Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 1 of 92 Page ID #:1 1 2 3 4 5 6 7 8 9 10 11 12 13 Jason S. Angell, Bar No. 221607 jangell@hopkinscarley.com Christopher A. Hohn, Bar No. 271759 chohn@hopkinscarley.com Cary Chien, Bar No. 274078 cchien@hopkinscarley.com Robert K. Jain, Bar No. 309728 rjain@hopkinscarley.com HOPKINS & CARLEY A Law Corporation The Letitia Building 70 South First Street San Jose, CA 95113-2406 mailing address: P.O. Box 1469 San Jose, CA 95109-1469 Telephone: (408) 286-9800 Facsimile: (408) 998-4790 Attorneys for Plaintiffs BROADCOM CORPORATION and AVAGO TECHNOLOGIES INTERNATIONAL SALES PTE. LIMITED. 14 UNITED STATES DISTRICT COURT 15 CENTRAL DISTRICT OF CALIFORNIA 16 SOUTHERN DIVISION 17 18 19 20 21 22 BROADCOM CORPORATION and AVAGO TECHNOLOGIES INTERNATIONAL SALES PTE. LIMITED, Plaintiffs, v. NETFLIX, INC., Defendant. 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT Case No. 8:20-cv-529 COMPLAINT FOR PATENT INFRINGEMENT DEMAND FOR JURY TRIAL Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 2 of 92 Page ID #:2 1 Plaintiffs Broadcom Corporation (“Broadcom Corp.”) and Avago 2 Technologies International Sales Pte. Limited (“Avago”) (collectively, the 3 “Broadcom Entities”) file this Complaint for Patent Infringement against Defendant 4 Netflix, Inc. (“Netflix”) and allege as follows: 5 6 1. This complaint alleges patent infringement. The Broadcom Entities 7 allege that Netflix has infringed and continues to infringe, directly and/or indirectly, 8 eight patents: U.S. Patent Nos. 7,266,079 (the “’079 Patent”); 8,259,121 (the “’121 9 Patent”); 8,959,245 (the “’245 Patent”); 8,270,992 (the “’992 Patent”); 6,341,375 10 (the “’375 Patent”); 8,572,138 (the “’138 Patent”); 6,744,387 (the “’387 Patent”); 11 6,982,663 (the “’663 Patent”); and 9,332,283 (the “’283 Patent”). Copies of these 12 patents (collectively, the “Patents-in-Suit”) are attached hereto as Exhibits A-I. 13 2. The Patents-in-Suit cover foundational technologies that are essential 14 to various aspects of Netflix’s video streaming service, and the systems that Netflix 15 uses to support this service. 16 3. Netflix directly infringes the Patents-in-Suit by making, using, offering 17 to sell, selling, and/or importing into the United States internet video streaming 18 technology, software, and services that practice the inventions claimed in the 19 Patents-in-Suit. Netflix directs and controls each relevant aspect of the accused 20 technology discussed herein, and benefits from the use of each feature that infringes 21 the Patents-in-Suit. 22 4. Netflix indirectly infringes the Patents-in-Suit by inducing its 23 consumer end-users to directly infringe these patents. For example, Netflix induces 24 infringement by providing software (e.g., the Netflix application) that, when used 25 by consumers or other content viewers to stream digital content to televisions, 26 personal computers, phones, tablets, and other devices, as directed and intended by 27 Netflix, causes those end-users to use and practice the inventions claimed in the 28 Patents-in-Suit. H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE NATURE OF THIS ACTION PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 3 of 92 Page ID #:3 1 2 5. The Broadcom Entities seek damages and other relief for Netflix’s infringement of the Patents-in-Suit. 3 PARTIES 4 6. Plaintiff Broadcom Corporation is a California corporation 5 headquartered at 1320 Ridder Park Drive, San Jose, California 95131. Broadcom 6 Corp. maintains offices within the Central District of California at 15101 Alton 7 Parkway, Irvine, California 92618. Broadcom Corp. is an indirect subsidiary of 8 Broadcom, Inc. 9 7. Plaintiff Avago Technologies International Sales Pte. Ltd. is a 10 corporation formed under the laws of Singapore with places of business at 1320 11 Ridder Park Dr., San Jose, California 95131 and 1 Yishun Avenue 7, Singapore 12 768923. Avago is also an indirect subsidiary of Broadcom, Inc. 13 8. Defendant Netflix, Inc. is a Delaware corporation that maintains its 14 principal place of business and global headquarters at 100 Winchester Circle, Los 15 Gatos, 95032. 16 9. Netflix maintains regular and established places of business in this 17 District, including an office at 5808 Sunset Blvd., Los Angeles, CA 90028, where 18 Netflix employs hundreds of people. According to Netflix’s website, the Los 19 Angeles office “is the entertainment hub for Netflix with teams such as Content, 20 Legal, Marketing & Publicity and is located on the Sunset Bronson Studio Lot 21 where a variety of Netflix content is created.” 1 22 10. Netflix may be served through its registered agent for service of 23 process in California: CT Corporation System, 818 W. Seventh St, Suite 930, Los 24 Angeles, CA 90017. 25 26 11. Netflix claims to be a global leader in streaming digital video content. Netflix streams videos of various types, such as films and television series, to over 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 1 https://jobs.netflix.com/locations/los-angeles-california 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -3- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 4 of 92 Page ID #:4 1 158 million paid members in over 190 countries. Upon information and belief, 2 Netflix designs, operates, tests, manufactures, uses, offers for sale, sells, and/or 3 imports into the United States—including into the Central District of California— 4 internet video streaming software, systems, and services that generate billions of 5 dollars of revenue for Netflix each year. 6 7 JURISDICTION AND VENUE 12. 8 under the Patent Laws of the United States, 35 U.S.C. § 1 et. seq., including 35 9 U.S.C. §§ 271, 281-285. This Court has subject matter jurisdiction over this action 10 11 pursuant to 28 U.S.C. §§ 1331 and 1338. 13. The Broadcom Entities’ claims for relief arise, at least in part, from 12 Netflix’s business contacts and other activities in the State of California and in this 13 District. Upon information and belief, Netflix has committed acts of infringement 14 within this District and the State of California by making, using, selling, offering 15 for sale, and/or importing into the United States and this District products, systems, 16 and services that infringe one or more claims of the Patents-in-Suit as set forth 17 herein. Further, Netflix induces others within this District to infringe one or more 18 claims of the Patents-in-Suit. 19 14. Venue is proper in this district and division under 28 U.S.C. §§ 20 1391(b)-(d) and 1400(b) because Netflix has committed acts of infringement in the 21 Central District of California and has a regular and established physical place of 22 business in Los Angeles, part of the Central District. Upon information and belief, 23 Netflix employs engineers and technical professionals of many disciplines at its Los 24 Angeles facility. 25 26 FACTUAL BACKGROUND 15. Henry Samueli and Henry Nicholas founded Broadcom in 1991 in Los 27 Angeles, California. Since then, Broadcom has grown to be a global technology 28 company that produces category-leading semiconductor and infrastructure software H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE The Broadcom Entities bring this civil action for patent infringement PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -4- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 5 of 92 Page ID #:5 1 solutions. Among other things, Broadcom provides one of the industry’s broadest 2 portfolios of highly integrated semiconductor chips that seamlessly deliver voice, 3 video, data, and multimedia connectivity in the home, office, and mobile 4 environments. From its headquarters in San Jose, California, Broadcom has 5 expanded its footprint across the United States and around the world, employing 6 thousands of individuals globally and in the United States. An overview of 7 Broadcom’s history can be found on its website at: 8 https://www.broadcom.com/company/about-us/company-history/. 9 Broadcom’s continued success depends in substantial part upon its 10 constant attention to research and development. Broadcom and its subsidiaries 11 spend billions of dollars on research and development for their products each year. 12 Because of this focus, Broadcom has produced a wide range of novel technologies 13 and inventions that are directed to advancements in, among other things, 14 semiconductor design and digital communications, digital content distribution, 15 enterprise and data center networking, home connectivity, set top boxes, 16 infrastructure software, and other technologies integral to business and consumer 17 settings across the United States and throughout the world. 18 17. Broadcom relies on the patent system as an important part of its 19 intellectual property program to protect the valuable technology and inventions 20 resulting from its research and development efforts. The Broadcom Entities and 21 their related entities have tens of thousands of patents in the United States and 22 abroad. 23 18. In addition to their internally developed inventions and associated 24 intellectual property, the Broadcom group of companies have acquired technology 25 and intellectual property through mergers and acquisition with other major 26 technology companies, such as the Avago family of companies, LSI, Brocade, CA, 27 Inc. (formerly known as Computer Associates International, Inc.), and Symantec’s 28 enterprise business. H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 16. PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -5- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 6 of 92 Page ID #:6 1 19. As explained in detail below, Netflix has built its familiar video 2 streaming business, in part, on the Broadcom Entities’ patented technology. Netflix 3 relies on this technology for crucial aspects of the Netflix streaming service. This 4 includes, for example, the Netflix systems used to ensure effective and reliable 5 delivery of streaming content with minimal interruptions, to ensure the efficient use 6 of Netflix server resources, and to encode Netflix streaming content in a format 7 compatible with a large percentage of the client devices (e.g., computers, smart 8 TVs) used to access the Netflix service. 9 20. In doing so, Netflix has caused, and continues to cause, substantial and 10 irreparable harm to the Broadcom Entities. For instance, the Broadcom Entities sell 11 semiconductor chips used in the set top boxes that enable traditional cable 12 television services. Upon information and belief, as a direct result of the on- 13 demand streaming services provided by Netflix, the market for traditional cable 14 services that require set top boxes has declined, and continues to decline, thereby 15 substantially reducing Broadcom’s set top box business. 16 21. For instance, it is widely reported that the rise of on-demand video 17 streaming services such as Netflix has concurrently lead to a decrease in demand 18 for traditional cable services. As an example, Variety reported in February 2019 19 that “[t]he five biggest U.S. pay-television providers saw their traditional subscriber 20 rolls shrink 4.2% in 2018, as they collectively lost around 3.2 million customers for 21 the year. That’s an acceleration from estimated sector-wide declines of 3.7% in 22 2017 and 2% in 2016.” The article attributes the loss in part to a migration of 23 customers to Netflix.2 24 25 22. Upon information and belief, Netflix could not displace traditional cable television services, or could not do so as effectively, without the use of the 26 27 2 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO https://variety.com/2019/biz/news/cord-cutting-2018-accelerate-us-pay-tvsubscribers-1203138404/ 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -6- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 7 of 92 Page ID #:7 1 Broadcom Entities’ patented technology, which—as explained above—enable 2 critical aspects of Netflix’s systems. 3 Netflix is aware of the Broadcom Entities’ patent portfolio, including 4 specifically nearly all the patents asserted in this Complaint, based on 5 communications between Netflix and the Broadcom Entities. Representatives of 6 the Broadcom Entities have repeatedly attempted to engage Netflix in licensing 7 discussions. As part of these attempts, the Broadcom Entities informed Netflix of 8 its infringement of the patents asserted in this Complaint (with the exception of the 9 ’283 Patent) on or about September 26, 2019, and the parties engaged in in-person 10 discussions on October 24, 2019. Netflix did not dispute the infringement 11 presentations Broadcom provided to Netflix, or otherwise assert that it did and does 12 not infringe the patents identified to Netflix. Unfortunately, Netflix declined to 13 agree to terms for a license for its use of the Broadcom Entities’ patents and 14 technology, and declined to present a counteroffer to license terms offered by the 15 Broadcom Entities. 16 24. Left with no other choice, the Broadcom Entities bring this action to 17 protect their rights and their investment in the research and development of novel 18 technologies. 19 FIRST CLAIM FOR RELIEF 20 (Infringement of U.S. Patent No. 7,266,079) 21 22 23 25. The Broadcom Entities reallege and incorporate by reference the allegations of paragraphs 1-24 set forth above. 26. The ʼ079 Patent, entitled “Dynamic Network Load Balancing Over 24 Heterogeneous Link Speed,” was duly and legally issued on September 4, 2007 25 from a patent application filed on July 2, 2001, with Kan Frankie Fan as the named 26 inventor. A copy of the ʼ079 Patent is attached hereto as Exhibit A. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 23. PALO AL TO 27. The ʼ079 Patent claims priority from U.S. Provisional Application No. 60/233,338, filed on September 18, 2000. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -7- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 8 of 92 Page ID #:8 1 2 28. The ʼ079 Patent was assigned to Avago, which currently holds all substantial rights, title, and interest in and to the ʼ079 Patent. 3 29. Pursuant to 35 U.S.C. § 282, the ʼ079 Patent is presumed valid. 4 30. The ʼ079 Patent is directed to an improvement in the functionality of 5 networked computer systems by “balancing data flow there through.”3 Specifically, 6 the ʼ079 Patent’s claims describe a new approach for balancing transmission unit 7 traffic over the multiple heterogeneous links that often connect computing 8 platforms in a computer network. 9 31. The ʼ079 Patent addresses a specific technical problem that arose in 10 the computer networking environment as the networks grew ever larger and more 11 complex, and as users sought to transmit ever greater volumes of data across these 12 networks. As the ʼ079 Patent states, “[t]he present invention relates to 13 communications apparatus and methods, particularly to computer networking 14 apparatus and methods, and more particularly to computer networking apparatus 15 and methods for balancing data flow there through.” 4 16 32. As the ʼ079 Patent explains, “[a] common problem in communication 17 networks is maintaining efficient utilization of network resources, particularly with 18 regard to bandwidth, so that data traffic is efficiently distributed over the available 19 links between sources and destinations.”5 “Prior art solutions include apparatus and 20 methods that balance data traffic over homogeneous (same-speed) links between 21 heterogeneous or homogeneous computing platforms (servers, clients, etc.).”6 22 However, “[i]ncreasingly, high-performance computing platforms communicate 23 with other computers, routers, switches, and the like, using multiple links which, 24 for a variety of reasons, may operate at disparate link speeds.”7 “For 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 3 4 5 6 7 ʼ079 Patent, 1:17-21. Id. Id. at 1:23-27. Id. at 1:27-30. Id. at 1:30-34. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -8- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 9 of 92 Page ID #:9 1 example…adverse network conditions may degrade the performance of one or 2 more links, effectively presenting a heterogeneous-link-speed environment to the 3 server and its link partner(s).” 8 4 33. Accordingly, a need existed for a means to “dynamically balance 5 transmission unit traffic in a heterogeneous-link-speed environment” in order to 6 improve the functionality of computer networks. 9 7 34. The ʼ079 Patent claims specific, novel ways to solve these technical 8 problems by dynamically balancing data traffic in a computer networking 9 environment with heterogeneous link speeds. The claims of the ʼ079 Patent are 10 directed to new, improved methods and apparatuses for balancing transmission unit 11 traffic over networks links. 12 35. The methods and apparatuses described in the ʼ079 Patent improve the 13 functionality of a networked computer system by balancing the data traffic among 14 network links having different speeds, capabilities, and congestion levels that 15 connect the various networked elements, thereby improving the speed and 16 efficiency of data transmission within the network. 17 36. 18 Claim 1 of the ʼ079 Patent reads as follows: 19 A method for balancing transmission until traffic over network links, comprising: 20 a. disposing transmission units into flows; 21 b. grouping flows into first flow lists, each of the first flow lists corresponding to a selected network link; 22 23 c. determining a traffic metric representative of a traffic load on the selected network link; 24 25 d. responsive to the traffic metric, regrouping flows into second flow lists corresponding to the selected 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 8 9 Id. at 1:34-40. Id. at 1:40-43. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT -9- Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 10 of 92 Page ID #:10 1 network link, the regrouping balancing the transmission unit traffic among the network links; and 2 3 e. transmitting the respective second flow list over the respective selected network link. 4 5 6 7 8 9 10 11 12 13 14 37. Netflix directly infringes the ‘079 Patent by making, using, offering to sell, and/or selling in the United States its Netflix service, which utilizes the inventions claimed in the ‘079 Patent to balance traffic over Netflix’s systems, including its content delivery network (“CDN”). 38. Netflix directly infringes at least independent claim 1 of the ʼ079 Patent at least in the exemplary manner described below. 