Tq Delta, LLC v. Dish Network LLC
Opinion
Appellee DISH Network ("Dish") sought inter partes review ("IPR") of claims 6, 11, 16, and 20 ("the Challenged Claims") of Appellant TQ Delta, LLC's
*1353
("TQ Delta")
TQ Delta appeals. We have jurisdiction pursuant to
BACKGROUND
Entitled "Multicarrier Transmission System with Low Power Sleep Mode and Rapid-On Capability," the '404 patent relates to the field of "multicarrier transmission systems." '404 patent col. 1 l. 31. "Multicarrier transmission systems provide high speed data links between communication points[ and have recently been used] ... for communications over the local subscriber loop that connects a telephone service subscriber to a central telephone office. ..."
1
Independent claim 6 is illustrative and recites:
An apparatus comprising a transceiver operable to:
receive, in a full power mode, a plurality of superframes, wherein the superframe comprises a plurality of data frames followed by a synchronization frame;
receive, in the full power mode, a synchronization signal;
transmit a message to enter into a low power mode;
store, in a low power mode, at least one parameter associated with the full power mode operation wherein the at least one parameter comprises at least one of a fine gain parameter and a bit allocation parameter;
receive, in the low power mode, a synchronization signal; and
exit from the low power and restore the full power mode by using the at least *1354 one parameter and without needing to reinitialize the transceiver.
DISCUSSION
TQ Delta challenges the PTAB's claim construction on the basis that the PTAB violated TQ Delta's procedural rights by relying on a new claim construction,
see
Appellant's Br. 25-29, and improperly construed the "without needing to reinitialize" limitation,
see
I. The Administrative Procedure Act
A. Standard of Review and Legal Standard
"IPR proceedings are formal administrative adjudications subject to the procedural requirements of the Administrative Procedure Act ('APA')."
SAS Inst., Inc. v. ComplementSoft, LLC.
,
B. The PTAB Did Not Violate TQ Delta's APA Rights
In its decision to institute, the PTAB, after identifying a passage in
The PTAB did not violate TQ Delta's APA rights. The PTAB never construed the "reinitialize" limitation in its Decision to Institute IPR as TQ Delta contends, and it, therefore, did not change course by construing the term in the Final Written Decision.
See
Nevertheless, TQ Delta had notice of the PTAB's understanding of the "reinitialization" limitation as it relates to the prior art before the PTAB issued the Final Written Decision.
See
J.A. 303-04 (arguing, by TQ Delta in its patent owner response, that Bowie does not disclose the disputed limitation). During the Oral Hearing, the PTAB repeatedly asked TQ Delta about its narrow construction of the term and explained that it disagreed with TQ Delta's interpretation.
See, e.g.
, J.A. 417 ("I'm just not understanding your argument that there's more to avoiding reinitialization than storing because there's nothing in the claim - there's nothing claimed beyond the storing of the parameter and the receiving of the sync signal that would allow it to avoid reinitializing when it exits from low power mode"). After the Oral Hearing, TQ Delta was given the opportunity to respond.
See
Intellectual Ventures II LLC v. Ericsson Inc.
,
While TQ Delta asserts that this case is similar to
SAS
, which held that, under the APA, the PTAB cannot change theories midstream by adopting a construction in its final written decision that neither party requested or anticipated,
see
Here, however, TQ Delta had adequate notice of the PTAB's understanding of the disputed claim limitation, as demonstrated by TQ Delta's statements throughout the proceedings. For example, in its Patent Owner Response, TQ Delta argued for a narrow interpretation that avoided the reinitialization process and explained that Bowie "teaches that some re-initialization
does
occur as part of going from low power mode to full power mode" and, thus, Bowie does not disclose "without needing to reinitialize the transceiver." J.A. 303;
see
J.A. 304 (explaining that "Bowie teaches that initialization can continue to occur even after reaching the full power mode, but before data transmission begins"). The PTAB explained that it disagreed with this construction at the Oral Hearing,
see
J.A. 414 ("[Dish] doesn't need it to be teaching that it goes through the entire initialization process."), and the PTAB questioned TQ Delta's narrow construction,
see
J.A. 415 ("So how in the world do you avoid needing to reinitialize the transceiver if all you've done is stored parameters if its true that, as you say, there's more to reinitialization than parameter determination?"). TQ Delta, however, responded to the PTAB's interpretation that "there could be some way that [Bowie] determines the temperature's changed short of full reinitialization" with "[t]here's no expert testimony regarding how a modem, other than by using initialization steps can determine that attenuation has changed" and "to the extent there's some suggestion that these modems have some other method without reinitialization to determine that attenuation has changed, there's nothing in the record" that addresses this issue. J.A. 413-17. Clearly, TQ Delta had notice of the PTAB's understanding of the "reinitialize" limitation prior to issuance of the Final Written Decision. Because TQ Delta had notice of the claim construction issue and the opportunity to be heard, the PTAB did not violate the APA.
