35 U.S.C. §314(a) - Fintiv .................................................................. 99 
`B. 
`35 U.S.C. §325(d) – Advanced Bionics ............................................ 101 
`V.  CONCLUSION AND FEES .................................................................... 103 
`VI.  MANDATORY NOTICES UNDER 37 C.F.R § 42.8(a)(1) .................. 103 
`A. 
`Real Party-In-Interest Under 37 C.F.R. § 42.8(b)(1) ....................... 103 
`B. 
`Related Matters Under 37 C.F.R. § 42.8(b)(2) ................................ 104 
`C. 
`Lead And Back-Up Counsel Under 37 C.F.R. § 42.8(b)(3) ............ 105 
`D. 
`Service Information .......................................................................... 105 
`
`I. 
`
`
`
`
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`C. 
`
`i
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`MSC-1001
`MSC-1002
`
`MSC-1003
`MSC-1004
`
`MSC-1005
`MSC-1006
`
`EXHIBITS
`U.S. Patent No. 8,886,954 to John J. Giobbi (“the ‘954 Patent”)
`Excerpts from the Prosecution History of the ‘954 Patent (“the
`‘954 Prosecution History”)
`Declaration and Curriculum Vitae of Dr. Patrick Traynor
`Complaint, Proxense, LLC v Microsoft Corporation, 6:23-cv-
`00319, W.D. Tex., filed April 28, 2023
`US Patent Application Publication No. 2005/0050367 (“Burger”)
`US Patent Application Publication No. 2003/0177102
`(“Robinson”)
`Institution Decision, Samsung Electronics America, Inc. v.
`Proxense, LLC, IPR2021-01444, Paper 11 (PTAB Feb. 28, 2022)
`Definition of “transaction,” Merriam-Websters Collegiate
`Dictionary, 10th Ed., 1999
`Google Pixel Serial Number Guide, HomeServe webpage,
`https://www.homeserve.com/en-us/customers/find-serial-number-
`device-type/google/
`US Patent No. 8,977,860 (“Barrus”)
`US Patent No. 7,681,050 (“Blom”)
`US Patent No. 10,755,300 (“Goodhart”)
`US Patent Application Publication No. 2009/0070219
`(“D’Angelo”)
`US Patent No. 10,929,869 (“Rosenberg”)
`MSC-1014
`RESERVED
`MSC-1015
`MSC-1016 Memorandum, Interim Procedure for Discretionary Denials in AIA
`Post-Grant Proceedings with Parallel District Court Litigation
`(USPTO June 21, 2022) (“Director’s Guidance”)
`
`MSC-1010
`MSC-1011
`MSC-1012
`MSC-1013
`
`MSC-1007
`
`MSC-1008
`
`MSC-1009
`
`ii
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`MSC-1019
`
`MSC-1020
`MSC-1021
`MSC-1022
`
`MSC-1017 Microsoft’s Opening Brief in support of its Motion to Dismiss for
`Failure to State a Claim, Proxense, LLC v Microsoft Corporation,
`6:23-cv-00319, W.D. Tex., filed July 10, 2023
`MSC-1018 Microsoft’s Reply in support of its Motion to Dismiss for Failure
`to State a Claim, Proxense, LLC v Microsoft Corporation, 6:23-cv-
`00319, W.D. Tex., filed August 10, 2023
`Order Canceling Markman Hearing, Proxense, LLC v Microsoft
`Corporation, 6:23-cv-00319, W.D. Tex., Jan. 9, 2024
`RESERVED
`US Patent Application Publication No. 2004/0049687 (“Orsini”)
`Ex-Parte Re-examination Request of ‘905 patent; Re-examination
`application number 90/015,053
`MSC-1023 Motion to Transfer, Proxense, LLC v Microsoft Corporation, 6:23-
`cv-00319, W.D. Tex., Aug. 21, 2023
`MSC-1024 Motion to Stay pending resolution of the Motion to Transfer,
`Proxense, LLC v Microsoft Corporation, 6:23-cv-00319, W.D.
`Tex., Mar. 8, 2024
`Order Granting Motion to Stay pending resolution of the Motion to
`Transfer, Proxense, LLC v Microsoft Corporation, 6:23-cv-00319,
`W.D. Tex., Mar. 26, 2024
`“How to find the serial number on TP-Link devices,”
`https://www.tp-link.com/us/support/faq/503/ (last visited April 15,
`2024)
`Order Denying Motion to Transfer, Proxense, LLC v Microsoft
`Corporation, 6:23-cv-00319, W.D. Tex., April 18, 2024
`US Patent Application Publication No. 2002/0147658 (“Kwan”)
`MSC-1028
`US Patent Application Publication No. 2002/0143634 (“Kumar”)
`MSC-1029
`EX-1030-1031 RESERVED
`
`MSC-1025
`
`MSC-1026
`
`MSC-1027
`
`iii
`
`