39. Netflix utilizes the claimed “method for balancing transmission unit traffic over network links,” including, for instance, in operating its CDN, which Netflix uses to stream video content to its subscribers over the internet. The Netflix CDN is illustrated in the following diagram. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 10 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 11 of 92 Page ID #:11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 15 40. The Netflix CDN comprises hardware that Netflix builds and operates. 16 Additionally, for some aspects of its CDN, Netflix uses hardware produced and 17 maintained by third parties, including cloud computing services purchased from 18 third parties. However, all the infringing technologies discussed in this Complaint 19 are developed and controlled by Netflix, including though the use of Netflix 20 software that controls the relevant functions performed by the underlying hardware. 21 41. Notably, in apparent recognition that its cloud computing services 22 could be used by a customer to infringe any number of patents involving a 23 computer as part of a larger system or process, the AWS standard customer 24 agreement makes clear that AWS has no liability for patent infringement claims 25 arising from infringement by combinations of AWS’s services with any other 26 product, service, software, data, content or method. 10 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 10 https://aws.amazon.com/agreement/ 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 11 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 12 of 92 Page ID #:12 1 42. As part of its CDN, Netflix created, operates, uses, and maintains a 2 “global network of thousands of [Open Connect Appliances],” also known as 3 OCAs. 11 4 43. As Netflix explains, “[t]he building blocks of Open Connect are our 5 suite of purpose-built server appliances, called Open Connect Appliances (OCAs). 6 These appliances store and serve our video content, with the sole responsibility of 7 delivering playable bits to client devices as fast as possible.” 12 8 9 44. Within the CDN, Netflix stores the TV programs and movies that it offers as a series of files. Netflix’s customers access Netflix’s video content 10 through different types of client devices, including digital televisions, desktop 11 computers, laptop computers, tablet computers, and mobile phones. These client 12 devices are produced by many different manufacturers. Each device has certain 13 capabilities and features that require media to be delivered in a specific form or 14 format. In many cases, the media format used by one device cannot be used by 15 another. Thus, Netflix must make its content available to its users in many different 16 formats. 17 45. 18 In Netflix’s words: Every title is encoded in multiple formats, or encoding profiles. For example, some profiles may be used by iOS devices and others for a certain class of Smart TVs. There are video profiles, audio profiles, and profiles that contain subtitles. Each audio and video profile is encoded into different levels of quality. For a given title, the higher the number of bits used to encode a second of content (bps), the higher the quality….Finally, we have audio profiles and subtitles available in multiple languages. So for each quadruple of (title, encoding profile, bitrate, language), we need to cache one or more files. As an example, for streaming one episode of The Crown we store around 1,200 files!”13 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 11 12 13 https://openconnect.netflix.com/Open-Connect-Overview.pdf Id. https://medium.com/netflix-techblog/content-popularity-for-open-connectb86d56f613b 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 12 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 13 of 92 Page ID #:13 1 2 3 4 5 6 7 8 9 Source: https://medium.com/netflix-techblog/content-popularity-for-open- 10 connect-b86d56f613b 11 12 46. called segments.” 14 13 14 15 16 17 18 19 Netflix divides these various content files “into 2 second intervals 47. When a Netflix subscriber initiates a playback session by selecting a movie or TV show and pressing “play,” the Netflix system “determine[s] which specific files are required to handle the playback request—taking individual client characteristics and current network conditions into account.” The Netflix system “pick[s] OCAs that the requested files should be served from [and] generates URLs for these OCAs…” The Netflix system then “hand[s] over URLs of the appropriate OCAs to the client device, and the OCA begins to serve the requested files.” 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 14 https://cs.uwaterloo.ca/~brecht/papers/iiswc-netflix-wload-2016.pdf 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 13 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 14 of 92 Page ID #:14 1 2 3 4 5 6 7 8 9 10 11 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 12 48. Additionally, when a Netflix subscriber initiates a playback session, 13 the Netflix system provides the “offsets of all segments.”15 The client device, 14 under the control of the Netflix application running on it, then “downloads segment 15 offsets and content from multiple content files with different bit rates, then selects a 16 starting bitrate that can be supported by available network bandwidth.”16 The client 17 device “continue[s] to download segments sequentially from the same file unless 18 network or server conditions change (which may result in switching to a different 19 bit rate) or a user event occurs (e.g., stopping or skipping to a new title position).”17 20 Thus, and as described further below, Netflix performs a “method for balancing 21 transmission unit traffic over network links.” 22 49. The Netflix CDN also “dispos[es]” the “transmission units into flows.” 23 For example, each of the above-described “segments” of a given content file 24 constitutes a “transmission unit.” The Netflix system “disposes” these segments 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 15 16 17 https://cs.uwaterloo.ca/~brecht/papers/iiswc-netflix-wload-2016.pdf Id. Id. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 14 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 15 of 92 Page ID #:15 1 “into flows” by causing the transmission of a series of segments of various content 2 files—each a “flow”—to each of its many subscribers during the playback process. 3 50. Upon information and belief, the Netflix system also “group[s] flows 4 into first flow lists,” each of which “correspond[] to a selected network link.” For 5 example, each of the OCAs, and each of the file locations specified by a URL 6 within each OCA, constitutes a “network link.” As explained above, Netflix 7 “group[s] flows into first flow lists” by picking the OCAs, and the specific files 8 thereon, that are used to serve a subscriber’s playback request for each of the 9 thousands, or even millions, of subscribers streaming video content from Netflix at 10 any given moment. 11 12 51. On information and belief, the Netflix system “determin[es] a traffic metric representative of a traffic load on the selected network link.” 13 52. For example, during the playback process, which is controlled by 14 Netflix software, the client device “intelligently selects which OCA to use.”18 “It 15 does this by testing the quality of the network connection to each OCA. It will 16 connect to the fastest, most reliable OCA first.”19 “The client keeps running these 17 tests throughout the video streaming process. The client probes to figure out the 18 best way to receive content from the OCA.” 20 Thus, through the playback process, 19 the Netflix system “determin[es] a traffic metric representative of a traffic load on 20 the selected network link.” 21 53. Upon information and belief, “responsive to the traffic metric,” the 22 Netflix system “regroup[s] flows into second flow lists corresponding to the 23 selected network link.” For example, over the course of the playback session, the 24 Netflix system redirects flows of content to different OCAs and to different URLs 25 on the same OCA (i.e., different “network links”), thereby regrouping the original 26 18 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO http://highscalability.com/blog/2017/12/11/netflix-what-happens-when-youpress-play.html 19 Id. 20 Id. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 15 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 16 of 92 Page ID #:16 1 set of flows from a given OCA or URL to various Netflix subscribers to a second 2 flow list corresponding to a different OCA or URL. 3 54. The “regrouping balanc[es] the transmission unit traffic upon the 4 network links.” This element is illustrated, for example, by Figure 6B of the ʼ079 5 Patent. 6 7 8 9 10 11 12 13 14 Source: ʼ079 Patent Specification, Fig. 6B. 15 55. 16 17 For instance, the Netflix system moves flows of content files from one OCA or URL to another less congested or otherwise more favorable OCA or URL. 56. Finally, the Netflix system “transmit[s] the respective second flow list 18 over the respective selected network link.” For instance, after the Netflix system 19 transitions a flow of a particular content files to a new OCA or URL, it continues to 20 transmit all the flows then associated with the new OCA or URL (i.e., the “second 21 flow list”) to the many Netflix subscribers who are streaming from that OCA or 22 URL at that moment. 23 57. At least as of on or around September 26, 2019, when the Broadcom 24 Entities informed Netflix of its infringement of the ’079 Patent, and by no later than 25 the filing and service of this Complaint, Netflix has had knowledge of the ’079 26 Patent and Netflix’s infringement thereof. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 16 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 17 of 92 Page ID #:17 1 Netflix also has induced, and continues to induce, direct infringement 2 by third-parties of at least claim 1 of the ’079 Patent, at least in the exemplary 3 manner described above, by actively encouraging their use of the Netflix system, in 4 violation 35 U.S.C. § 271(b). 5 59. For example, Netflix has induced, and continues to induce, direct 6 infringement of the ’079 Patent by customers and/or end users of client devices 7 enabled with the Netflix software application and service. In light of the notice the 8 Broadcom Entities provided to Netflix of its infringement of the ’079 Patent, 9 Netflix knows that it provides and specifically intends to provide an application for 10 use on client devices that, when used as intended with the Netflix streaming service, 11 meets the limitations of claim 1 of the ’079 Patent. Netflix knows and specifically 12 intends that its end users practice the method recited in claim 1 of the ’079 Patent, 13 when using its application and service as intended. 14 60. Netflix’s knowing and willful infringement of the ʼ079 Patent has 15 caused and continues to cause damage to Avago, and Avago is entitled to recover 16 damages sustained as a result of Netflix’s wrongful acts in an amount subject to 17 proof at trial. 18 SECOND CLAIM FOR RELIEF 19 (Infringement of U.S. Patent No. 8,259,121) 20 21 22 61. The Broadcom Entities reallege and incorporate by reference the allegations of paragraphs 1-60 set forth above. 62. The ʼ121 Patent, entitled “System and Method for Processing Data 23 Using a Network,” was duly and legally issued on September 4, 2012 from a patent 24 application filed on December 9, 2002, with Patrick Law, Darren Neuman, and 25 David Baer as the named inventors. A copy of the ʼ121 Patent is attached hereto as 26 Exhibit B. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 58. PALO AL TO 63. The ʼ121 Patent claims priority from U.S. Provisional Application No. 60/420,151, filed on December 9, 2002. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 17 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 18 of 92 Page ID #:18 1 2 64. substantial rights, title, and interest in and to the ʼ121 Patent. 3 65. Pursuant to 35 U.S.C. § 282, the ʼ121 Patent is presumed valid. 4 66. The claims in the ʼ121 Patent are directed to an improved network for 5 processing audio and visual (“A/V”) data. Specifically, the inventions described in 6 the ‘121 Patent “relate[] to a network environment in an A/V system using ‘A/V 7 decoders,’ where the A/V decoders are adapted to process, decode or decompress 8 one or more input data streams.” 21 9 67. The ʼ121 Patent addresses a technical problem in a network processing 10 A/V data. The patent explains that, at the time, there was “no known 11 methodological way to connect video processing modules in A/V systems” and that 12 “[m]ost video processing modules are connected together in an ad hoc manner.” 22 13 “As a result, such ad-hoc designs may become difficult to verify, maintain and 14 reuse. Furthermore, as more features are added to the A/V systems…it becomes 15 more difficult to design and integrate such features properly.” 23 Thus, there was “a 16 need for an architecture or network that provides a general model illustrating how 17 various video processing modules behave in a network environment.” 24 18 68. The ʼ121 Patent describes and claims solutions to these technical 19 problems, including specific, novel networks with various features for processing 20 A/V data. 21 69. The inventions described and claimed in the ʼ121 Patent have 22 applications both in the context of the ecosystem within a computer or device, and 23 in more complex computer networking environments. Indeed, as the patent 24 explains, “[m]any modifications and variations of the present invention are possible 25 in light of the above teachings. Thus, it is to be understood that, within the scope of 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE The ʼ121 Patent is assigned to Avago, which currently holds all PALO AL TO 21 22 23 24 ʼ121 Patent, 1:42-45. Id. at 1:48-51. Id. at 1:51-55. Id. at 1:66-2:1. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 18 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 19 of 92 Page ID #:19 1 the appended claims, the invention may be practiced otherwise than as described 2 hereinabove.”25 3 70. The systems and methods described in the ’121 Patent improve the 4 functionality of computer networks used for processing A/V data by providing a 5 new, advantageous approach for those networks. 6 71. 7 Claim 1 of the ‘121 Patent is directed to: A network for processing data configured by a controller to form at least one display pipeline therein by dynamically selecting use of at least two selectable nodes from a plurality of selectable nodes and dynamically concatenating the selected at least two selectable nodes in the network together, wherein said at least one display pipeline has an independent data rate and a flow control module enables said independent data rate. 8 9 10 11 12 72. Netflix directly infringes the ’121 Patent by making, using, offering to 13 sell, and/or selling in the United States its Netflix service, which utilizes Netflix’s 14 CDN to process audio and visual data in a manner that uses the inventions claimed 15 in the ʼ121 Patent. 16 73. Upon information and belief, Netflix directly infringes at least 17 independent claim 1 of the ’121 Patent at least in the exemplary manner described 18 below. 19 74. Netflix created, operates, and maintains a “network for processing 20 data,” namely, the CDN that Netflix uses to stream TV shows and movies to its 21 subscribers over the internet, as illustrated in the following diagram from Netflix’s 22 website. 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 25 Id. at 16:26-30. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 19 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 20 of 92 Page ID #:20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 75. As shown in this diagram, the Netflix CDN consists of three primary groups of systems: (1) the client devices (e.g., smart TVs, computers, mobile phones, etc.) that subscribers use to access the Netflix service with the help software applications that were developed, or partially developed, by Netflix; (2) the Netflix “backend” (referred to in the diagram as “Netflix in AWS”), which receives and processes requests for video content from subscribers; and (3) a network of OCAs, which deliver the video content to the client devices. 76. The CDN is “configured by a controller.” For example, when a Netflix user requests playback of a particular title (e.g., a film or television program) using a client device, various computing resources in the Netflix backend, which are controlled by Netflix and run Netflix applications: (1) receive the request; (2) determine which specific streaming assets are required to handle the request, taking individual client characteristics and current network conditions into account; (3) pick OCAs from which the requested streaming assets should be 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 20 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 21 of 92 Page ID #:21 1 streamed; and (4) provide a manifest file to the client device containing URLs that 2 specify the OCAs and files needed for the playback process. Thus, Netflix 3 “controls” the path of the delivery of video content through the network to the 4 Netflix subscribers. 5 6 7 8 9 10 11 12 13 14 15 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 16 77. Through this process, Netflix’s content delivery network forms “at 17 least one display pipeline therein.” For example, the CDN establishes a link 18 between the client device and one or more Netflix OCAs through which the various 19 video, audio, and other files associated with the requested title are streamed. 20 21 22 23 24 25 26 27 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 21 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 22 of 92 Page ID #:22 1 78. The “at least one display pipeline” within Netflix’s content delivery 2 network is formed “by dynamically selecting use of at least two selectable nodes 3 from a plurality of selectable nodes.” For instance, the content delivery network 4 forms display pipelines between the millions of client devices streaming content 5 from Netflix all over the world (“nodes”) and the numerous OCAs and other servers 6 that Netflix uses to stream its content (also “nodes”). 7 8 79. The OCAs periodically receive new content files—which constitute video and other A/V data—from Netflix’s backend systems and from other OCAs. 9 10 11 12 13 14 15 16 17 18 19 20 21 Source: https://medium.com/netflix-techblog/netflix-and-fill-c43a32b490c0. 22 The above image, generated by Netflix, shows that the Netflix local OCAs are 23 supplied with content by Netflix’s more remotely-located repository of content 24 titles, which creates and stores copies of content that has been transcoded into 25 various formats, as discussed above. 