See
Hamilton Beach Brands, Inc. v. f'real Foods, LLC
,
II. Claim Construction
A. Standard of Review and Legal Standard
At the time of the Final Written Decision, the PTAB gave "[a] claim ... its broadest reasonable construction in light of the specification of the patent in which it appears."
B. The PTAB Properly Construed the "Without Needing to Reinitialize" Limitation 4 *1357 The PTAB determined that the "without needing to reinitialize" limitation, in the context of comparing it to that which is disclosed in the prior art, is "satisfied as long as the entire initialization process is not needed." J.A. 29. More specifically, the PTAB explained that the limitation "is satisfied if any step of initialization is avoided[ ] and does not require that every step of initialization be avoided." J.A. 29. TQ Delta asserts that the "[PTAB]'s construction conflicts with the plain meaning of the claim language," because "both parties agreed that the plain meaning of [the term] is without needing to perform any step of the initialization process." Appellant's Br. 30 (capitalization modified). We disagree with TQ Delta.
The '404 patent 's claims and specification teach that "reinitialize" does not require that every step of initialization is avoided, but rather that it is satisfied if
any
step is avoided, thereby supporting the PTAB's construction. We begin our analysis with the claim language.
In re Power Integrations, Inc.,
The surrounding claims and broader specification provide additional support for our interpretation.
See
Phillips
, 415 F.3d at 1314 ("[T]he claims themselves provide substantial guidance as to the meaning of particular claim terms.");
see also
Trs. of Columbia Univ. v. Symantec Corp.,
Moreover, the specification provides an overview of the transceiver initiation process.
See
'404 patent col. 3 ll. 7-20. The specification explains that transceivers, at the time, performed "full ... initialization" when waking from inactivity.
Id
., Abstract. The specification indicates that the purpose of the invention is to avoid full initialization and offer a more convenient "rapid-on capability,"
TQ Delta's primary counterargument is unavailing. TQ Delta asserts that "the [PTAB]'s construction improperly reads the word [full] from the Abstract into the claims" as the "claim language does not include the word 'full.' " Appellant's Br. 32. Additionally, TQ Delta states that "regardless of the import of [full] as used in the Abstract ... by omitting the word 'full' in the claims, it is reasonable to assume that the applicant intended for the claim language to have a different scope than the language found in the Abstract."
Id
. As such, TQ Delta recognizes that the specification's use of "full" in the Abstract, '404 patent, Abstract, and the phrase "the initialization that was earlier required,"
III. Obviousness
A. The Relevant Prior Art
1. Bowie
Entitled "Power Conservation for [Plain Old Telephone Service ('POTS') ] and Modulated
*1359
Data Transmission,"
2. The ADSL Standard
In 1995, the American National Standards Institute ("ANSI") published the "Network and Customer Installation Interfaces - Asymmetric Digital Subscriber Line (ADSL) Metallic Interface," known as ANSI T1.413-1995 ("the ADSL Standard") (J.A. 1199-301). J.A. 1199. The ADSL Standard is the first technical standard defining the requirements for a single ADSL for interfaces between a telecommunications network and the customer installation in terms of their electrical characteristics and interactions. See, e.g. , J.A. 1220, 1223. 6 The ADSL Standard discloses a set of requirements for transmissions between ADSL transceivers, including the initialization process that all ADSL transceivers must perform. J.A. 1220 (explaining that "[t]he system reference model ... illustrates the functional blocks required to provide ADSL service"). During initialization, the ADSL Standard mandates that "transceiver initialization is required ... to establish a communications link." J.A. 1301.
3. Vanzieleghem
Entitled "Multi-Carrier Telecommunication System with Power Reduction Means," European Patent No. 0 883 269 A1 ("Vanzieleghem") (J.A. 1188-98) discloses an ADSL transmitter that operates according to the ADSL Standard. J.A. 1189. Vanzieleghem explains that "[w]hen idle data are received, the power dissipated in the transmitter is reduced because the symbols are then merely derived from a few or even a single carrier (the 'pilot tone') instead as from all the available carriers." J.A. 1188. Vanzieleghem also discloses that a "pilot tone," or synchronization signal, is transmitted during low power mode for the purpose of "maintain[ing] the frequency synchronization between the transmitter and the receiver." J.A. 1192.
*1360 Vanzieleghem discloses that when the transmitter wakes up, it can restart transmitting data faster. See J.A. 1189 (explaining that "[t]he transmission system remains thus efficient in that it allows a fast restart").
B. Standard of Review and Legal Standard
"We review the PTAB's factual findings for substantial evidence and its legal conclusions de novo."
Redline Detection, LLC v. Star Envirotech, Inc.