`

`EX-1032
`
`EX-1033
`
`EX-1034
`
`EX-1035
`
`EX-1036
`
`EX-1037
`
`
`
`
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Complaint, Proxense, LLC v Apple Inc., 6:24-cv-00143, W.D.
`Tex., filed March 18, 2024
`Proxense, LLC v. Microsoft Corp., Case No. 6:23-cv-00319, Dkt.
`No. 66, Claim Construction Order (W.D. Tex. May 24, 2024)
`Proxense, LLC v. Google LLC, Case No. 6:23-cv-00320, Dkt. No.
`59, Claim Construction Order (W.D. Tex. Jan. 13, 2024)
`Docket Sheet for Proxense, LLC v. Apple Inc., Case No. 6-24-cv-
`00143 (W.D. Tex) (pulled October 14, 2024)
`Scheduling Order in Proxense, LLC v. Apple Inc., Case No. 6-24-
`cv-00143 (W.D. Tex)
`Applications Related to the 954 Patent
`
`
`
`iv
`
`

`

`LISTING OF CHALLENGED CLAIMS
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Claim 1
`
`
`
`[1pre]
`
`[1.1]
`
`A method comprising:
`
`persistently storing biometric data of a user and a plurality
`
`of codes and other data values comprising a device ID code
`
`uniquely identifying an integrated device and a secret
`
`decryption value in a tamper proof format written to a
`
`storage element on the integrated device that is not capable
`
`of being subsequently altered;
`
`[1.2]
`
`responsive to receiving a request for a biometric
`
`verification of the user, receiving scan data from a
`
`biometric scan;
`
`[1.3]
`
`comparing the scan data to the biometric data to determine
`
`whether the scan data matches the biometric data;
`
`[1.4]
`
`responsive to a determination that the scan data matches
`
`the biometric data, wirelessly sending one or more codes
`
`and other values from the plurality of codes and other data
`
`values for authentication to a third party that operates a
`
`v
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`trusted authority, wherein the one or more codes and other
`
`data values includes the device ID code; and
`
`[1.5]
`
`receiving, at an application, an access message from the
`
`trusted authority indicating that the trusted authority
`
`successfully authenticated the one or more codes and other
`
`data values sent to the third party and allowing the user
`
`access to the application.
`
`Claim 2
`
`[2]
`
`The method of claim 1, wherein the one or more codes and
`
`other data values are transmitted to the trusted authority
`
`over a network.
`
`Claim 3
`
`
`
`[3]
`
`The method of claim 1, further comprising: registering an
`
`age verification for the user in association with the device
`
`ID code.
`
`vi
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Claim 4
`
`
`
`[4]
`
`The method of claim 1, wherein the one or more codes and
`
`the other data values indicate that the biometric verification
`
`was successful.
`
`Claim 5
`
`
`
`[5]
`
`The method of claim 1, wherein the biometric data
`
`includes one or more of a fingerprint, palm print, a retinal
`
`scan, an iris scan, a hand geometry, a facial recognition, a
`
`signature recognition and a voice recognition.
`
`Claim 6
`
`
`
`[6]
`
`The method of claim 1, wherein the integrated device
`
`comprises one or more of a mobile phone, tablet, laptop,
`
`mp3 player, mobile gaming device, watch and a key fob.
`
`Claim 7
`
`
`
`[7]
`
`The method of claim 1, wherein the application includes
`
`one or more of a casino machine, a keyless lock, a garage
`
`vii
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`door opener, an ATM machine, a hard drive, computer
`
`software, a web site, a file and a financial account.
`
`Claim 8
`
`
`
`[8]
`
`The method of claim 1, wherein the application includes a
`
`file including medical information.
`
`Claim 9
`
`
`
`[9]
`
`The method of claim 1, wherein the application includes a
`
`financial account.
`
`Claim 10
`
`
`
`[10]
`
`The method of claim 1, further comprising: establishing a
`
`secure communication channel prior to sending the one or
`
`more codes and other data values for authentication.
`
`Claim 11
`
`
`
`[11.1]
`
`The method of claim 1, further comprising: receiving a
`
`request for the one or more codes and other data values
`
`without a request for biometric verification; and
`
`viii
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`[11.2]
`
`responsive to receiving the request for the one or more
`
`codes and other data values without a request for biometric
`
`verification, sending the one or more codes and other data
`
`values without requesting the scan data.
`
`Claim 12
`
`
`
`[12.pre]
`
`An integrated device comprising:
`
`[12.1]
`
`a persistent storage media that stores biometric data of a
`
`user and a plurality of codes and other data values
`
`comprising a device ID code uniquely identifying the
`
`integrated device and a secret decryption value in a tamper
`
`proof format written to the persistent storage media and not
`
`capable of being subsequently altered;
`
`[12.2]
`
`a validation module, coupled to communicate with the
`
`persistent storage media, that receives scan data from a
`
`biometric scan for comparison against the biometric data,
`
`and that sends one or more codes and other data values
`
`from the plurality of codes and other data values for
`
`authentication by a third party that operates a trusted
`
`ix
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`authority, wherein the one or more codes and other data
