AT&T sued for $1.35 billion over tech to synchronize smart devices
Network Apps LLC says media giant's 'NumberSync' offering was stolen
NEW YORK - AT&T Inc was sued on Tuesday for at least $1.35 billion by a Seattle company that accused the telecommunications giant of stealing its patented "twinning" technology, which lets smart devices such as watches and tablets respond to calls placed to a single phone number.
Network Apps LLC said AT&T abandoned joint development and licensing agreements for its technology in 2014 after realizing it would owe a "fortune" in royalties because the market for smart devices was exploding, only to then incorporate the technology a year later in its own product, NumberSync.
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According to a complaint filed in Manhattan federal court, NumberSync uses the "same concept and architecture" with only "cosmetic changes," and its purported "inventors" were the same AT&T personnel who had worked with the plaintiffs.
Network Apps, which was once known as Mya Number, said Dallas-based AT&T has not paid the required royalties since October 2015.
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| T | AT&T INC. | 22.98 | +0.15 | +0.68% |
It is seeking at least $450 million of damages, which it wants tripled to reflect AT&T's alleged "willful and egregious infringement," plus royalties for any future infringements.
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AT&T said it will review the lawsuit and respond in court.
Network Apps' founders, John Wantz and Kyle Schei, in a joint statement, said "AT&T's decision to steal our technology" has forced them to scale back operations significantly.
"Our technology is an eloquent solution for a critical problem at a critical time in the industry," they added.
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According to AT&T's website, NumberSync lets consumers make and receive calls on smartwatches, tablets, computers andcompatible Alexa-enabled devices without having to download appsor engage in "call-forwarding acrobatics." The case is Network Apps LLC et al v AT&T Inc et al, U.S.District Court, Southern District of New York, No. 21-00718.