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 22 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 23 of 92 Page ID #:23 1 80. Upon receiving a request for content from a client device, the OCA 2 identifies and sends the specific files requested, filtering out the requested data from 3 the numerous content files contained on the OCA. 4 81. Netflix’s selection of nodes is “dynamic.” For example, Netflix’s 5 “control plane services in AWS take the data that the OCAs report and use it to 6 steer clients via URL to the most optimal OCAs given their file availability, health, 7 and network proximity to the client.” 26 8 9 82. As another example of Netflix’s “dynamic” selection of nodes, the Netflix system switches between content files and OCAs during the playback 10 process in order to automatically adapt to network conditions and user behavior. 11 This “dynamic” selection is illustrated, for instance, in Figure 1 of Characterizing 12 the Workload of a Netflix Streaming Video Server, a technical paper published in 13 2016 by the Institute of Electrical and Electronics Engineers (“IEEE”). The portion 14 of this figure within the green box shows, for example, how the Netflix system 15 switches between different video quality levels, or bit rates (shown on the vertical 16 axis), over the course of a Netflix content streaming session (i.e., a Netflix user 17 watching a movie or television program). The horizontal axis shows the elapsed 18 time (in minutes) of that streaming session: 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 26 https://openconnect.netflix.com/Open-Connect-Overview.pdf. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 23 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 24 of 92 Page ID #:24 1 2 3 4 5 6 7 8 9 10 11 12 Source: https://cs.uwaterloo.ca/~brecht/papers/iiswc-netflix-wload-2016.pdf 13 14 83. The “dynamic” selection has also been described by other third parties 15 that have analyzed the Netflix system, further illustrating how the Netflix 16 application on the client device—which Netflix controls—automatically switches 17 between URLs for video files and OCAs over the course of the streaming session: 18 19 20 21 22 23 24 25 Source: http://highscalability.com/blog/2017/12/11/netflix-what-happenswhen-you-press-play.html 84. Thus, the “selection” of the “nodes” is “dynamic” because the node 26 selection can be performed instantaneously, upon the occurrence of network events, 27 and in response to changing network conditions. 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 24 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 25 of 92 Page ID #:25 1 85. The Netflix CDN “dynamically concatenate[s] the selected at least two 2 selectable nodes in the network together.” The selectable nodes are “concatenated” 3 when a connection is established between them. For example, as explained above, 4 the network establishes a connection between the client device and the best suited 5 OCA through which the client device, using instructions provided by Netflix, 6 “requests files from the OCA” and the “OCA serves files to the Client Device.” 7 8 9 10 11 12 13 14 15 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 16 86. As another example of the dynamic nature of the concatenation, the 17 client devices within Netflix’s CDN continue to “adapt to the quality of the 18 network…If the network quality declines, the client lowers video quality to match. 19 The client will switch to another OCA when the quality declines too much.” 27 87. 20 The “display pipeline” within the Netflix CDN “has an independent 21 data rate.” For example, on information and belief, the data rate of the transmission 22 of streaming content between the OCA and a given client device within the Netflix 23 system varies from and is not dependent upon the data rate of the transmission of 24 streaming content to the other client devices on the system. 88. 25 26 The Netflix CDN includes a “flow control module” that “enables said independent data rate.” For instance, the Netflix client serves as a “flow control 27 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO http://highscalability.com/blog/2017/12/11/netflix-what-happens-when-youpress-play.html 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 25 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 26 of 92 Page ID #:26 1 module” by “pacing” the transmission of the streaming content from the Netflix 2 OCA. As illustrated below, the client device—under the control of the Netflix 3 application operating thereon—controls the pace at which it downloads content 4 files from Netflix to address network issues and user events, including by varying 5 the bit rate of the streaming video content. 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Source: https://cs.uwaterloo.ca/~brecht/papers/iiswc-netflix-wload-2016.pdf 24 89. 25 functionality of the client devices used by subscribers to access the Netflix service. 26 As an example, for many client devices, Netflix develops the software applications 27 used to access the Netflix service. Even in client devices for which Netflix does not 28 develop the application, it “still has control because it controls the software H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE Upon information and belief, Netflix controls the playback PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 26 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 27 of 92 Page ID #:27 1 development kit (SDK).” The SDK “is a set of software development tools that 2 allows the creation of applications. Every Netflix app…plays video using the 3 SDK.” “By controlling the SDK, Netflix can adapt consistently and transparently 4 to slow networks, failed OCAs, and any other problems that may arise.”28 5 90. In Netflix’s words , “[t]he SDK provides a rendering engine, 6 JavaScript runtime, networking, security, video playback, and other platform 7 hooks.” 8 9 10 11 Source: https://medium.com/netflix-techblog/building-the-new-netflix- 12 experience-for-tv-920d71d875de 13 91. At least as of on or around September 26, 2019, when the Broadcom 14 Entities informed Netflix of its infringement of the ’121 Patent, and by no later than 15 the date of this Complaint, Netflix has had knowledge of the ’121 Patent and that its 16 video streaming service infringes the ’121 Patent. 17 92. In addition to direct infringement, Netflix indirectly infringes the ʼ121 18 Patent in violation of 35 U.S.C. 271(b) by inducing third-parties to directly infringe 19 at least claim 1 of the ’121 Patent, at least in the exemplary manner described 20 above. Netflix has induced, and continues to induce, direct infringement of the 21 ’121 Patent by customers and/or end users of infringing client devices enabled with 22 the Netflix software application and service. Netflix knows that it provides and 23 specifically intends to provide an application for use on client devices that, when 24 used as intended with the Netflix streaming service, meets the limitations of claim 1 25 of the ’121 Patent. Netflix knows and specifically intends that its customers and 26 end users practice the system recited in claim 1 of the ’121 Patent, when using its 27 28 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO http://highscalability.com/blog/2017/12/11/netflix-what-happens-when-youpress-play.html 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 27 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 28 of 92 Page ID #:28 1 application and service as intended. As explained above, the relevant aspects of 2 that use, including the “playback” process for streaming content, are controlled by 3 Netflix software on the client devices, along with other Netflix systems. 4 93. Netflix’s knowing and willful infringement of the ʼ121 Patent has 5 caused and continues to cause damage to Avago. Avago is entitled to recover 6 damages sustained as a result of Netflix’s wrongful acts in an amount subject to 7 proof at trial. 8 THIRD CLAIM FOR RELIEF 9 (Infringement of U.S. Patent No. 8,959,245) 10 11 94. The Broadcom Entities reallege and incorporate by reference the allegations of paragraphs 1-93 set forth above. 12 95. The ’245 Patent, entitled “Multiple Pathway Session Setup to Support 13 QoS Services” was duly and legally issued on February 17, 2015, from a patent 14 application filed on November 25, 2008, with Jeyhan Karaoguz and James Bennett 15 as the named inventors. A copy of the ʼ245 Patent is attached hereto as Exhibit C. 16 17 96. The ʼ245 Patent is assigned to Avago, which currently holds all substantial rights, title, and interest in and to the ʼ245 Patent. 18 97. Pursuant to 35 U.S.C. § 282, the ʼ245 Patent is presumed valid. 19 98. The ’245 Patent is directed to an improvement in the functionality of a 20 communication network, such as the internet. 21 99. Specifically, the ’245 Patent’s claims are directed to a novel system 22 and method for delivering content to a user through a communication network, in 23 which a network management server determines multiple routes for delivering the 24 content based on a provisioning profile for the user device.29 25 26 100. The inventions of the ’245 Patent resolve technical problems related to delivering content through the then-existing internet network architecture. At the 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 29 ’245 Patent, Abstract, 1:44-51, 2:13-40. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 28 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 29 of 92 Page ID #:29 1 time, the internet was becoming increasingly important as a commercial 2 infrastructure and there was a growing need for “massive internet based services,” 3 such as voice over internet protocol (“VoIP”), video-conferencing, and video 4 streaming. Much of the then-current internet architecture was based on the “best 5 effort” model. This architecture attempts to deliver all data traffic “as soon as 6 possible within the limits of its abilities.” However, the data packets being 7 transferred “can be dropped indiscriminately” in the event of network congestion. 8 While this approach worked well for some less time-sensitive applications, such as 9 email and FTP data transfer, it did not work as well for real-time multimedia 10 applications, such as streaming video on demand. 30 11 101. In light of the growing use of high-bandwidth, time-sensitive 12 applications, there was a need for technologies to improve the quality of service 13 (“QoS”) of data transmissions over communication networks like the internet. 14 102. The inventions described in the ’245 Patent address technical problems 15 associated with the conventional systems and methods for delivering high-quality 16 video, and other data, including by utilizing multiple routes among the available 17 routes in the communication network, thereby increasing the reliability of the data 18 transmission.31 19 103. The ’245 Patent describes and claims specific ways to implement this 20 solution using a network management server capable of determining multiple routes 21 for delivering the data content based on a “provisioning profile,” thereby better 22 ensuring delivery of content over the communication network. The ’245 Patent 23 explains how the provisioning profile may contain information relevant to the 24 delivery of the content, such as preferred service types, desired quality of service, 25 client account information, and/or client credit information.32 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 30 31 32 Id. at 1:19-40. See id. at 2:29-32, 2:41-45. Id. at 2:29-32. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 29 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 30 of 92 Page ID #:30 1 104. As the ’245 Patent explains, different sets of packets associated with 2 the data content may be transmitted over different routes amongst the multiple 3 available routes to, for instance, take advantage of paths that have less usage and 4 increase reliability. The network management server can manage and prioritize this 5 allocation of routes, which may involve the use of a primary route and/or one or 6 more secondary routes. The network management server can also enable a 7 “handoff” between the routes, such as when QoS degrades on the primary route. 8 The handoff can be seamless to the user, ensuring an uninterrupted user 9 experience. 33 10 105. The systems and methods described and claimed in the ’245 Patent 11 improve the functionality of a computer network by providing a new, advantageous 12 approach for delivering content through the network that enables higher QoS 13 standards, such as those required for video-on-demand applications. 14 106. Claim 1 of the ’245 Patent is directed to: 15 1. A method for communication, the method comprising: 16 receiving from a user device, by a network management server via a communication network, a request for a service; 17 18 determining multiple routes for delivering content associated with said requested service based on a provisioning profile for said user device; 19 20 22 and delivering said content associated with said requested service via said determined multiple routes. 23 107. Claim 1 thus claims a novel solution for transmitting digital media 21 24 content over a communication network via multiple routes, using a network 25 management server and a provisioning profile. This solution was not well- 26 understood, routine, or conventional at the time of the ’245 Patent because it claims 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 33 Id. at 2:41-61. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 30 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 31 of 92 Page ID #:31 1 a new and specific improvement over the prior art. The inventions claimed in the 2 ’245 Patent comprise a novel arrangement of streaming content equipment that 3 results in a better experience for the content user with fewer interruptions. 4 108. Claim 3 of the ’245 Patent, which depends from claim 1, is directed to: 5 3. The method according to claim 1, wherein said provisioning profile comprises preferred service types, desired QoS for one or more services, client account information, and/or client credit verification information. 6 7 8 9 10 109. Claim 6 of the ’245 Patent, which also depends from claim 1, is directed to: 6. The method according to claim 1, comprising allocating via said network management server, one or more of said determined multiple routes based on priority. 11 12 13 14 whereby a network management server determines multiple routes for delivering 15 content based on a provisioning profile in response to receiving a request for 16 service from a user device, and then delivers that content via multiple routes based 17 on priority. The ordered combination of elements in each of claims 3 and 6, in 18 conjunction with the elements of the claims from which they depend, therefore 19 recite unconventional, new, and improved digital media content delivery methods 20 that were not well-understood at the time of the ’245 Patent. 21 111. Netflix directly infringes the ’245 Patent by making, using, offering to 22 sell, and/or selling into the United States its Netflix service, which utilizes a 23 playback system that practices the inventions claimed in the ’245 Patent. 24 112. Upon information and belief, Netflix directly infringes at least claims 25 1, 3, and 6 of the ’245 Patent, at least in the exemplary manner described below. 26 113. Netflix practices a “method for communication” that involves 27 “receiving from a user device, by a network management server via a 28 communication network, a request for a service.” For example, when a Netflix user H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 110. Thus, claims 3 and 6 further describe the invention’s improved method PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 31 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 32 of 92 Page ID #:32 1 uses the Netflix application on their TV, computer, smartphone, or other client 2 device to view a movie or television program, the Netflix application sends a “play” 3 request to Netflix’s backend systems. This represents a “request for service” from a 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 “user device.” The Netflix backend systems then determine, using Netflixdeveloped solutions, the optimal manner in which to deliver the requested content. Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 20 114. On information and belief, Netflix controls the playback process from 21 the client side as well. For example, as explained above, Netflix develops many of 22 the Netflix applications used by client devices to access the Netflix service, 23 including the applications for Android and iOS devices. As for the client devices 24 for which Netflix does not develop the application itself, it provides the software 25 development kit, or SDK, used to create the Netflix application. On information 26 and belief, the SDK includes the code responsible for the playback process. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 32 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 33 of 92 Page ID #:33 1 2 115. Netflix’s control of the playback process at the client side is confirmed by third party sources: 3 4 5 6 7 8 9 10 11 12 Source: http://highscalability.com/blog/2017/12/11/netflix-what-happens- 13 when-you-press-play.html 14 116. The request for service from the Netflix user’s client device is received 15 “by a network management server via a communication network.” For example, as 16 shown below, the playback request is received by the Playback Apps service within 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 33 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 34 of 92 Page ID #:34 1 the Netflix backend, which, on information and belief, operates on one or more 2 servers. 3 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 4 117. The Netflix system also “determin[es] multiple routes for delivering 5 content associated with said requested service based on a provisioning profile for 6 said user device.” For instance, upon receiving a playback request for a specific 7 title from a Netflix user, the Netflix backend systems determine the video, audio, 8 and other files needed for playback and pick the OCAs from which these files 9 should be streamed to the client device. It then generates a manifest file containing 10 the URLs for the files and OCAs, which the Netflix system sends to the client 11 device. 