IBM ends internet patent lawsuit against gamemaker Take-Two

Reuters
2024-12-31

By Blake Brittain

Dec 30 (Reuters) - IBM and video game maker Take-Two Interactive told a Delaware federal court on Monday that IBM is dismissing its lawsuit that accused Take-Two of violating its patent rights in internet-related technology.

IBM and Take-Two said in a joint court filing that IBM would dismiss its claims with prejudice, which means they cannot be refiled. Spokespeople for Take-Two and IBM did not immediately respond to requests for comment and more information, including whether the case had been settled.

IBM sued Take-Two in September, alleging that a Take-Two game launcher and versions of its popular NBA 2K, Grand Theft Auto and Red Dead Redemption games infringed IBM patents related to web advertising, virtual worlds and user authentication.

IBM, based in Armonk, N.Y., has targeted other companies with infringement claims over similar technology, some of which it developed for its late-1980s internet service Prodigy. It has resolved separate lawsuits against Zynga, Chewy, Groupon and Rakuten.

IBM's lawsuit against New York-based Take-Two said that the companies had discussed the alleged infringement since 2021 and that IBM "invited Take-Two to engage in meaningful discussions towards a licensing resolution" earlier this year.

Take-Two did not respond to the allegations in court.

The case is International Business Machines Corp v. Take-Two Interactive Software Inc, U.S. District Court for the District of Delaware, No. 1:24-cv-01087.

For IBM: John Desmarais, Karim Oussayef, Tamir Packin and Brian Matty of Desmarais

For Take-Two: Brian Farnan and Michael Farnan of Farnan

Read more:

IBM sues Take-Two for patent infringement over internet technology

IBM and Zynga settle patent lawsuit after $45 million verdict

(Reporting by Blake Brittain in Washington)

((blake.brittain@tr.com; +1 (202) 938-5713))

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