The court granted plaintiff's motion for a permanent injunction even though the parties were not direct competitors. "The Court is not aware of any precedent which requires direct competition in any form before an injunction may be granted. [Plaintiff] can still prove irreparable harm in the absence of direct competition. . . . Though [defendant] sells the technology to customers and [plaintiff] licenses its services to companies. . . who then sell the technology to customers, there is still indirect competition. . . . [Defendant's] unlawful infringement unquestionably impedes upon the portion of the market share which [plaintiff's licensee] could have, and thus it impedes on [plaintiff's] ability to introduce its patented technology to the portion of the market that [defendant] controls."
ActiveVideo Networks, Inc. v. Verizon Communications, Inc., et. al., 2-10-cv-00248 (VAED November 23, 2011, Order) (Jackson, J.)