12 118. As Netflix explains: 13 14 15 16 17 18 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 19 119. Through this process, the Netflix system will select as many as ten 20 different OCAs from which the requested content may be streamed: 21 22 23 24 Source: http://highscalability.com/blog/2017/12/11/netflix-what-happens- 25 when-you-press-play.html 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 34 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 35 of 92 Page ID #:35 1 2 3 4 5 6 7 Source: Screenshot from Netflix Application 8 120. On information and belief, Netflix bases its selection of OCAs and 9 URLs, at least in part, on a “provisioning profile” for the user device used to access 10 the Netflix service. For instance, upon receiving a playback request for a specific 11 title, the Netflix system “checks user authentication and licensing” and takes 12 “individual client characteristics into account” in selecting the “specific streaming 13 assets” required to handle the playback request and the OCAs from which they 14 should be streamed. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 121. As further explained in a study published by the IEEE, the client device—under the control of the Netflix application—“indicates the formats of the content it can play. Netflix server then sends back a manifest file based upon the client request. For instance, Netflix client running on an older computer (Thinkpad T60 with Windows XP) and a newer computer (MacBook with Snow Leopard) 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 35 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 36 of 92 Page ID #:36 1 have different capabilities and received different video downloading format and bit 2 rates.”34 3 122. The Netflix system “deliver[s] said content associated with said 4 requested service via said determined multiple routes.” For example, the Netflix 5 service connects to one or more of the numerous OCAs within Netflix’s CDN and 6 streams video, audio, and other content to the user’s computer. 7 8 9 10 11 12 13 14 15 16 17 18 19 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 20 21 22 23 24 123. In doing so, the Netflix application on the client device intelligently selects which of the specific OCAs identified by Netflix to use by evaluating various factors, including the quality of the network connection to each OCA. The client device connects to the fastest, most reliable OCA first, but will switch to another OCA if the video quality declines too much. 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 34 https://www.moritzsteiner.de/papers/netflix-hulu.pdf 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 36 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 37 of 92 Page ID #:37 1 2 3 4 5 6 7 8 9 Source: http://highscalability.com/blog/2017/12/11/netflix-what-happens- 10 when-you-press-play.html; https://openconnect.netflix.com/Open-Connect- 11 Overview.pdf 12 124. With regard to claim 3 of the ’245 Patent, the Netflix system utilizes a 13 “provisioning profile” comprising “preferred service types, desired QoS for one or 14 more services, client account information, and/or client credit verification 15 information.” For example, the Netflix system maintains account information for 16 its users. This includes, amongst other thing, preferred playback settings, plan 17 details (e.g., standard or HD), user profile information, parental control 18 information, and credit card payment and billing information. On information and 19 belief, some or all of this account information is used by the Netflix system in 20 selecting the content files and OCAs for use in delivering the title selected by the 21 Netflix user. 22 125. With regard to claim 6, the Netflix system also allocates multiple 23 routes for delivering the streamed content “based on priority.” For instance, on 24 information and belief, the list of OCAs that Netflix provides to the client device 25 via the manifest file at the start of the playback session is ranked according to 26 priority rules established by Netflix.35 27 35 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO See, e.g., http://oc.nflxvideo.net/docs/OpenConnect-Deployment-Guide.pdf; https://www.moritzsteiner.de/papers/netflix-hulu.pdf 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 37 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 38 of 92 Page ID #:38 1 2 3 of the ’245 Patent. 127. At least as of on or around September 26, 2019, when the Broadcom 4 Entities informed Netflix of its infringement of the ’245 Patent, and by no later than 5 the date of this Complaint, Netflix has had knowledge of the ’245 Patent and its 6 infringement thereof. 7 128. In addition to direct infringement, Netflix has induced, and continues 8 to induce, direct infringement by third-parties of at least claims 1, 3, and 6 of the 9 ’245 Patent, at least in the exemplary manner described above, by actively 10 encouraging their use of the Netflix system, in violation 35 U.S.C. § 271(b). 11 Netflix has induced, and continues to induce, direct infringement of the ’245 Patent 12 by customers and/or end users of playback devices enabled with the Netflix 13 software application and service. Netflix knows that it provides and specifically 14 intends to provide an application for use on playback devices that, when used as 15 intended with the Netflix streaming service, meets the limitations of claims 1, 3, 16 and 6 of the ’245 Patent. Netflix knows and specifically intends that its end users 17 practice the method recited in claims 1, 3, and 6 of the ’245 Patent, when using its 18 application and service as intended. 19 129. Netflix’s knowing and willful infringement has caused and continues 20 to cause damage to Avago, and Avago is entitled to recover damages sustained as a 21 result of Netflix’s wrongful acts in an amount subject to proof at trial. 22 FOURTH CLAIM FOR RELIEF 23 (Infringement of U.S. Patent No. 8,270,992) 24 130. The Broadcom Entities reallege and incorporate by reference the 25 allegations of paragraphs 1-129 set forth above. 26 131. The ’992 Patent, entitled “Automatic Quality of Service Based 27 Resource Allocation,” was duly and legally issued on September 18, 2012, from a 28 patent application filed on July 18, 2011, with Jeyhan Karaoguz and James D. H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 126. As alleged above, Netflix directly infringes at least claims 1, 3, and 6 PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 38 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 39 of 92 Page ID #:39 1 Bennett as the named inventors. The ’992 Patent claims priority to U.S. Provisional 2 Application No. 60/504,876, filed on September 22, 2003. A copy of the ʼ992 3 Patent is attached hereto as Exhibit D. 132. The ʼ992 Patent is assigned to Avago, which holds all substantial 4 5 rights, title, and interest in and to and ʼ992 Patent. 6 133. Pursuant to 35 U.S.C. § 282, the ʼ992 Patent is presumed valid. 7 134. The ’992 Patent is directed to an improvement in the functionality of a 8 communication network used to provide a digital media service, such as video 9 streaming over the internet. 10 135. Specifically, the ’992 Patent describes and claims a new system and 11 method for delivering digital media service to users in a dynamic communication 12 network. The invention allocates and utilizes resources from other systems on the 13 network in order to provide the user with the digital media service at a higher 14 quality level than the quality level they are currently experiencing. As explained in 15 the specification, the resource allocation and utilization can be determined by 16 quality control modules and communication modules. These modules 17 communicate various capability information about the network, such as processing 18 capability, communication capability, and information access capability. The 19 quality control modules can determine whether utilizing resources of another 20 system will provide the service to the user at a higher quality level. If it so 21 determines, a distributing processing module can manage the resource allocation.36 22 136. The inventions of the ’992 Patent address technical problems related to 23 delivering content over unstable network environments, an issue with prior art 24 system existing at the time. In a dynamic and unstable network environment, 25 processing resources continuously toggle between available and unavailable. These 26 processing resources may offer service capabilities that are superior or inferior to 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 36 See ’992 Patent, 2:8-32. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 39 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 40 of 92 Page ID #:40 1 other resources present in the network. For example, a system providing low 2 quality audio or video service may communicate with a second system capable of 3 providing a higher quality audio or video service.37 4 137. The first system providing the lower quality service needs a way of 5 both accessing the system with superior resources, utilizing those resources, and 6 ultimately delivering content from the superior resource in order to provide higher 7 quality content to the user. 8 138. The ’992 Patent, therefore, addresses the technical problem of ensuring 9 delivery of content at the highest quality level in an unstable network environment 10 by utilizing a quality-of-service based network resource allocation delivery system. 11 139. The ’992 Patent claims specific ways to solve these technical problems 12 with a digital media delivery system that is capable of automatically determining 13 bandwidth capability information in multiple systems, using that information to 14 obtain digital media content at a higher quality level than the current quality, and 15 then delivering that higher quality digital media content to the user. 38 In this 16 manner, it improves the functionality of computer networks used to deliver media 17 content by providing a new, advantageous approach for those networks. 18 140. The digital media delivery system disclosed and claimed in the ’992 19 Patent uses novel quality control modules, resource allocation modules, and 20 distributing processing modules to assess, manage, and use resources in a network 21 environment where the availability of resources may vary between systems in the 22 network. 23 141. In a two-system network environment, for example, if it is determined 24 that the second system has access to higher quality audio or video content than the 25 first system, then the first system may receive higher quality data from the second 26 37 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO Id. at 1:39-42 (describing delivery of high quality audio), 1:42-49 (describing delivery of high quality video). 38 Id. at 3:1-9:16 (describing Figure 1, the method for quality of service based resource allocation and utilization in a dynamic wireless network). 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 40 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 41 of 92 Page ID #:41 1 system for further processing. The first system can also receive higher quality data 2 from the system for immediate delivery and presentation to the user. Alternatively, 3 the first system may direct the second system to provide the higher quality data 4 directly to the user.39 5 142. Claim 1 of the ’992 Patent reads as follows: 6 1. In a portable system, a method for providing a digital media service to a user, the method comprising: 7 delivering digital media content having a current quality level to a user; 8 9 determining that a network connection with a second system is available and is characterized by a communication bandwidth that is high enough to provide the digital media content to the user at a quality level higher than the current quality level; 10 11 12 using the network connection to obtain the digital media content at the higher quality level from the second system; and 13 14 delivering the digital media content at the higher quality level to the user instead of the digital media content at the current quality level. 15 16 143. Claim 1 thus recites a novel solution of determining, accessing, and 17 using the resources of another system on a dynamic network environment in order 18 to improve digital media content quality delivered to the user by obtaining the 19 higher quality content from the second system in a manner that was not well- 20 understood, routine, or conventional at the time of the ’992 Patent. In the prior art, 21 among other things, the source of the content remained the same between the two 22 systems, whereas claim 1 claims obtaining the digital media content at a higher 23 quality level from another source, namely the second system. 24 144. Claims 2, 3 and 5 of the ’992 Patent depend from claim 1. 25 145. Claim 2 of the ’992 Patent reads as follows: 26 2. The method of claim 1, where the digital media content is video media. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 39 Id. at 14:42-53. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 41 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 42 of 92 Page ID #:42 1 146. Claim 3 of the ’992 Patent reads as follows: 2 3. The method of claim 1, where the digital media content is audio media. 3 147. Claim 5 of the ’992 Patent reads as follows: 4 5. The method of claim 1, where the portable system automatically performs, without user interaction, said determining, said using, and said delivering the digital media content at the higher quality level to the user. 5 6 7 148. Netflix directly infringes the ’992 Patent by making, using, selling, and 8 9 offering to sell the Netflix service, which practices the patented invention. 10 149. Upon information and belief, Netflix directly infringes at least claims 11 1, 2, 3, and 5 of the ’992 Patent, at least in the exemplary manner described below. 150. Netflix practices a “method for providing a digital media service to a 12 13 user” “[i]n a portable system.” 14 151. For example, the Netflix system provides a streaming entertainment 15 service that delivers digital video content such as TV series, documentaries, and 16 feature films to a wide variety of internet-connected devices, including mobile 17 devices such as laptops, tablets, and mobile phones. 152. The Netflix system “deliver[s] digital media content having a current 18 19 quality level to a user.” For example, the Netflix system delivers the “best video 20 quality stream” to its users “tailored to the member’s available bandwidth and view 21 device capability.” To account for variable network conditions, the Netflix 22 streaming service encodes video titles at different bit rates so that video can be 23 delivered at different quality levels. The Netflix streaming service “pre-encode[s] 24 streams at various bitrates applying optimized encoding recipes.” 40 153. The Netflix system “determin[es] that a network connection with a 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO second system is available and is characterized by a communication bandwidth that 40 https://medium.com/netflix-techblog/per-title-encode-optimization7e99442b62a2 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 42 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 43 of 92 Page ID #:43 1 is high enough to provide the digital media content to the user at a quality level 2 higher than the current quality level.” For instance, the Netflix streaming service is 3 designed to adapt to changing network conditions so that the content can be 4 delivered and viewed at high levels of quality even when network conditions 5 become constrained. Throughout a user’s playback session, the Netflix streaming 6 service continuously monitors the network to evaluate changing conditions and 7 makes adjustments to the video that is being delivered. 8 154. The client device running the Netflix application, which is being 9 directed and controlled by Netflix code and other instructions, “intelligently selects 10 which OCA to use. It does this by testing the quality of the network connection to 11 each OCA. It will connect to the fastest, most reliable OCA first.” The client 12 device “keeps running these tests throughout the video streaming process.” “If the 13 network quality declines, the client lowers video quality to match. The client will 14 switch to another OCA when the quality declines too much." The Netflix streaming 15 service uses the user’s IP address and information from internet Service Providers 16 to adapt to the quality of the network. The Netflix streaming service also identifies 17 which Open Connect Appliance (OCA) clusters are best for the user’s client to use. 18 It selects which OCA to use by testing the quality of the network connection to 19 each OCA and will connect to the fastest, most reliable OCA first. This process is 20 repeated throughout the user’s video streaming experience. 41 21 155. Netflix “us[es] the network connection to obtain the digital media 22 content at the higher quality level from the second system” and “deliver[s] the 23 digital media content at the higher quality level to the user instead of the digital 24 media content at the current quality level.” For example, the client device 25 continues to test the quality of the network connection at each OCA throughout the 26 video streaming process. “If the network quality declines, the client lowers video 27 41 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO http://highscalability.com/blog/2017/12/11/netflix-what-happens-when-youpress-play.html 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 43 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 44 of 92 Page ID #:44 1 quality to match.” The client will switch to another OCA when the quality declines 2 too much. “The Netflix streaming service adapts to the quality of the network and 3 will adjust the video quality by switching to another OCA when the quality declines 4 too much.” 42 After establishing a connection to another OCA capable of streaming 5 content at a higher quality level—for example, streaming video at a higher 6 resolution—the Netflix system will provide that content at the higher quality level. 7 156. With regard to claims 2 and 3, the Netflix system provides “digital 8 media content” in the form of “video media” and “audio media.” For example, 9 during the playback process, the Netflix system streams the video and audio files 10 associated with the title being viewed. 