`
`values includes the device ID code; and
`
`[12.3]
`
`a radio frequency communication module that receives an
`
`access message from the trusted authority indicating that
`
`the trusted authority successfully authenticated the one or
`
`more codes and other data values to the third party and
`
`allowing the user access to an application.
`
`Claim 13
`
`[13]
`
`The integrated device of claim 12, wherein the one or more
`
`codes and other data values are transmitted to the trusted
`
`authority over a network.
`
`Claim 14
`
`
`
`[14]
`
`The integrated device of claim 12, wherein an age
`
`verification is registered in association with the device ID
`
`code.
`
`x
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Claim 15
`
`
`
`[15]
`
`The integrated device of claim 12 comprising: an LED to
`
`be activated for requesting the biometric scan.
`
`Claim 16
`
`
`
`[16.pre]m 15
`
`A method for authenticating a verified user using a
`
`computer processor configured to execute method steps,
`
`comprising:
`
`[16.1]
`
`wirelessly receiving one or more codes and other data
`
`values from a plurality of codes and other data values
`
`including a device ID code, wherein the plurality of codes
`
`and other data values comprises the device ID code
`
`uniquely identifying an integrated device associated with a
`
`biometrically verified user, the device ID code being
`
`registered with a trusted authority for authentication, the
`
`trusted authority operated by a third party;
`
`[16.2]
`
`requesting authentication of the integrated device using the
`
`one or more codes and other data values by the trusted
`
`authority;
`
`xi
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`[16.3]
`
`receiving, at an application, an access message from the
`
`trusted authority indicating that the trusted authority
`
`successfully authenticated the one or more codes and other
`
`data values to the third party; and
`
`[16.4]
`
`in response to receiving the access message, allowing the
`
`biometrically verified user access to the application.
`
`Claim 17
`
`
`
`[17]
`
`The method of claim 16, further comprising: registering a
`
`date of birth or age with the trusted authority.
`
`Claim 18
`
`
`
`[18.1]
`
`The method of claim 16, further comprising: establishing a
`
`secure communications channel with the integrated device,
`
`[18.2]
`
`wherein the one or more codes and other data values
`
`associated with the biometrically verified user is received
`
`from the integrated device.
`
`xii
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Claim 19
`
`
`
`[19]
`
`The method of claim 16, wherein the application includes
`
`one or more of a casino machine, a keyless lock, a garage
`
`door opener, an ATM machine, a hard drive, computer
`
`software, a web site, a file and a financial account.
`
`Claim 20
`
`
`
`[20]
`
`The method of claim 16, wherein the application includes a
`
`file including medical information.
`
`Claim 21
`
`
`
`[21]
`
`The method of claim 16, wherein the application includes a
`
`financial account.
`
`Claim 22
`
`
`
`[22.pre]
`
`A system, comprising:
`
`[22.1]
`
`an integrated hardware device that stores biometric data of
`
`a user and a plurality of codes and other data values
`
`comprising a device ID code uniquely identifying the
`
`integrated hardware device and a secret decryption value in
`
`xiii
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`a tamper proof format written to a storage element in the
`
`integrated hardware device that is not capable of being
`
`subsequently altered, and that wirelessly sends one or more
`
`codes and other data values from the plurality of codes and
`
`other data values, wherein the one or more codes and other
`
`data values include the device ID code; and
`
`[22.2]
`
`an authentication circuit that receives the one or more
`
`codes and other data values and sends the one or more
`
`codes and other data values to a third party that operates a
`
`trusted authority for authentication, and that receives an
`
`access message from the trusted authority indicating that
`
`the trusted authority successfully authenticated the one or
`
`more codes and other data values to the third party and
`
`allows the user to access an application.
`
`Claim 23
`
`
`
`[23]
`
`The system of claim 22, wherein the integrated hardware
`
`device receives an authentication request from the
`
`xiv
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`authentication circuit, and in response, requests a biometric
`
`scan from the user to generate scan data.
`
`Claim 24
`
`
`
`[24]
`
`The system of claim 22, wherein when the integrated
`
`hardware device cannot verify scan data as being from the
`
`user, the integrated hardware device does not send the one
`
`or more codes and other data values.
`
`Claim 25
`
`
`
`[25]
`
`The system of claim 22, wherein the integrated hardware
`
`device comprises one or more of a mobile phone, tablet,
`
`laptop, mp3 player, mobile gaming device, watch and a
`
`key fob.
`
`Claim 26
`
`
`
`[26]
`
`The system of claim 22, wherein the biometric data
`
`includes one or more of a fingerprint, palm print, a retinal
`
`scan, an iris scan, a hand geometry, a facial recognition, a
`
`signature recognition and a voice recognition.
`
`xv
`
`

