GeoComply and Xpoint, two of the biggest geolocation specialists, are now going to face more than the innovation-driven competition. They are going to have to settle matters as part of a legal dispute, it seems, as GeoComply has filed a complaint with the US District Court for the District of Delaware dated September 27.
The complaint alleges that Xpoint has infringed on a patent and the intellectual property owned by GeoComply. Xpoint, which is a fairly new face in the geolocation arena in the United States, has been moving quickly in the United States hoping to catch up to GeoComply which has been synonymous with the industry and the need for geolocation standards and technology in order to roll out interactive sports betting and online casino products.
Most recently, Xpoint secured two major partnerships with Sporttrade and PlayStar, but GeoComply is not simply responding to a competitor. Rather, GeoComply is out to protect what it asserts is rightfully the company’s own. In the complaint, GeoComply outright alleges that Xpoint knowingly used the company’s patent.
A segment of the complaint specifically read: "The public interest favors an injunction to protect GeoComply’s investment-based risk that resulted in the ’805 Patent and to enforce the Patent Act’s statutory right to exclude others from practicing GeoComply’s patented invention." Understandably, Xpoint has disagreed with the assessment and issued a response of its own shared with the media via email.
Xpoint said that it had become aware of a market competitor filing a complaint and referring to patent No. 9,413,805. However, the company explained that it believed the allegations were unfounded. Xpoint is not expected to give any further statements on the matter, the company informed via email and said that it will leave matters in the court’s hands. Not much else is known about the nature of the infringement and how it has impacted business.
Speaking to SBC Americas, though, GeoComply tersely explained that the company was determined to protect its intellectual property and expected other entities in the business to put a value on intellectual property. GeoComply assured that it was all for healthy competition and that it was motivated to see more companies take on the geolocation arena. However, it was determined to ensure that its intellectual property is off-limits.
The lawsuit is unlikely to make it very far, though, as the two companies will be most likely to reach an understanding and avoid the costly process of a full trial. Whether one or the other is right, only time will tell.
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