11 157. With regard to claim 5, within the Netflix system, the “portable system 12 automatically performs, without user interaction, said determining, said using, and 13 said delivering the digital media content at the higher quality level to the user.” For 14 example, Netflix’s process of identifying and using the best OCA and bitrate is 15 generally performed by the Netflix system automatically and without user 16 interaction. As Netflix has explained, the Netflix application on the client device 17 “runs adaptive streaming algorithms which instantaneously select the best encode to 18 maximize video quality while avoiding playback interruptions due to rebuffers.” 19 158. Netflix has infringed, and continues to infringe, at least claim 1 of the 20 ’992 Patent in the United States by making, using, offering for sale, selling, and/or 21 importing the Netflix streaming service, in violation of 35 U.S.C. § 271(a). 22 159. At least as of on or around September 26, 2019 when the Broadcom 23 Entities informed Netflix of its infringement of the ’992 Patent, and by no later than 24 the date of this Complaint, Netflix has had knowledge of the ’992 Patent and that its 25 video streaming service infringes the ’992 Patent. 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 42 Id. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 44 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 45 of 92 Page ID #:45 1 2 continues to induce, direct infringement by third-parties of at least claims 1, 2, 3, 3 and 5 of the ’992 Patent, at least in the exemplary manner described above, by 4 actively encouraging their use of the Netflix system, in violation 35 U.S.C. § 5 271(b). For example, Netflix has induced, and continues to induce, direct 6 infringement of the ’992 Patent by customers and/or end users of infringing 7 playback devices enabled with the Netflix software application and service. Netflix 8 knows that it provides and specifically intends to provide an application for use on 9 playback devices that, when used as intended with Netflix streaming service, meets 10 the limitations of claims 1, 2, 3, and 5 of the ’992 Patent. Netflix knows and 11 specifically intends that its end users practice the method recited in claims 1, 2, 3, 12 and 5 of the ’992 Patent, when using its application and service as intended. 13 161. Netflix’s knowing and willful infringement has caused and continues 14 to cause damage to Broadcom, and Broadcom is entitled to recover damages 15 sustained as a result of Netflix’s wrongful acts in an amount subject to proof at trial. 16 FIFTH CLAIM FOR RELIEF 17 (Infringement of U.S. Patent No. 6,341,375) 18 162. The Broadcom Entities reallege and incorporates by reference the 19 20 allegations of paragraphs 1-161 set forth above. 163. The ’375 patent, entitled “Video on demand DVD system” was duly 21 and legally issued on January 22, 2002, from a patent application filed on July 14, 22 1999, with Daniel Watkins as the named inventor. A copy of the ʼ375 Patent is 23 attached hereto as Exhibit E. 24 25 164. The ʼ375 Patent is assigned to Broadcom Corp., which holds all substantial rights, title, and interest in and to the ʼ375 Patent. 26 165. Pursuant to 35 U.S.C. § 282, the ʼ375 Patent is presumed valid. 27 166. The ’375 Patent claims are directed to a new method for distributing 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 160. In addition to its own direct infringement, Netflix has induced, and PALO AL TO video. The ’375 Patent describes systems and methods in which the video is 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 45 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 46 of 92 Page ID #:46 1 delivered to the user on-demand using a drive server, a control server, and one or 2 more decoder devices.43 The system can process multiple compressed video 3 streams in response to multiple user requests for video content. 44 4 167. The ’375 Patent includes embodiments described in the specification 5 referring to delivery of compressed video data originating from DVD 6 media. However, the systems and methods are not limited to compressed video 7 from a particular source and, as the patent explains, a person having ordinary skill 8 in the art would recognize that the systems and methods described and claimed in 9 the ’375 Patent can be applied to other video distribution models.45 The Netflix 10 streaming service is an example of an application of the systems and methods 11 described in the claims. 12 168. The inventions of the ’375 Patent resolve technical problems related to 13 conventional video-on-demand systems that require the use of physical connections 14 and short distances between the sources of video and the decoders or players on 15 which the end-user views video content.46 In prior art systems, each user has a 16 dedicated video system, such as a DVD player, and decoder at the user’s location.47 17 169. The ’375 Patent, therefore, addresses the technical problem of ensuring 18 delivery of compressed video content to multiple remote end user locations.48 19 170. The ’375 Patent claims specific ways to solve these technical problems 20 with a video on demand system that is centrally managed and implemented by a 21 drive server, a control server, and one or more decoder devices. Each of these 22 servers can process one or more compressed video streams in response to one or 23 more request signals initiated by a user requesting a video. 24 171. Claim 15 claims an improved method of distributing video: 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 43 44 45 46 47 48 ’375 Patent at 1:56-60. Id. at 1:60-63. Id. at 5:38-43. Id. at 1:14-41. Id. at 1:26-27, 33-35. See id. at 1:56-2:8. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 46 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 47 of 92 Page ID #:47 1 A method for distributing video comprising the steps of: 2 (A) presenting a plurality of compressed data streams with a drive server to a control server in response to one or more first control signals; 3 4 (B) distributing said one or more compressed data streams received from said drive server with said control server to one or more decoder devices in response to one or more request signals; 5 6 (C) decoding at least one of said one or more compressed data streams with said one or more decoders in response to receiving said one or more compressed data streams from said control server; and 7 8 9 (D) presenting at least one signal selected from a decoded video signal and a decoded audio signal in response to decoding said at least one of said one or more compressed data streams, wherein at least one of said one or more decoders is disposed in a separate room from said control server and said driver server, wherein a first portion of a selected one of said compressed data streams is presented to one of said decoder devices and a second portion of said selected compressed data stream is presented to another of said decoder devices. 10 11 12 13 14 15 172. Claim 15 thus recites a novel solution of a drive server presenting 16 multiple compressed video streams and delivering those streams to multiple 17 decoder devices in a remote location in a manner that was not well-understood, 18 routine, or conventional at the time of the ’375 Patent, resulting in a better video on 19 demand system. 20 173. Netflix directly infringed the ‘375 Patent by making, using, offering to 21 sell, and/or selling in the United States its Netflix service, which utilizes the 22 inventions claimed in the ‘375 Patent to deliver streaming video content. Although 23 the ’375 Patent is presently expired, Netflix infringed the ’375 Patent prior to its 24 expiration as described below. Avago thus is entitled to damages for Netflix’s 25 unauthorized use of the inventions described in the ’375 Patent prior to its 26 expiration. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 47 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 48 of 92 Page ID #:48 1 174. Upon information and belief, the Netflix streaming service directly 2 infringed at least claim 15 of the ’375 Patent, at least in the exemplary manner 3 described below. 4 175. Netflix practices a “method for distributing video” and “presenting a 5 plurality of compressed data streams with a drive server to a control server in 6 response to one or more first control signals.” The Netflix streaming service is a 7 streaming entertainment service that delivers video content using the Netflix CDN, 8 OCAs, and S3 servers. For example, the Netflix video titles (“data streams”) are 9 presented from an S3 server or an OCA (“drive server”) and sent to other OCAs 10 (“control server”), which store and serve video content. 11 176. The Netflix system presents the compressed data streams to OCAs in 12 response to one or more control signals. For example, as Netflix describes, “OCAs 13 communicate at regular intervals with the control plane services, requesting (among 14 other things) a manifest file that contains the list of titles they should be storing and 15 serving to members. If there is a delta between the list of titles in the manifest file 16 and what they are currently storing, each OCA will send a request, during its 17 configured fill window, that includes a list of the new or update titles that it needs. 18 The response from the control plan in AWS is a ranked list of potential download 19 locations, a.k.a. fill sources, for each title.”49 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 49 https://netflixtechblog.com/netflix-and-fill-c43a32b490c0 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 48 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 49 of 92 Page ID #:49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Source: https://medium.com/netflix-techblog/netflix-and-fill-c43a32b490c0 20 177. Netflix performs the step of “distributing said one or more compressed 21 data streams received from said drive server with said control server to one or more 22 decoder devices in response to one or more request signals.” For example, in 23 response to a “Play” request, the Netflix CDN delivers content to Netflix client 24 applications (“Netflix Playback Apps”), which are installed on Netflix’s customers’ 25 client devices, including digital televisions, desktop computers, laptop computers, 26 tablet computers, and mobile phones (“decoder devices”). The Netflix CDN is 27 illustrated in the following diagram: 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 49 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 50 of 92 Page ID #:50 1 2 3 4 5 6 7 8 9 10 11 Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf 178. Netflix practices “decoding at least one of said one or more 12 compressed data streams with said one or more decoders in response to receiving 13 said one or more compressed data streams from said control server.” For instance, 14 upon receipt of the compressed video, audio, and other content from the Netflix 15 CDN at the client device, the content is decoded so that it can be viewed. On 16 information and belief, the Netflix Playback Apps decode, or cause the decoding of, 17 the content. In Netflix’s own words, “[t]he app uses several approaches for video 18 playback on Android such as hardware decoder, software decoder, OMX-AL, 19 iOMX”). 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 50 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 51 of 92 Page ID #:51 1 2 3 4 5 6 7 8 9 10 11 12 Source: http://techblog.netflix.com/2012/03/testing-netflix-on-android.html 13 179. On information and belief, Netflix directs and controls the playback 14 process associated with the Netflix service from the client side through its control 15 of the Netflix Playback Apps. Netflix develops its own Android and iOS Netflix 16 Playback Apps for Android and Apple devices. Netflix also develops its own 17 software development kit (SDK) to control third party development of Netflix 18 applications on platforms like Smart TVs. 19 20 21 22 23 24 25 26 27 Source: http://highscalability.com/blog/2017/12/11/netflix-what-happens- 28 when-you-press-play.html H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 51 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 52 of 92 Page ID #:52 1 180. Netflix practices “presenting at least one signal selected from a 2 decoded video signal and a decoded audio signal in response to decoding said at 3 least one of said one or more compressed data streams, wherein at least one of said 4 one or more decoders is disposed in a separate room from said control server and 5 said driver server, wherein a first portion of a selected one of said compressed data 6 streams is presented to one of said decoder devices and a second portion of said 7 selected compressed data stream is presented to another of said decoder devices.” 8 181. For example, a Netflix client—under the control of the Netflix 9 Playback App—presents “at least one signal selected from a decoded video signal 10 and a decoded audio signal in response to decoding said at least one of said one or 11 more compressed data streams” by playing the decoded video, audio, and other 12 Netflix content on the client device. As illustrated below, Netflix content consists 13 of video and audio data, in addition to other data types. 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO Source: https://medium.com/netflix-techblog/content-popularity-for-openconnect-b86d56f613b 182. Further, in the Netflix system, “at least one of said one or more decoders is disposed in a separate room from said control server and said drive server.” For example, the Netflix CDN processes video requests and audio requests using OCAs that Netflix strategically positions all over the world based on the location of Netflix’s users. The OCAs are located within internet exchange points 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 52 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 53 of 92 Page ID #:53 1 in significant Netflix markets and are interconnected with internet service 2 providers.50 Similarly, the S3 is located on one or more servers in data centers that 3 are, generally speaking, far removed from the users streaming Netflix content. In 4 contrast, Netflix users can stream Netflix content virtually anywhere with an 5 internet connection in numerous countries around the world. Thus, the “one or 6 more decoders” (in the client devices) “is disposed in a separate room” from the 7 “control server” (the OCA) and the “drive server” (the S3 or OCA). 8 9 10 11 12 13 14 15 16 17 Source: https://medium.com/netflix-techblog/content-popularity-for-open- 18 connect-b86d56f613b 19 183. Finally, within the Netflix system, “a first portion of a selected one of 20 said compressed data streams is presented to one of said decoder devices and a 21 second portion of said selected compressed data stream is presented to another of 22 said decoder devices.” For example, on information and belief, when video, audio, 23 and other data associated with Netflix content is streamed from an OCA to the 24 numerous client devices obtaining Netflix content from that OCA, the data travels 25 through the internet infrastructure in a compressed data stream. The relevant 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 50 https://openconnect.netflix.com/Open-Connect-Overview.pdf 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 53 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 54 of 92 Page ID #:54 1 portions of that stream are then routed and presented to the appropriate client 2 device. 3 4 5 6 7 8 9 10 (arrows added). 11 184. Netflix directly infringed claim 15, at least as described, when the 12 Netflix Playback Apps, Netflix CDN, and Netflix OCAs are used to stream video 13 content to multiple users in remote and different locations. 14 185. Netflix’s infringement caused damage to Broadcom Corp., and 15 Broadcom Corp. is entitled to recover damages sustained as a result of Netflix’s 16 wrongful acts in an amount subject to proof at trial. 17 SIXTH CLAIM FOR RELIEF 18 (Infringement of U.S. Patent No. 8,572,138) 19 186. The Broadcom Entities reallege and incorporate by reference the 20 21 allegations of paragraphs 1-185 set forth above. 187. The ’138 Patent, entitled “Distributed Computing System Having 22 Autonomic Deployment of Virtual Machine Disk Images,” was duly and legally 23 issued on October 29, 2013, from a patent application filed March 30, 2007, with 24 Jagane Sundar, Sanjay Radia, and David A. Henseler as the named inventors. A 25 copy of the ʼ138 Patent is attached hereto as Exhibit F. 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE Source: https://openconnect.netflix.com/Open-Connect-Overview.pdf PALO AL TO 188. The ʼ138 Patent is assigned to Avago, which holds all substantial rights, title, and interest in and to the ʼ138 Patent. 189. Pursuant to 35 U.S.C. § 282, the ʼ138 Patent is presumed valid. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 54 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 55 of 92 Page ID #:55 1 190. The ʼ138 Patent is directed to an improvement in the functionality of a 2 complex distributed computing system. Specifically, the ’138 Patent claims a new 3 method and system for a distributed computing environment that conforms to a 4 multi-level, hierarchical organizational model. 5 191. Traditional distributed computing systems faced the significant 6 challenge of providing an organizational structure that could handle the deployment 7 and administration of thousands of virtual computing resources that could carry out 8 millions of operations simultaneously. As the ’138 Patent explains, an enterprise 9 environment—such as a large business organization—often includes several 10 business groups, and each group may have competing and variable computing 11 requirements that necessitate separate, independent computing devices connected to 12 each other on the network. However, the diversity of competing and variable 13 computing requirements increases the cost of distributed computing systems 14 because of the increased time and expense associated with the management of 15 resources that need to be customized to the unique computing requirements of each 16 business group.51 17 192. The ’138 invention solved the technical problems presented by such 18 traditional distributed computing systems by developing an infrastructure 19 management facility (“IMF”) that guarantees reliable and efficient application 20 service delivery independent of the computational infrastructure. The IMF includes 21 the implementation of virtual machine managers, or “container services,” capable 22 of managing other container services and virtual machines (“VMs”). The virtual 23 machines, managed by the VM managers, then appear on the network as available 24 resources as if they were independent computing resources that can be accessed by 25 various groups and utilized to suit their highly-diverse and specialized computing 26 needs.52 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 51 52 ’138 Patent at 1:16-33. Id. at 8:32-36, 9:65-67, 32:65-33:6. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 55 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 56 of 92 Page ID #:56 1 2 193. Claim 1 recites an improved method of distributing software “images” (i.e. computer programs) via a number of virtual machines to application nodes: 3 A distributed computing system comprising: 4 a software image repository comprising non-transitory, computer-readable media operable to store: (i) a plurality of image instances of a virtual machine manager that is executable on a plurality of application nodes, wherein when executed on the applications nodes, the image instances of the virtual machine manager provide a plurality of virtual machines, each of the plurality of virtual machine operable to provide an environment that emulates a computer platform, and (ii) a plurality of image instances of a plurality of software applications that are executable on the plurality of virtual machines; and 5 6 7 8 9 10 a control node that comprises an automation infrastructure to provide autonomic deployment of the plurality of image instances of the virtual machine manager on the application nodes by causing the plurality of image instances of the virtual machine manager to be copied from the software image repository to the application nodes and to provide autonomic deployment of the plurality of image instances of the software applications on the virtual machines by causing the plurality of image instances of the software applications to be copied from the software image repository to the application nodes. 11 12 13 14 15 16 194. Netflix directly infringes the ’138 Patent by making, using, offering to 17 sell, and/or selling in the United States its Netflix service, which utilizes Netflix’s 18 Titus Container Management Platform to deploy and manage virtual computing 19 resources in a manner that practices the inventions claimed in the ʼ138 Patent. 20 195. Netflix developed the Titus Container Management Platform internally 21 and uses it in production to “power Netflix streaming, recommendations, and 22 content systems.” 53 23 196. Using the Titus Container Management Platform, Netflix is able to 24 more efficiently manage the deployment and administration of the hundreds or 25 thousands of VMs necessary for it to provide reliable, high-quality streaming 26 services to its millions of customers. For example, in 2018 Netflix reportedly 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 53 https://netflix.github.io/titus/overview/ 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 56 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 57 of 92 Page ID #:57 1 launched approximately thousands of VM managers and hundreds of thousands of 2 VM containers each day. 3 4 5 6 7 8 9 10 11 12 Source: https://www.slideshare.net/aspyker/qconsf18-disenchantment- 13 netflix-titus-its-feisty-team-and-daemons?next_slideshow=1. 14 197. Upon information and belief, Netflix directly infringes at least 15 independent claim 1 of the ’138 Patent at least in the exemplary manner described 16 below. 17 198. Netflix utilizes a hierarchical “distributed computing system,” as 18 taught by the ’138 Patent, to provide a streaming entertainment service that delivers 19 video content and other content—such as a customer’s browsing experience, 20 content recommendations, and payment information—over a wide geographic area 21 through a distributed network of virtual machines. The Titus architecture is 22 illustrated in the following diagram and description: 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 57 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 58 of 92 Page ID #:58 1 2 3 4 5 6 7 8 9 10 11 12 Source: https://www.slideshare.net/aspyker/cmp376-another-week-another- 13 million-containers-on-amazon-ec2; https://medium.com/netflix- 14 techblog/auto-scaling-production-services-on-titus-1f3cd49f5cd7 15 199. The Netflix system uses the Netflix Titus Container Management 16 Platform (“Titus”) to manage the distributed computing environment that powers its 17 streaming, recommendation, and content delivery systems. 54 The Titus system 18 integrates a “software image repository,” such as Docker Registry, to store various 19 operating system and application files (i.e., “image instances”) needed to initialize 20 new instances of virtual machine managers, which Netflix refers to as “Titus 21 Agents.” 22 23 200. The Titus Agent image instances developed by Netflix are executed on the “application nodes”—i.e., “cloud” servers. 24 201. For example, as Netflix explains, the Titus Agents set up and manage 25 “virtual machine” containers that are able to independently carry out discrete 26 computing tasks to ensure reliable and efficient delivery of Netflix’s streaming 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 54 https://netflix.github.io/titus. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 58 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 59 of 92 Page ID #:59 1 services.55 As in the ’138 Patent, each of these virtual machine containers emulates 2 a computer platform and is able to execute various software applications under the 3 supervision of the Titus Agents. 4 202. The Netflix video distribution system also includes “a control node 5 that comprises an automation infrastructure to provide autonomic deployment of 6 the plurality of image instances of the virtual machine manager on the application 7 nodes by causing the plurality of image instances of the virtual machine manager to 8 be copied from the software image repository to the application nodes and to 9 provide autonomic deployment of the plurality of image instances of the software 10 applications on the virtual machines by causing the plurality of image instances of 11 the software applications to be copied from the software image repository to the 12 application nodes.” 13 203. For example, the Netflix Titus system employs an automation 14 infrastructure known as “Titus Master” to be the “control node” for Netflix’s 15 distributed computing system. Like the control node of the ’138 invention, the 16 Titus Master provides “autonomic deployment” for new instances of the Titus 17 Agents (i.e., the “virtual machine managers”) on the “cloud.” The Titus Master is 18 responsible for persisting job and task information, scheduling tasks, and managing 19 the pool of Titus Agents and can scale the pool of Agents up or down in response to 20 demand.56 In doing so, the Titus Master causes the appropriate “image instances” 21 (i.e. operating system and software application packages) to be copied from the 22 software image repository to the Titus Agents. The Titus Master is illustrated in the 23 following diagram and description: 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 55 56 Id. https://medium.com/netflix-techblog/the-evolutionof-container-usage-at-netflix3abfc096781b; https://medium.com/netflix-techblog/titusthe-netflix-container-managementplatformis-now-open-source-f868c9fb5436. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 59 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 60 of 92 Page ID #:60 1 2 3 4 5 6 7 8 9 10 11 12 Source: https://medium.com/netflix-techblog/auto-scaling-production- 13 services-on-titus-1f3cd49f5cd7; https://netflix.github.io/titus/overview/ 14 204. At least as of on or around September 26, 2019, when the Broadcom 15 Entities provided Netflix with an exemplary infringement chart for the ’138 Patent, 16 and by no later than the date of this Complaint, Netflix has had knowledge of the 17 ’138 Patent and its infringement thereof. 18 19 to cause damage to Avago, and Avago is entitled to recover damages sustained as a 20 result of Netflix’s wrongful acts in an amount subject to proof at trial. 21 SEVENTH CLAIM FOR RELIEF 22 (Infringement of U.S. Patent No. 6,744,387) 23 206. The Broadcom Entities reallege and incorporate by reference the 24 25 allegations of paragraphs 1-205 set forth above. 207. The ʼ387 Patent, entitled “Method and System for Symbol 26 Binarization,” was duly and legally issued on June 1, 2004 from a patent 27 application filed on July 10, 2002, with Lowell Winger as the named inventor. A 28 copy of the ʼ387 Patent is attached hereto as Exhibit G. H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 205. Netflix’s knowing and willful infringement has caused and continues PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 60 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 61 of 92 Page ID #:61 208. The ʼ387 Patent is assigned to Broadcom Corp., which holds all 1 2 substantial rights, title, and interest in and to the ʼ387 Patent. 3 209. Pursuant to 35 U.S.C. § 282, the ʼ387 Patent is presumed valid. 4 210. The ʼ387 Patent generally concerns an improvement in the way a 5 computer system compresses visual and audio data. Specifically, the patent is 6 “directed to an improved method for the binarization of data in an MPEG data 7 stream.” 57 8 211. As the patent explains, MPEG refers to a family of international 9 standards developed by the Motion Picture Expert Group that specify how to 10 represent visual and audio information in a compressed digital format. 58 The 11 MPEG formats make it possible to “represent[] a video signal with data roughly 12 1/50th the size of the original uncompressed video, while still maintaining good 13 visual quality.” 59 The MPEG formats achieve such high compression by taking 14 advantage of the fact that many images in a video stream do not change 15 significantly from picture to picture, and if they do change, the differences from one 16 picture to the next are often simple. 60 Storing and transmitting only the changes, 17 instead of entire pictures, results in considerable savings in data transmission. 61 18 212. In practice, this compression technique is accomplished in a number of 19 steps. First, pixel differences between the pictures are “transformed into frequency 20 coefficients, and then quantized to further reduce the data transmission.” 62 The 21 ʼ387 Patent refers to the resulting transformed and quantized coefficients as 22 “symbols.”63 Second, the transformed-quantized symbols are “binarized” to create 23 binary representations of each symbol in the form of a “codeword.”64 Third, the 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 57 58 59 60 61 62 63 64 ʼ387 Patent, Abstract; see also id. at 1:7-11. Id. at 1:15-30. Id. at 1:36-39. Id. at 3:29-37. Id. at 1:51-54, 3:34-37. Id. at 1:55-58, 3:40-43. See, e.g., id. at 1:55-64, 4:1-4, 4:45-54, 5:10-46, Table 1. Id. at 4:1-4. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 61 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 62 of 92 Page ID #:62 1 binarized codewords are entropy encoded “to reduce the number of bits per symbol 2 without introducing any additional video signal distortion.” 65 The patent explains 3 that several types of codecs 66 exist for performing the entropy encoding; “[o]ne of 4 the most efficient of which is the family of binary arithmetic encoders (BACs).”67 5 As the name implies, BACs operate only on binary valued data, which is why the 6 symbols must be binarized before they can be entropy encoded.68 213. Figure 2 of the ʼ387 Patent—the relevant portion of which is 7 8 highlighted below—is a block diagram of an encoder that carries out this encoding 9 process. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 65 66 Id. at 1:59-63, 4:26-36. A codec is a device or computer program for encoding or decoding a digital stream or signal. 67 ʼ387 Patent, 4:37-39. 68 Id. at 4:45-49. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 62 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 63 of 92 Page ID #:63 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Source: ʼ387 Patent, Fig. 2 18 19 214. Figure 2 depicts that a source video stream (14) enters the encoder (16) 20 at the left and passes to a “combination” module (54), which assembles data related 21 to pixel differences between pictures in the video stream. 69 The output of the 22 combination module passes to the next module (56), where it is transformed and 23 quantized.70 Symbols created by module 56 pass to the binarization module (62), 24 which creates binary codewords that represent the symbols. The codewords next 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 69 70 Id. at 3:49-53. Id. at 3:54-57. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 63 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 64 of 92 Page ID #:64 1 pass to binary arithmetic encoding module (64), where they are entropy encoded. 2 And finally, the encoded bitstream (18) exits the encoder at the right. 71 215. The ʼ387 Patent is directed to the step in this process that occurs in the 3 4 binarization module 62.72 In the prior art, several techniques were available for 5 binarizing the symbols, including, for example: unary, binary, Golomb, and exp- 6 Golomb binarization.73 The patent explains that those techniques each have certain 7 strengths and weaknesses. Unary binarization, for example, generates codewords 8 that are more easily distinguishable from one another but that can be exceptionally 9 long. Specifically, “[u]nary binarization consists of a number of binary 1s equal to 10 an index for a symbol followed by a zero….” 74 Thus, a symbol index value of “1” 11 results in a 2-bit codeword, namely “10.” A symbol index value of “2” results in 12 the 3-bit codeword “110,” and so on. Thus, each codeword is easily distinguishable 13 from the others, but the number of binary values can be quite large—encoding a 14 large symbol index may require tens of thousands of bits.75 15 216. Exp-Golomb binarization, on the other hand, greatly reduces the 16 maximum possible size of the codewords, but “it does not permit codewords with a 17 small symbol index (other than index 0) to be uniquely distinguished from 18 codewords with larger symbol indices.”76 19 217. Thus, there was a need for a method and system that could exploit the 20 most valuable properties of the unary and exp-Golomb binarizations. 77 The 21 invention described in the ʼ387 Patent meets that need: 22 The present invention provides a binarization that retains the most valuable properties of the unary and exp-Golomb binarizations. That is, small codewords are distinguishable as with a unary binarization, while large 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 71 72 73 74 75 76 77 Id. at 3:57-4:8. Id. at 4:1-2. Id. at 4:50-51. Id. at 4:52-54. Id. at 5:22-5:45. Id. at 6:19-24. Id. at 2:2-12. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 64 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 65 of 92 Page ID #:65 1 codewords have their binarization limited to a reasonable length. By doing so, the present invention provides a binarization that reduces the complexity and the bitrate/size for compressing and decompressing video, images, and signals that are compressed using binary arithmetic encoding for entropy encoding.78 2 3 4 5 6 7 218. The ’387 Patent claims methods and systems for constructing binarized codewords for digital video data (i.e., encoding) based on the index values of symbols produced by the transformation-and-quantization module of an encoder. Independent claim 3, for example, recites: 8 A binarization system comprising: 9 means for determining if a code symbol index value is less than a threshold value 10 11 means for constructing a codeword using a unary binarization if said code symbol index value is less than said threshold value; and 12 13 means for constructing a codeword using a exp-Golomb binarization if said code symbol index value is not less than said threshold value. 14 15 16 17 219. The methods and systems described in the ʼ387 Patent improve the functionality of computer systems by improving the way they compress and process video and audio data. 18 19 20 21 22 23 24 220. Notably, the Hon. James V. Selna of this District previously held that the claims of the ʼ387 Patent are patent-eligible under 35 U.S.C. § 101. In doing so, Judge Selna concluded that these claims “do not simply use general computers to perform abstract ideas; instead, the mathematical formula attempts to improve the functioning of compressing and decompressing video, images, and signals. Therefore, an inventive concept sufficiently transforms the nature of the claims…into patent-eligible inventions.” 79 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 78 79 Id. at 6:26-36. Broadcom Corp., et al. v. Sony Corp., et al., SAVC 16-1052 JVS (JCGx), p. 12 (C.D.C.A. Oct. 5, 2016). 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 65 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 66 of 92 Page ID #:66 221. Netflix directly infringes at least claim 3 of the ʼ387 Patent at least in 1 2 the exemplary manner described below. 3 222. Netflix developed, operates, and uses a “video encoding pipeline”, i.e., 4 a series of video processing applications that operate “in the cloud.” Netflix claims 5 that it has developed, and that it uses, its own proprietary video encoding software 6 in this pipeline. 7 8 9 10 11 12 13 Source: https://medium.com/netflix-techblog/high-quality-video-encoding-at- 14 scale-d159db052746 15 223. Netflix uses its video encoding pipeline to generate encoded video 16 files in a variety of formats, which it then uses to stream movie and TV content to 17 its subscribers. As Netflix explains: 18 21 We ingest high quality video sources and generate video encodes of various codec profiles, at multiple quality representations per profile. The encodes are packaged and then deployed to a content delivery network for streaming. During a streaming session, the client requests the encodes it can play and adaptively switches among quality levels based on network conditions. 80 22 224. Among other encodes, Netflix uses its video encoding pipeline to 19 20 23 generate content files in the ITU-T H.264 format, also known as Advanced Video 24 Coding or “AVC” (“H.264”), and in the ITU-T H.265 format, also known as High 25 Efficiency Video Coding or “HEVC” (“H.265”). 26 27 80 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO https://medium.com/netflix-techblog/high-quality-video-encoding-at-scaled159db052746. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 66 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 67 of 92 Page ID #:67 1 2 3 4 5 6 Source: https://medium.com/netflix-techblog/high-quality-video-encoding-atscale-d159db052746 7 8 9 225. The Netflix video encoding pipeline includes a “binarization system.” For example, with regard to the H.264 format used by Netflix, the H.264 10 documentation explains how the format employs a “concatenated unary/k-th order 11 Exp-Golomb (UEGk) binarization process.” On information and belief, Netflix 12 uses the method for UEG(k) encoding set forth in the H.264.2 reference software, 13 which serves as an aid for the study and implementation of H.264 video coding. 14 226. On information and belief, the Neflix video encoding pipeline includes 15 a “means for determining if a code symbol index value is less than a threshold 16 value.” For instance, the H.264.2 reference software features the functions 17 unary_exp_golomb_mv_encode() and unary_exp_golomb_level_encode(), which 18 are responsible for performing unary exp-golomb encoding for various syntax 19 elements. Both of these functions employ code that determines if a symbol index 20 value is less than a threshold value. 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 67 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 68 of 92 Page ID #:68 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Source: unary_exp_golomb_mv_encode() function 15 16 17 18 19 20 21 22 23 24 Source: unary_exp_golomb_level_encode() function 25 227. On information and belief, the Netflix video encoding pipeline 26 includes a “means for constructing a codeword using a unary binarization if said 27 code symbol index value is less than said threshold value.” For example, in the 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 68 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 69 of 92 Page ID #:69 1 H.264.2 reference software, the functions unary_exp_golomb_mv_encode() and 2 unary_exp_golomb_level_encode() perform unary binarization of various syntax 3 elements when the symbol index value is less than a threshold value (said threshold 4 value is 8 and 13, respectively, in the excepts below). 5 6 7 8 9 10 11 12 13 14 15 16 17 Source: unary_exp_golomb_mv_encode() function 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO Source: unary_exp_golomb_level_encode() function 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 69 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 70 of 92 Page ID #:70 1 228. On information and belief, the Netflix video encoding pipeline also 2 includes a “means for constructing a codeword using an exp-Golomb binarization if 3 said code symbol index value is not less than said threshold value.” For instance, 4 functions unary_exp_golomb_mv_encode() and unary_exp_golomb_level_encode() 5 in the H.264.2 reference software both call the function 6 exp_golomb_encode_eq_prob() when the code symbol value is not less than the 7 above-described threshold in order to construct the remainder of the codeword 8 using exp-Golomb binarization. 9 10 11 12 13 14 15 16 17 18 Source: exp_golomb_encode_eq_prob() function 19 229. On information and belief, Netflix’s video encoding pipeline also 20 infringes claim 3 of the ʼ387 Patent through its use of H.265 encoding. The 21 reference software associated with that format proposes a binarization process that 22 operates in substantially the same way as described above with regard to the 23 H.264.2 reference software. On information and belief, Netflix uses the approach 24 to binarization proposed by the H.265.2 reference software in encoding content files 25 to the H.265 format. 26 27 230. At least as of on or around September 26, 2019, when the Broadcom Entities informed Netflix of its infringement of the ’387 Patent, and by no later than 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 70 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 71 of 92 Page ID #:71 1 the date of this Complaint, Netflix has had knowledge of the ’387 Patent and the 2 infringement thereof by its video encoding pipeline. 231. Netflix’s knowing and willful infringement of the ʼ387 Patent has 3 4 caused and continues to cause damage to Broadcom Corp., and Broadcom Corp. is 5 entitled to recover damages sustained as a result of Netflix’s wrongful acts in an 6 amount subject to proof at trial. 7 EIGHTH CLAIM FOR RELIEF 8 (Infringement of U.S. Patent No. 6,982,663) 9 232. The Broadcom Entities reallege and incorporate by reference the 10 allegations of paragraphs 1-231 set forth above. 233. The ʼ663 Patent, entitled “Method and System for Symbol 11 12 Binarization,” was duly and legally issued on January 3, 2006 from a patent 13 application filed on Jul. 10, 2002, naming Lowell Winger as the inventor. A copy 14 of the ʼ663 Patent is attached hereto as Exhibit H. 234. The ʼ663 Patent is assigned to Broadcom Corp., which holds all 15 16 substantial rights, title, and interest in and to the ʼ663 Patent. 17 235. Pursuant to 35 U.S.C. § 282, the ʼ663 Patent is presumed valid. 18 236. The ʼ663 Patent originates from the same specification as the ʼ387 19 Patent. Like the ʼ387 Patent, the ʼ663 Patent generally concerns an improvement in 20 the way a computer system compresses visual and audio data. Specifically, the 21 patent is “directed to an improved method for the binarization of data in an MPEG 22 data stream.” 81 237. As the ʼ663 Patent explains, MPEG refers to a family of international 23 24 standards developed by the Motion Picture Expert Group that specify how to 25 represent visual and audio information in a compressed digital format. 82 The 26 MPEG formats make it possible to “represent[] a video signal with data roughly 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 81 82 ʼ663 Patent, Abstract; see also id. at 1:7-11. Id. at 1:15-30. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 71 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 72 of 92 Page ID #:72 1 1/50th the size of the original uncompressed video, while still maintaining good 2 visual quality.” 83 The MPEG formats achieve such high compression by taking 3 advantage of the fact that many images in a video stream do not change 4 significantly from picture to picture, and if they do change, the differences from one 5 picture to the next are often simple. 84 Storing and transmitting only the changes, 6 instead of entire pictures, results in considerable savings in data transmission. 85 7 238. In practice, this compression technique is accomplished in a number of 8 steps. First, pixel differences between the pictures are “transformed into frequency 9 coefficients, and then quantized to further reduce the data transmission.” 86 The 10 ʼ663 Patent refers to the resulting transformed and quantized coefficients as 11 “symbols.”87 Second, the transformed-quantized symbols are “binarized” to create 12 binary representations of each symbol in the form of a “codeword.”88 Third, the 13 binarized codewords are entropy encoded “to reduce the number of bits per symbol 14 without introducing any additional video signal distortion.” 89 The patent explains 15 that several types of codecs 90 exist for performing the entropy encoding, “[o]ne of 16 the most efficient of which is the family of binary arithmetic encoders (BACs).”91 17 As the name implies, BACs operate only on binary valued data, which is why the 18 symbols must be binarized before they can be entropy encoded.92 239. Figure 2 of the ʼ663 Patent—the relevant portion of which is 19 20 highlighted below—is a block diagram of an encoder that carries out this encoding 21 process. 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 83 84 85 86 87 88 89 90 Id. at 1:38-41. Id. at 3:31-36. Id. at 1:51-54; 3:35-39. Id. at 1:55-58; 3:41-44. See, e.g., id. at 1:55-64, 4:1-4, 4:45-54, 5:10-46, Table 1. Id. at 4:1-4. Id. at 1:59-63, 4:26-36. A codec is a device or computer program for encoding or decoding a digital stream or signal. 91 ʼ663 Patent, 4:34-36. 92 Id. at 4:42-47. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 72 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 73 of 92 Page ID #:73 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Source: ʼ663 Patent, Fig. 2 18 19 240. Figure 2 depicts that a source video stream (14) enters the encoder (16) 20 at the left and passes to a “combination” module (54), which assembles data related 21 to pixel differences between pictures in the video stream. 93 The output of the 22 combination module passes to the next module (56), where it is transformed and 23 quantized. Symbols created by module (56) pass to the binarization module (62), 24 which creates binary codewords that represent the symbols. The codewords next 25 pass to binary arithmetic encoding module (64), where they are entropy encoded. 26 And finally, the encoded bitstream (18) exits the encoder at the right. 94 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 93 94 Id. at 3:50-58. Id. at 3:57-4:8. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 73 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 74 of 92 Page ID #:74 241. The ʼ663 Patent is directed, in part, to the step in this process that 1 2 occurs in the binarization module 62. 95 In the prior art, several techniques were 3 available for binarizing the symbols, including, for example: unary, binary, 4 Golomb, and exp-Golomb binarization.96 The patent explains that those techniques 5 each have certain strengths and weaknesses. Unary binarization, for example, 6 generates codewords that are distinguishable from one another but that can be 7 exceptionally long. Specifically, “[u]nary binarization consists of a number of 8 binary 1s equal to an index for a symbol followed by a zero….”97 Thus, a symbol 9 index value of “1” results in a 2-bit codeword, namely “10.” A symbol index value 10 of “2” results in the 3-bit codeword “110,” and so on. Thus, each codeword is 11 easily distinguishable from the others, but the number of binary values can be quite 12 large—encoding a large symbol index may require tens of thousands of bits.98 13 242. Exp-Golomb binarization, on the other hand, greatly reduces the 14 maximum possible size of the codewords, but “it does not permit codewords with a 15 small symbol index (other than index 0) to be uniquely distinguished from 16 codewords with larger symbol indices.”99 17 243. Thus, there was a need for a method and system that could exploit the 18 most valuable properties of the unary and exp-Golomb binarizations. 100 The 19 invention described in the ʼ663 Patent meets that need: 20 The present invention provides a binarization that retains the most valuable properties of the unary and exp-Golomb binarizations. That is, small codewords are distinguishable as with a unary binarization, while large codewords have their binarization limited to a reasonable length. By doing so, the present invention provides a binarization that reduces the complexity and the bitrate/size for compressing and decompressing video, images, and signals that are compressed using binary 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 95 Id. 96 Id. 97 Id. 98 Id. 99 Id. 100 at 4:1-2. at 4:46-47. at 4:48-49. at 5:22-5:45. at 6:14-17. Id. at 2:1-12. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 74 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 75 of 92 Page ID #:75 arithmetic encoding for entropy encoding.101 1 244. The ʼ663 Patent claims methods and systems utilizing a combination 2 3 of unary and exp-Golomb binarization for encoding and decoding digital video 4 data. Independent claim 12, for example, recites: 5 A method for generating a codeword from an index value for digital video encoding, comprising the steps of: 6 (A) generating a first pattern in a first portion of said codeword in response to said index value being at least as great as a threshold; 7 8 (B) generating a second pattern in a second portion of said codeword following said first portion representing an offset of said index value above said threshold; and 9 10 (C) generating a third pattern in a third portion of said codeword following said second portion representing a value of said index value above said offset. 11 12 13 245. As in the ʼ387 Patent, the methods and systems described in the ʼ663 14 Patent improve the functionality of computer systems by improving the way they 15 compress and process video and audio data. 16 246. Notably, the Hon. James V. Selna of this District previously held that 17 the claims of the ʼ663 Patent are patent-eligible under 35 U.S.C. § 101. In doing 18 so, Judge Selna concluded that claim 12, and others in the ʼ663 Patent, are “directed 19 to improving digital video decoding” and, thus, “are not directed to abstract 20 ideas.”102 21 22 247. Upon information and belief, Netflix directly infringes at least claim 12 of the ʼ663 Patent at least in the exemplary manner described below. 248. Figure 5 of the ʼ663 Patent, which depicts Table 3, demonstrates a 23 24 particular instance of the hybrid unary-exp-Golomb codes described in that patent. 25 As the ʼ663 Patent explains, “Table 3 illustrates a binarization that is particularly 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 101 102 Id. at 6:19-28. Broadcom Corp., et al. v. Sony Corp., et al., SAVC 16-1052 JVS (JCGx), p. 9 (C.D.C.A. Oct. 5, 2016). 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 75 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 76 of 92 Page ID #:76 1 appropriate for the binarization of quarter pixel motion vector residual magnitudes 2 of MPEG-AVC/H.264.” 103 The patent describes how, upon reaching the threshold 3 at which unary to exp-Golomb switching occurs (N=64 for Table 3), the index 4 comprises three parts: (1) the initial prefix (highlighted in blue below); (2) a unary 5 representation appended to the initial prefix to form the unary prefix (highlighted in 6 red below); and (3) the exp-Golumb suffix (highlighted in green below).104 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Source: ʼ663 Patent, Fig. 5 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 103 104 ʼ663 Patent, 6:35-40. See id. at 6:44-63. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 76 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 77 of 92 Page ID #:77 1 249. As explained above, Netflix developed, operates, and uses a video 2 encoding pipeline to encode its film and TV content in a variety of digital formats, 3 including H.264 and H.265. 4 250. The Netflix video encoding system practices a “method for generating 5 a codeword from an index value for digital video encoding.” For instance, with 6 regard to the H.264 format used by Netflix, the H.264 documentation explains how 7 the format employs a “concatenated unary/k-th order Exp-Golomb (UEGk) 8 binarization process.” This process generates codewords from index values. On 9 information and belief, Netflix uses the method for UEG(k) encoding set forth in 10 the H.264.2 reference software, which serves as an aid for the study and 11 implementation of H.264 video coding. 12 251. On information and belief, the Netflix video encoding pipeline 13 practices the step of “generating a first pattern in a first portion of said codeword in 14 response to said index value being at least as great as a threshold.” For instance, 15 the H.264.2 reference software features the functions 16 unary_exp_golomb_mv_encode() and unary_exp_golomb_level_encode(), which 17 are responsible—in part—for generating codewords from index values during the 18 encoding process. Where the index value meets or exceeds a certain threshold (8 19 for unary_exp_golomb_mv_encode() and 13 for 20 unary_exp_golomb_level_encode()), these functions populate the first portion of 21 the codeword with a pattern representing an initial prefix. 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 77 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 78 of 92 Page ID #:78 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Source: unary_exp_golomb_mv_encode() function 16 17 18 19 20 21 22 23 24 25 26 27 Source: unary_exp_golomb_level_encode() function 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 78 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 79 of 92 Page ID #:79 1 252. On information and belief, the Netflix video encoding system also 2 “generat[es] a second pattern in a second portion of said codeword following said 3 first portion representing an offset of said index value above said threshold.” For 4 example, both the unary_exp_golomb_mv_encode() and 5 unary_exp_golomb_level_encode() functions call the function 6 exp_golomb_encode_eq_prob() when the index value exceeds the thresholds 7 described above. The exp_golomb_encode_eq_prob() function generates a second 8 portion of the codeword—the unary representation appended to the initial prefix to 9 form the unary prefix—when the index value exceeds the thresholds. 10 11 12 13 14 15 16 17 18 19 20 21 Source: exp_golomb_encode_eq_prob() function 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 79 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 80 of 92 Page ID #:80 1 253. Further, on information and belief, the Netflix video encoding system 2 “generat[es] a third pattern in a third portion of said codeword following said 3 second portion representing a value of said index value above said offset.” For 4 example, after the unary prefix described above, the 5 exp_golomb_encode_eq_prob() function generates a third portion of the 6 codeword—the exp-Golumb suffix—which captures the value of the index above 7 the offset described above. 8 9 10 11 12 13 14 15 16 17 18 Source: exp_golomb_encode_eq_prob() function 19 254. On information and belief, Netflix’s video encoding pipeline also 20 infringes claim 12 of the ʼ663 Patent through its use of H.265 encoding. The 21 reference software associated with that format proposes a binarization process that 22 operates in substantially the same way as described above with regard to the 23 H.264.2 reference software. On information and belief, Netflix uses the approach 24 to binarization proposed by the H.265.2 reference software in encoding content files 25 to the H.265 format. 26 27 255. At least as of on or around September 26, 2019, when the Broadcom Entities informed Netflix of its infringement of the ’663 Patent, and by no later than 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 80 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 81 of 92 Page ID #:81 1 the date of this Complaint, Netflix has had knowledge of the ’663 Patent and the 2 infringement thereof by its encoding pipeline. 3 4 caused and continues to cause damage to Broadcom Corp., and Broadcom Corp. is 5 entitled to recover damages sustained as a result of Netflix’s wrongful acts in an 6 amount subject to proof at trial. 7 NINTH CLAIM FOR RELIEF 8 (Infringement of U.S. Patent No. 9,332,283) 9 257. The Broadcom Entities reallege and incorporate by reference the 10 11 allegations of paragraphs 1-256 set forth above. 