`

`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`Claim 27
`
`
`
`[27]
`
`The system of claim 22, wherein the application includes
`
`one or more of a casino machine, a keyless lock, a garage
`
`door opener, an ATM machine, a hard drive, computer
`
`software, a web site, a file and a financial account.
`
`Claim 28
`
`
`
`[28]
`
`The system of claim 22, wherein the application includes a
`
`file including medical information.
`
`Claim 29
`
`
`
`[29]
`
`The system of claim 22, wherein the application includes a
`
`financial account.
`
`
`
`
`
`xvi
`
`

`

`Apple Inc. (“Petitioner” or “Apple”) petitions for Inter Partes Review
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`(“IPR”) of claims 1-29 (“the Challenged Claims”) of U.S. Patent No. 8,886,954
`
`(“the ‘954 Patent”). This Petition presents compelling evidence demonstrating a
`
`reasonable likelihood that the Challenged Claims are invalid.
`
`I.
`
`REQUIREMENTS FOR IPR
`A. Grounds for Standing
`Petitioner certifies that the ‘954 Patent is available for IPR. This petition is
`
`being filed within one year of service of a complaint against Apple. EX-1032.
`
`Apple is not barred or estopped from requesting review of the Challenged Claims
`
`on the below-identified grounds.
`
`B. Challenge and Relief Requested
`Apple requests an IPR of the Challenged Claims on the grounds noted below.
`
`Dr. Patrick Traynor provides supporting testimony in his Declaration (MSC-1003,
`
`¶¶[1]-[183]).
`
`Ground
`
`Claim(s)
`
`35 U.S.C. § 103
`
`1
`
`2
`
`3
`
`1, 2, 4, 5, 7-13, 15, 16,
`18-24, 26-29
`
`Burger
`
`3, 14, 17
`
`Burger and Robinson
`
`6, 25
`
`Burger and Orsini
`
`1
`
`

