Tag Archives: cybersecurity

Symantec acquires Blue Coat, a leading IPR filer with a $289M loss

Cybersecurity firm Blue Coat Systems has decided to opt-out of an initial public offering and sell itself to software security leader Symantec for $4.65 billion. 

What has not been widely reported in the press is that Blue Coat, a relatively small cybersecurity company with a loss of $289 million in 2015, is a leading filer of United States Patent and Trademark Office Inter Partes Reviews (IPRs) that are designed to invalidate patents that are being asserted by Non-Practicing Entities (NPEs) and others.

According to patent research firm Patexia, Blue Coat is a top-ten IPR filer for 2016, along with Apple, Samsung, Microsoft and GE. The firm filed ten IPRs, a higher numbers than H-P for the period.

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“Blue Coat has been at war with Finjan,” Gaston Kroub of Markman Advisors, LLC told IP CloseUp.  “Like Blue Coat, Symantec has been fighting with Finjan too, so these IPR’s may be of value to Symantec as well.”

Top 10 IPR Petitioners_2

Finjan (FNJN) is among the leading targets for IPRs. It could be that Symantec finds Blue Coat attractive not only for its cybersecurity products, but also for its adversarial position with regard to Finjan and others which could assert their patents against it or Blue Coat.

In a 2015 verdict in Finjan Inc. v Blue Coat Systems, a jury awarded Finjan more than $39.5 million in damages, reports IP Watchdog. The lawsuit alleged that claims from a series of Finjan patents were infringed by several Blue Coat products, including Malware Analysis Appliance (MAA), Content Analysis System (CAS), and WebPulse.

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To help finance the transaction, Blue Coat’s existing majority investor, Bain Capital, will invest an additional $750 million in the deal. The private equity firm Silver Lake, which invested $500 million in Symantec in February, will invest an additional $500 million.

Bain had acquired the company for $2.4B in 2015.

According to The New York Times, “The deal will create a big provider of security products, both the traditional antivirus kind that has long been Symantec’s focus and the newer online protection services in which Blue Coat has specialized. Executives see little overlap between the two businesses.”

“With this transaction, we will have the scale, portfolio and resources necessary to usher in a new era of innovation designed to help protect large customers and individual consumers against insider threats and sophisticated cybercriminals,” Dan Schulman, Symantec’s chairman stated.

In its I.P.O. prospectus, Blue Coat said that it lost $289 million on top of the $598 million in sales for the 12-month-period that ended on April 30. That compares to a $271 million loss on top of nearly $569 million in sales for the same period a year before.

Image source: twitter.com/symantec; patexia.com

Financial patent summit to focus on IP and cybersecurity, July 20-21

Fintech, or financial technology, is a rapidly growing industry with more than $15 billion of venture capital invested to date and even more on the part of financial institutions.

An array of banks, e-commerce businesses, product developers, and software companies are vying for a leadership role in financial transactions and cybersecurity.

Those interested in IP rights in the context of authentication and transactions should consider attending the 13th annual Patents for Financial Services Summit in New York at the Sheraton Times Square, July 20-21. Many of financial services’ leading patent holders and advisers will be present.

Major Players Attending

IP executives and counsel from top banks and services providers are participating this year, including those at Visa, Time Warner, Royal Bank of Canada, Barclays, TD Bank, Morgan Stanley, JP Morgan Chase, Google, Microsoft, AST, LoT and Red Hat.

Top patenting organizations: exchanges and stocks

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Patent and IP counsel from the financial services industry and patent attorneys from leading law firms will participate in this year’s Summit, says conference producer World Congress, “to discuss recent rulings and strategies to protect patents against NPEs, successfully file patent applications post-Alice, and foster innovation.’

IP CloseUp readers who use the conference code IPCNYC can save $100 off of registration.

New for 2016:

  • Updates on the Alice decision and understand its impact on patent applications
  • Discussion about prosecuting business method patents
  • Analyze recent patent cases including, Halo Electronics, Inc. v. Pulse Electronics; Stryker Corporation v. Karl Stroz Endoscopy-America, Inc.; Media Rights Technologies, Inc. v. Capitol One Financial Corporation, et al., and more
  • Hear in-house counsel views discuss pending legislation, including The Innovation Act, The Patent Act, and The Strong Patents Act
  • Evaluate their impact on PTAB and post-grant proceedings
  • Protect patents from NPEs and understand approaches to successfully defend against trolls
  • Improve patent quality and drive innovation within your organization
  • Explore the interplay between patents and cybersecurity

extThe Summit was approved in 2015 by the New York State Continuing Legal Education Board for 12.5 CLE credit hours in the areas of Professional Practice. In 2016, World Congress are programming for and anticipate approval for 13 CLE credit hours.

The full conference agenda can be found here.

For a list of speakers, go here. This year’s location is the Sheraton Times Square on Seventh Avenue.

To register, click here.

Image source: worldcongress.com; thomsonreuters.com


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