258. The ʼ283 Patent, entitled “Signaling of prediction size unit in 12 accordance with video coding,” was duly and legally issued on May 3, 2016 from a 13 patent application filed on June 14, 2012, with Peisong Chen, Brian Heng, and 14 Wade Wan as the named inventors. A copy of the ʼ283 Patent is attached hereto as 15 Exhibit I. 16 17 18 19 259. The ’283 Patent claims priority from U.S. Provisional Application No. 60/539,948, filed on September 27, 2011. 260. The ʼ283 Patent is assigned to Broadcom Corp., which holds all substantial rights, title, and interest in and to the ʼ283 Patent. 20 261. Pursuant to 35 U.S.C. § 282, the ʼ283 Patent is presumed valid. 21 262. The ʼ283 Patent generally concerns an improved system for encoding 22 and decoding video content that ensures a high quality output when transmitting 23 that content to viewers. Specifically, the patent relates to an improved method for 24 encoding video content using a process known as binarization in order to transmit 25 that information to users more efficiently. 26 263. At the time of the inventions claimed in the ’283 Patent, persons 27 engaged in developing next-generation video encoding technologies were looking 28 to take advantage of ongoing innovations in parallel processing power and H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE 256. Netflix’s knowing and willful infringement of the ʼ663 Patent has PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 81 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 82 of 92 Page ID #:82 1 increased video resolutions, which could make performing complex encoding 2 operations more efficient and lead to improved user experiences. Video encoding is 3 a multi-step process that begins with an input video signal, and results in an output 4 bitstream of encoded video data. As discussed above, between the input of the 5 video signal and the output of the encoded video data the encoding process includes 6 various operations that are performed on constituent portions of the input video 7 signal to create a video stream according to a particular encoding format. 8 264. As the patent explains, among the advances at the time was the use of 9 “predictive” (P) slices and “bi-predictive” (B) slices as components of the video 10 data being processed.105 P slices and B slices, in turn, are comprised of smaller 11 components, including “coding tree units” and “coding units.” As described in the 12 ’283 Patent, coding units can be “encoded” for different types of “prediction” 13 processing, namely, “inter-prediction” or “intra-prediction.”106 Subsequently, 14 “prediction units” (PU) can be encoded for different “partition modes,” to be used 15 in the intra- or inter-prediction processing. 16 265. Generally speaking, prediction and partition modes are encoded using 17 binary “codewords.” These codewords can be generated using a “binary tree.” In 18 general terms, a binary tree is a data structure that can be used to represent data and 19 associate it with a corresponding bit sequence and vice versa. In this context, a 20 “binary tree” data structure is used to create a sequence of binary numbers based on 21 the selection of a “1” or a “0” at different positions (sometimes referred to as 22 “nodes”) in the binary tree, starting at the beginning (“root”). Traversing the binary 23 tree from the root to a “leaf” (an endpoint) results in a bit sequence that corresponds 24 to a specific encoding.107 Figure 13 of the ’283 Patent, for example, represents 25 binary trees as follows: 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 105 106 107 ’283 Patent, at 17:24-48. See, e.g., id. at 17:9-12. See id. at Figs. 13, 14, 15. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 82 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 83 of 92 Page ID #:83 1 2 3 4 5 6 7 8 9 10 11 12 13 14 In the left side of the exemplary image above, the annotated binary tree generates a 15 codeword of “001,” which is associated with a partition mode of “Nx2N.” 108 16 266. The use of P slices and B slices in an encoding protocol can introduce 17 inefficiencies when encoding coding units of the different slice types. This is 18 because at the time of the invention of the ’283 Patent, the encoding of P and B 19 slices required separate codewords generated using different binary trees, which 20 resulted in extra burdens on the encoding system and higher overhead. 109 21 267. Thus, there was a need for a method and system that could reduce this 22 inefficiency. 110 The invention described in the ʼ283 Patent meets that need. 23 Specifically, the ’283 Patent’s system and method for using “only a singular 24 codebook . . . for both processing of the B slices and P slices,” may be employed to 25 provide a “very efficient implementation.”111 The methods and systems described 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 108 109 110 111 Id. at Fig. 13 (annotations added). Id. at 19:21-35; 20:19-30. ’283 Patent at 18:55-19:12. Id. at 18:60-63. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 83 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 84 of 92 Page ID #:84 1 in the ʼ283 Patent thus improve the functionality of computer systems by improving 2 the way they compress and process video and audio data. 3 268. The inventions described and claimed in the ’283 Patent include 4 encoding using two syntax elements derived from a single binary tree that can be 5 applied to both P slices and B slices to indicate (1) whether inter-prediction or intra- 6 prediction applies to a selected coding unit, and (2) the prediction unit partition 7 mode that applies based on whether or not the selected coding unit is the smallest 8 coding unit (SCU) having a prediction unit size NxN. 9 269. The ’283 Patent claims methods and systems that use a single binary 10 tree to encode coding unit (CU) prediction when processing P slices and B slices 11 for digital video data. Independent claim 1, for example, recites: 12 A video processing device comprising: 13 a video encoder configured to: 14 encode an input video signal to generate an output bitstream; 15 employ a single binary tree when processing at least one P slice and at least one B slice to generate the output bitstream, wherein the at least one P slice is used for unidirectional prediction forward or behind in at least one frame sequence, and wherein the at least one B slice is used for bidirectional prediction both forward and behind in the at least one frame sequence; 16 17 18 19 employ the single binary tree to encode coding unit (CU) prediction based on a selected CU that is selected from a plurality of CUs when generating a first syntax element for both the at least one P slice and the at least one B slice that undergo entropy encoding to generate the output bitstream, wherein the first syntax element specifies intraprediction processing or inter-prediction processing for the selected CU; and 20 21 22 23 24 employ the single binary tree to encode prediction unit (PU) partition mode based on the selected CU when generating a second syntax element for both the at least one P slice and the at least one B slice that undergo the entropy encoding to generate to generate [sic] the output bitstream, wherein the second syntax element specifies the PU partition mode for the selected CU, wherein the PU partition mode is based on a size N×N PU when the selected CU is a smallest CU (SCU) of the plurality of 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 84 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 85 of 92 Page ID #:85 1 CUs and is based on a different size PU than the size N×N PU when the selected CU is another CU than the SCU of the plurality of CUs, wherein N is a positive integer. 2 270. Netflix directly infringes at least claim 1 of the ʼ283 Patent at least in 3 4 the exemplary manner described below. 5 271. Netflix developed, operates, and uses a “video encoding pipeline”, i.e., 6 a series of video processing applications. Netflix uses its video encoding pipeline to 7 generate encoded video files in a variety of formats, which it then uses to stream 8 movie and TV content to its subscribers. As Netflix explains: 9 12 We ingest high quality video sources and generate video encodes of various codec profiles, at multiple quality representations per profile. The encodes are packaged and then deployed to a content delivery network for streaming. During a streaming session, the client requests the encodes it can play and adaptively switches among quality levels based on network conditions. 112 13 272. Among other encoding formats, Netflix uses its video encoding 10 11 14 pipeline to generate content in the H.265 format, also known as High Efficiency 15 Video Coding or “HEVC” (“H.265”). 16 17 18 19 20 21 Source: https://medium.com/netflix-techblog/high-quality-video-encoding-at- 22 scale-d159db052746 23 273. On information and belief, the Netflix video encoder includes a 24 binarization system that employs a “single binary tree.” For example, the H.265 25 format employs a “binary tree” in the processing (i.e., encoding) of P slices and B 26 slices. Specifically, the H.265 format utilizes coding schemes that define a unique 27 112 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO https://medium.com/netflix-techblog/high-quality-video-encoding-at-scaled159db052746. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 85 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 86 of 92 Page ID #:86 1 mapping of syntax element values to sequences of binary symbols, which are 2 interpreted in terms of a binary code tree. 113 3 274. On information and belief, the Netflix video encoder employs the 4 binary tree to generate a “first syntax element” of a coding unit, wherein the “first 5 syntax element” specifies intra-prediction processing or inter-prediction processing 6 for the selected coding unit. For example, H.265 reference software features the 7 parameter PredMode which specifies the “prediction mode” (i.e., intra-prediction 8 processing or inter-prediction processing) of a selected coding unit. The function 9 pcCU->isIntra() then returns either 1 or 0 depending on whether intra- or inter- 10 prediction mode is selected for the particular coding unit. If the selected coding 11 unit pcCU was encoded using intra-prediction mode (i.e., pcCU->isIntra() is 12 TRUE) the encodeBin() function codes 1. If inter-prediction mode is selected, the 13 encodeBin() codes 0.114 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 113 See, e.g., ITU-T Recommendation H.265: High Efficiency Video Coding, at § 7.3.8.5 (November 2019) (available at https://www.itu.int/rec/T-REC-H.265) (“H.265 Recommendation”) (describing binary tree coding syntax using pseudo code). 114 See also, H.265 Recommendation at § 7.4.9.5. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 86 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 87 of 92 Page ID #:87 1 2 Source: H.265.2: Reference software for ITU-T H.265 High Efficiency 3 Video Coding (December 2016) (available at https://www.itu.int/rec/T-REC- 4 H.265.2). 5 275. The binary tree that the Netflix video encoder employs to encode a 6 coding unit prediction mode using a first syntax element for coding units for both P 7 slices and B slices thus may be represented as follows, in which “1” codes for intra- 8 prediction, and “0” codes for inter-prediction: 9 10 11 12 13 14 15 16 17 18 276. The Netflix video encoder is configured to employ the single binary 19 tree to encode prediction unit (“PU”) partition mode based on the selected coding 20 unit “when generating a second syntax element for both the at least one P slice and 21 the at least one B slice,” wherein the second syntax element specifies the PU 22 partition mode for the selected CU. For example, the H.265 reference software 23 specifies the parameter “PartSize” and the function “getPartitionSize” which 24 identifies the partition mode for the selected CU (“pcCU”). This particular example 25 shows how in the case of a 2N×2N partition, the function encodeBin() generates the 26 binary code “1”. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 87 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 88 of 92 Page ID #:88 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Source: H.265.2: Reference software for ITU-T H.265 High Efficiency 18 Video Coding (December 2016) (available at https://www.itu.int/rec/T-REC- 19 H.265.2). 20 277. As indicated in the Table 9-45 of the H.265 Recommendation, the 21 partition mode for a particular coding unit is dependent on the prediction mode 22 (CuPredMode) of the coding unit. 115 Table 9-45 depicts the first syntax element 23 (CuPredMode) and the second syntax element (encoding for the partition mode) for 24 different size coding unit cases. The illustration below, in conjunction with Table 25 9-45, depicts the single binary tree encoding both the prediction mode and the 26 partition mode. 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 115 See H.265 Recommendation, at Table 9-45. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 88 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 89 of 92 Page ID #:89 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Source: H.265 Recommendation at Table 9-45 (annotations added). 16 278. Thus, on information and belief, the Netflix video encoder employs the 17 single binary tree to encode prediction unit partition mode when generating a 18 second syntax element, wherein the second syntax element specifies the partition 19 mode for the selected coding unit. In the table above, the coding unit example is of 20 a size “log2CbSize” equals “3”. 21 279. As indicated in the image above, when the prediction mode is intra- 22 prediction processing, the single binary tree encodes a second syntax element of 23 either 1 or 0, which indicates a partition mode (PartMode (column 3)) of 24 PART_2Nx2N or PART_NxN, respectively. Similarly, when the prediction mode 25 is inter-prediction processing, the single binary tree for the example coding unit size 26 specifies a second syntax element of 1, 01, or 00, which indicates a partition mode 27 of PART_2Nx2N, PART_2NxN, or PART_Nx2N, respectively. 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 89 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 90 of 92 Page ID #:90 1 280. On information and belief, the Neflix video encoder employs a PU 2 partition mode that is “based on a size N×N PU when the selected CU is a smallest 3 CU (SCU)” and “is based on a different size PU than the size N×N PU when the 4 selected CU is another CU than the SCU.” The H.265 format supports variable 5 prediction block sizes from 64×64 down to 4×4 samples. The minimum size CU is 6 assigned a size N×N Prediction Unit (PU) as a special case. 116 Thus, the prediction 7 unit partition mode is based on a coding unit size of N×N when the coding unit is 8 the smallest coding unit, and the prediction unit partition mode is based on a 9 different size prediction unit when the coding unit is a size other than the smallest 10 coding unit. 117 Thus, the Netflix video encoding system, as described above, 11 practices at least claim 1 of the ’283 Patent. 12 281. Indeed, Netflix has published studies in which it has quantified the 13 benefits of H.265 encoding. Through its own testing, Netflix determined that 14 H.265 encoders can achieve equivalent subjective reproduction quality as encoders 15 that conform to H.264/MPEG-4 AVC while using approximately 50% less bit rate 16 (i.e., the amount of data “bits” transmitted per second).118 Thus, Netflix has 17 specifically recognized benefits achieved by the inventions of the ’283 Patent. 18 19 282. By no later than the date of this Complaint, Netflix has had knowledge of the ’283 Patent and the infringement thereof by its encoding system. 20 283. Netflix’s infringement of the ʼ283 Patent, which is knowing and 21 willful at least as of the filing of this Complaint, has caused and continues to cause 22 damage to Broadcom Corp., and Broadcom Corp. is entitled to recover damages 23 sustained as a result of Netflix’s wrongful acts in an amount subject to proof at trial. 24 25 116 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO See e.g., Overview of the High Efficiency Video Coding (HEVC) Standard, IEEE Transactions On Circuits And Systems For Video Technology, Vol. 22, No. 12, (December 2012). 117 See Table 9-45 at column “PartMode.” 118 https://netflixtechblog.com/a-large-scale-comparison-of-x264-x265-and-libvpxa-sneak-peek-2e81e88f8b0f. 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 90 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 91 of 92 Page ID #:91 1 PRAYER FOR RELIEF 2 3 WHEREFORE, the Broadcom Entities respectfully request that the Court enter a judgment in their favor and against Netflix: 4 5 1. Patents-in-Suit in violation of 35 U.S.C. § 271; 6 7 2. 10 11 12 13 Declaring that Netflix has induced infringement of one or more claims of the ’079, ’121, ’245, and ’992 Patents in violation of 35 U.S.C. § 271(b); 8 9 Declaring that Netflix has directly infringed one or more claims of the 3. Declaring that Netflix’s infringement of the ’079, ’121, ’245, ’992, ’138, ’387, ’663, and ’283 Patents is willful and deliberate pursuant to 35 U.S.C. § 284; 4. Enjoining Netflix from further infringing the ’079, ’121, ’245, ’992, and ’138 Patents; 5. Ordering that the Broadcom Entities be awarded damages in an 14 amount no less than a reasonable royalty for each asserted patent arising out of 15 Netflix’s infringement of the Patents-in-Suit, together with any other monetary 16 amounts recoverable, such as treble damages; 17 18 19 20 21 22 23 24 6. Declaring that this is an exceptional case under 35 U.S.C. § 285 and awarding the Broadcom Entities their attorneys’ fees and costs; 7. Ordering that Netflix is required to pay exemplary damages pursuant to 35 U.S.C. § 284; 8. Awarding pre-judgment and post-judgment interest and costs against Netflix; and 9. Awarding the Broadcom Entities such other and further relief as the Court deems just and proper. 25 26 27 JURY DEMAND The Broadcom Entities demand a trial by jury of all claims in this action so triable. 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 91 - Case 8:20-cv-00529 Document 1 Filed 03/13/20 Page 92 of 92 Page ID #:92 1 Dated: March 13, 2020 2 3 HOPKINS & CARLEY A Law Corporation By: /s/ Jason S. Angell Jason S. Angell Christopher A. Hohn Cary Chien Robert K. Jain Attorneys for Plaintiff BROADCOM CORPORATION, AVAGO TECHNOLOGIES INTERNATIONAL SALES PTE. LIMITED 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 H OPKINS & C ARLEY ATTO RNEY S AT LAW SAN JO SE PALO AL TO 692\3399782 COMPLAINT FOR PATENT INFRINGEMENT - 92 -