`

`The earliest application that the ‘954 Patent claims priority from is US
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`provisional application No. 60/637,538, filed on December 20, 2004. MSC-1001,
`
`cover. While Petitioner does not concede that December 20, 2004 is the priority
`
`date that should be accorded to the ‘954 Patent, for the purposes of this proceeding,
`
`each of the references asserted in this Petition qualifies as prior art under 35 USC
`
`§§102(a), (b), or (e) (as shown in the table below) even if December 20, 2004 is
`
`used as the priority date of the ‘954 Patent.
`
`Reference
`
`Filing Date
`
`Publication
`Date
`
`US 2005/0050367 (Burger or MSC-1005)
`
`Sept. 30, 2004 Mar. 3, 2005
`
`US 2003/0177102 (Robinson or MSC-1006) Feb. 19, 2003
`
`Sept. 18, 2003
`
`US 2004/0049687 (Orsini or MSC-1021)
`
`Jun. 11, 2003 Mar. 11, 2004
`
`C. Claim Construction
`No formal claim constructions are necessary because “claim terms need only
`
`be construed to the extent necessary to resolve the controversy.” Wellman, Inc. v.
`
`Eastman Chem. Co., 642 F.3d 1355, 1361 (Fed. Cir. 2011). For completeness,
`
`Petitioner notes the three phrases addressed by the Board during a prior IPR
`
`proceeding (IPR2021-01444) in this family of patents. In IPR2021-01444, the
`
`Board noted that:
`
`2
`
`

`

`“interpretation of ‘tamper proof format’ is not necessary to determine
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`1)
`
`whether to institute an inter partes review”;
`
`2)
`
`“[t]he plain meaning of ‘third-party trusted authority’ suggests an
`
`entity or party separate from the principal parties to a transaction”; and
`
`3)
`
`“no further interpretation of the ‘access message’ limitations is
`
`necessary.”
`
`MSC-1007, 11-15. The references asserted in this Petition render the claims
`
`obvious even if these earlier positions adopted by the Board are used in this
`
`proceeding.1 MSC-1003, ¶¶[43]-[44].
`
`Petitioner reserves the right to respond to any constructions offered by Patent
`
`Owner or the Board. Petitioner is not conceding that each challenged claim
`
`satisfies all statutory requirements. Petitioner is not waiving any arguments
`
`concerning other grounds that cannot be raised in IPR proceedings.
`
`
`1 Additional claim terms were construed in other proceedings relating the ’954
`
`patent, but the Board need not resolve those terms because the Grounds relied on in
`
`this petition render the challenged claims obvious under either the plain and
`
`ordinary or alternate constructions adopted in the other proceedings. See EX-1033,
`
`EX-1034, IPR2024-00233, Paper 10.
`
`3
`
`

`

`II. OVERVIEW OF THE ‘954 PATENT
`The ‘954 patent discloses a biometric key 100, as shown in FIG. 2 below,
`
`IPR2024-01485
`U.S. Patent No. 8,886,954
`
`
`that can be used to perform the biometric verification of a user using a trusted key
`
`authority. MSC-1001, 4:40-5:62, 6:56-62; MSC-1003, ¶¶[45]-[49].
`
`
`
`III.
`
`MSC-1001, FIG. 2.
`THE CHALLENGED CLAIMS ARE UNPATENTABLE
`A.
`
`[GROUND 1] – Burger Renders Obvious Claims 1, 2, 4, 5, 7-
`13, 15, 16, 18-24, 26-29
`1.
` Burger
`As shown in Burger’s FIG. 1 below, Burger’s system 100 includes a Pocket
`
`Vault 102, an associated token 102a, network server(s) 114, interface stations
`
`104a-c coupled to the network server(s), commercial card reader(s) 106,
`
`commercial bar code reader(s) 107, and computers 108, 110, and 112 operated by
`
`4
`
`

`

`one or more advertisers, non-financial media issuers, and financial media issuers,
`
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`respectively. MSC-1005, ¶¶[51], [93], [96]-[97]; MSC-1003, ¶¶[50]-[51].
`
`
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`MSC-1005, FIG. 12.
`An example of the Pocket Vault is shown below in Burger’s FIG. 2.
`
`Burger’s Pocket Vault includes “a controller 202, … a transceiver 204, a user input
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`device 206, a docking interface 208, a read/write memory 210, a write-once
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`memory 212, a power manager 214, an indicator 215, a display 216, a token port
`
`
`2 Annotations to figures in the petition are marked up in color.
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`5
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`218, and a fingerprint scanner 220, all coupled to the controller 202.” MSC-1005,
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`¶[118]. Burger “is not limited to any particular type of memory. The memory 210
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`may, for example, comprise a suitable non-volatile SRAM. Similarly, any suitable
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`memory device that permits a only [sic] single write operation to take place may be
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`employed as the write-once memory 212.” MSC-1005, ¶[127]. The Pocket Vault
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`may also include a hard-wired memory (not shown) to store device serial numbers
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`and key operating system and encryption software components.” MSC-1005,
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`¶[118]; MSC-1003, ¶[52].
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`
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`MSC-1005, FIG. 2.
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`6
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`Memory 210 can include a high-security section used to “store value-based
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`or value-linked media such as debit and credit cards and certain ID information
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`such as driver’s licenses, passports.” MSC-1005, ¶[129]; MSC-1003, ¶[53].
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`The controller 202 includes “a low-power multiprocessor or microcomputer
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`having an on-board SRAM and/or flash memory.” MSC-1005, ¶[122]. “The
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`controller 202 may include a software-programmable and encryption-protected or
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`hard-wired unique chip ID. In one embodiment, this chip ID [(Pocket Vault ID)] is
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`released from the Pocket Vault only after the fingerprint scanner 220 … has
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`successfully authenticated the identity of the holder.” MSC-1005, ¶[122]; MSC-
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`1003, ¶[54].
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`The Pocket Vault includes a display 216 (e.g., touch screen) to dynamically
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`display branding and advertising messages or desired media (e.g., a credit card,
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`driver’s license, library card). MSC-1005, ¶¶[109], [110], [132], [133]; MSC-1003,
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`¶[55].
`
`The Pocket Vault can also include a token 102a, which “may be used by the
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`Pocket Vault holder to engage in a transaction.” MSC-1005, ¶[103]. Token 102a
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`can be released from the Pocket Vault and can display information such as credit
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`card information and used in transactions with retailers. MSC-1005, ¶¶[103]-[104],
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`[155]-[158]; MSC-1003, ¶[56].
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`7
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`Burger’s Pocket Vault also includes a scanning device such as a fingerprint
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`scanner 220, iris or retina scanner, an optical sensor, and/or a voiceprint. MSC-
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`1005, ¶[135]; MSC-1003, ¶[57].
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`When a user is interested in using the Pocket Vault, the user’s biometric
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`feature is used to authenticate the user. MSC-1005, ¶[112]. “In one illustrative
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`embodiment, authentication information used to validate the holder’s identity (e.g.,
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`the stored fingerprint …) is stored within the to-be-accessed device,” that is the
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`Pocket Vault, “and the validation is performed in its entirety on-board the same
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`device, such that the user-specific authentication information never leaves the
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`device in which it is stored. Thus, using this technique, the likelihood that such
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`information will be intercepted by unauthorized third parties may be reduced
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`significantly.” MSC-1005, ¶[112]. Moreover, “a trust relationship may be
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`established between the network server 114 and the Pocket Vault 102.” MSC-
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`1005, ¶[114]; MSC-1003, ¶[58].
`
`In one example shown in FIG. 4 (reproduced below), Burger’s network
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`server may include a database 406 that stores “a real-time record of critical
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`reference data along with transaction histories … . Examples of specific items that
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`may be stored in the database 406 include: a list of current Pocket Vault holders …;
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`… a list of currently authorized or registered Pocket Vaults 102, identified by chip
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`ID and linked to the holder list; a list of currently authorized or registered tokens
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`102a, identified by chip ID and linked to the holder list; … authorized media data
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`received from media issuers that has not yet been downloaded to individual Pocket
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`Vaults 102.” MSC-1005, ¶[146], FIG. 4; MSC-1003, ¶[59].
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`
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`MSC-1005, FIG. 4.
`FIG. 27 (shown below) depicts another example implementation of a
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`network server 114 that “include[s] one or more controllers 402 and a database 406,
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`as described above in connection with FIG. 4. In addition, the network server may
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`include a communication protocol layer 2716, which provides low-level
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`communication functions to server communications software.” MSC-1005,
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`¶¶[0540], [0077], [0531], [0542]; MSC-1003, ¶[60].
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`MSC-1005, FIG. 27.
`An example method of using Burger’s Pocket Vault to perform user and
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`device authentication is shown in Burger’s FIG. 7A below. As shown, when a
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`user’s fingerprint is applied to the fingerprint scanner 220, the power manager 214
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`powers on the Pocket Vault. MSC-1005, ¶¶[178]-[181]. “[T]he fingerprint scanner
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`220 [then] scans the applied fingerprint of the Pocket Vault holder” and determines
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`whether the Pocket Vault has been validated (step 708). MSC-1005, ¶¶[181]-[182].
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`“In one embodiment, the Pocket Vault 102 is not validated until: (1) a user’s
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`fingerprints have been stored in the fingerprint memory (e.g., the write-once
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`memory 212 of FIG. 2), and (2) the Pocket Vault 102 has received and stored
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`encrypted validation information (e.g., a PKI certificate) from the network server
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`114.” MSC-1005, ¶[182]; MSC-1003, ¶[61].
`
`MSC-1005, FIG. 7A.
`“When, at the step 708, it is determined that the Pocket Vault 102 has already
`
`been validated,” at step 712 “it is determined whether Pocket Vault 102 has been
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`authenticated, e.g., whether the fingerprint scanned at the step 706 matches one of
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`
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`11
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`the fingerprints stored in the fingerprint memory 212.” MSC-1005, ¶¶[183]-[184],
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`[209]-[210]. After “it is determined that the Pocket Vault 102 has been properly
`
`authenticated,” “an encrypted message including the unique Pocket Vault chip ID is
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`transmitted to the pocket vault interface unit 302” or network server at step 713.
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`MSC-1005, ¶¶[185]-[186], [101], [114]-[116]. Subsequently, a Pocket Vault holder
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`can be granted access to the contents of his or her Pocket Vault. MSC-1005,
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`¶[187]; MSC-1003, ¶¶[62]-[63].
`
`In some embodiments, after the unique Pocket Vault chip ID is transmitted
`
`and a Chameleon Card (token) is determined to be on-board the Pocket Vault, an
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`“AUTHORIZED HOLDER” routine (step 722) is performed, as shown in FIGS.
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`7B, 10A, (reproduced below) and 11. MSC-1005, ¶¶[189]-[195]. In the
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`“AUTHORIZED HOLDER” routine, advertisements sent from an advertiser 108 to
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`the network server 104 are provided to the Pocket Vault for display. MSC-1005,
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`¶¶[236]-[238], FIG. 10A. In addition, a user can make selections to enter a wireless
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`transaction. MSC-1005, ¶¶[257]-[262], FIGS. 10A, 11; MSC-1003, ¶[64].
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`12
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`MSC-1005, FIG. 7B
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`
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`MSC-1005, FIG. 10A.
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`13
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`Burger’s Pocket Vault can be used as a “wallet replacement” to execute a
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`transaction. MSC-1005, FIGS. 19, 24, 25, ¶[93]. When a request to authorize a
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`transaction has been made, Burger’s network server implements the operations
`
`depicted in FIGS. 24 and 25 (reproduced below). MSC-1005, FIG. 19, ¶[0474];
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`MSC-1003, ¶[65].
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`MSC-1005, FIG. 19.
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`
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`14
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`Is requested
`ansaction within acceptable
`account poarometers
`
`Transmit message to
`commercial
`interface
`station/commercial card
`reader/commercial bar
`eode reader indicating
`transaction is outside of
`accepable account
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`IPR2024-01485
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`USS. Patent No. 8,886,954
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`porameters
`
`FIG. 24
`
`MSC-1005, FIG. 24.
`MSC-1005, FIG.24.
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`
`
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`15
`15
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`MSC-1005, FIG. 25.
`As shown above, in response to the request to authorize a transaction, the
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`network server determines whether the Pocket Vault is authorized. MSC-1005,
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`
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`16
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`FIGS. 24, 25; ¶¶[0511]-[513]. To determine whether the Pocket Vault is
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`authorized, it is determined (1) whether the point of sale terminal or other entity
`
`with which a transaction is being attempted is connected to a valid source, and (2)
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`whether the ID of the interface station, card reader, barcode reader or RFID
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`interrogator is valid, and is properly linked to the source to which is connected.
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`MSC-1005, FIG. 25; ¶¶[0520]-[523]. If the network server determines that there is
`
`a valid source and the ID is valid, the network server proceeds to determine
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`whether the Pocket Vault ID is valid, and upon, doing so, determines that the
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`Pocket Vault is authorized. MSC-1005, FIG. 25; ¶¶[0524]-[529], [182]; MSC-
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`1003, ¶[66].
`
`After the Pocket Vault use is authorized, “an encrypted approval message is
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`transmitted to the entity with which the transaction is being attempted (e.g., a
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`commercial interface station 104C, a card reader 106, or a barcode reader 107).”
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`MSC-1005, FIG. 24; ¶¶[0511]-[513], [0518]; MSC-1003, ¶[67].
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`Dr. Traynor’s Provided Example Use Case
`When a user is interested in using the Pocket Vault for a transaction e.g., at a
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`grocery store or retail store, the user places a finger on the Pocket Vault scanner
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`(see red annotated diamond in FIG. 7A below). MSC-1005, FIG. 7A, ¶¶[320],
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`[158], [95]. The Pocket Vault activates and then obtains a biometric scan (e.g.,
`
`fingerprint or retina scan) (see blue annotated rectangles in FIG. 7A below) of the
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`17
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`user and checks to see if a matching record is stored in the Pocket Vault memory
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`(see green annotated diamonds in FIG. 7A below). In response to determining that
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`the scanned biometric data matches the stored biometric data, the Pocket Vault
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`transmits its Pocket Vault ID to the network server (see purple annotated rectangle
`
`in FIG. 7A below). MSC-1003, ¶¶[68]-[69].
`
`MSC-1005, FIG. 7A.
`Next, the Pocket Vault holder is granted access to contents of the Pocket
`
`Vault, and if the Pocket Vault includes a token (also referred to as Chameleon
`
`
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`18
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`Card), an Authorized Holder Routine (step 722) is performed (see yellow
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`annotations in FIG. 7B below) in which a welcome screen and ads are displayed
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`and a user can select, through a displayed menu, a desire for executing a transaction
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`using the Pocket Vault (see red annotations in FIG. 10A below). See e.g., MSC-
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`1005, step 722 in FIG. 7B, step 1026 in FIG. 10A; steps 1920, 1922 in FIG. 19;
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`¶¶[320], [189], [158], [95], [96], [125], [236]-[238], [155]-[158]; MSC-1003, ¶[70].
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`MSC-1005, FIG. 7B.
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`
`