,
A patent claim is invalid "if the differences between the claimed invention and the prior art are such that the claimed invention as a whole would have been obvious before the effective filing date of the claimed invention to a [PHOSITA]."
C. Substantial Evidence Supports the PTAB's Obviousness Finding
The PTAB held that the Challenged Claims would have been obvious over a combination of Bowie, the ADSL Standard, and Vanzieleghem. J.A. 34. Specifically, the PTAB determined that "it would have been within the level of ordinary skill in the art to select a frequency for Bowie's resume signal such that Vanzieleghem's pilot tone would not be mistaken for the resume signal." J.A. 34. TQ Delta asserts that "the [PTAB] erred in finding the Challenged Claims unpatentable" because "Bowie does not teach avoiding any steps of the initialization process." Appellant's Br. 51 (capitalization modified). 8 Regarding motivation to combine, *1361 TQ Delta argues Bowie teaches away from the claimed reinitialization limitation because "Bowie and the '404 patent are fundamentally different in how they teach going back to transmitting data in full power mode operation after coming out of a low power mode." Id . at 54 (internal quotation marks and citation omitted). Moreover, TQ Delta asserts the prior art teaches away from the Challenged Claims because "using Vanzieleghem's synchronization signal in combination with Bowie, as proposed by [Dish], would produce an inoperative result." Id. at 58 (internal quotation marks omitted). TQ Delta states that the combination would be inoperative because "Vanzieleghem's pilot tone would cause Bowie to constantly wake up to return to full power mode," id. at 59 (internal quotation marks and citation omitted), given that Vanzieleghem's pilot tone may have a signal pilot strength of 16 kilohertz ("kHz"), which may "falsely trigger the resume signal detector and cause the modem of Bowie's system to return to full power mode, even if no resume signal is transmitted," id. at 60 (internal quotation marks and citation omitted). We disagree with TQ Delta.
Substantial evidence supports the PTAB's determination that Bowie, in view of the ADSL Standard and Vanzieleghem, renders obvious the Challenged Claims. First, Bowie teaches ways to reduce power, but does not teach that maximum power reduction is its intended purpose. See Bowie col. 1 ll. 26-28 (explaining that "[t]he use of POTS-compatible transmission frequencies severely limits the maximum information carrying capacity of the wire loop"). Bowie, however, explicitly recognizes the need for some circuitry to remain on during low power mode to receive signals. See id. col. 5 ll. 28-30 ("Circuitry 115 to detect the resume signal must remain capable of signal detection during low power operation."). For example, Bowie's specification demonstrates that in some embodiments, its transceiver stores parameters before entering into a low power mode. Id. col. 4 l. 64-col. 5 l. 4 ("Prior to initiating transport of modulated data over the loop 220, signals are exchanged over the loop 220 between the COT unit 232 and the CPE unit 242 to adapt the ADSL units .... This exchange of information is often referred to as handshaking.").
Second, while Bowie does not provide a list of the types of parameters it stores, it does specify that the parameters stored are determined and exchanged during initialization . Id. col. 5 ll. 17-19 ("Upon receipt of the shut-down signal, the COT unit 232 optionally stores in memory 117 characteristics the of the loop 220 that were determined by CPE to COT handshaking."). These include bit allocation parameters and fine gain parameters, which the '404 patent uses for the same process. J.A. 565 (explaining, by Dish's expert, that "the 1995 ADSL Standard explicitly discloses a 'fine gain parameter' and a 'bit allocation parameter' " and that "these [fine gain parameter and bit allocation parameters] are part of the 'loop loss characteristics' already disclosed in Bowie as being stored during the unit's 232, 242 low power mode"). It would have, therefore, been obvious to a PHOSITA for Bowie's system to store bit allocation parameters and fine gain parameters since those are exchanged during initialization as taught by the ADSL Standard. See J.A. 565-66 (testimony, by Dish's expert, that "Bowie would have been operating according to the 1995 ADSL Standard, and a [PHOSITA] would have looked to that [s]tandard for guidance"), 571 (Dish's expert explaining that Bowie's "parameters are used to restore data transmission on the loop without having to perform the 'handshaking' (or initialization) process again").
Third, a PHOSITA would have been motivated to employ Vanzieleghem's
*1362
synchronization signal, or pilot tone, in combination with Bowie. "[A] reference teaches away from a combination when using it in that combination would produce an inoperative result."
In re ICON Health & Fitness, Inc.
,
TQ Delta's primary counterargument is unpersuasive. TQ Delta argues that "[t]he fact that Bowie
may
perform 'additional handshaking'
after
returning to its full power mode does not change the fact that ... Bowie's ADSL unit
always
re-determines loop transmission characteristics, i.e., performs handshaking or initialization,
before
returning to full power mode." Appellant's Br. 47 (third emphasis added). However, Bowie discloses that reinitialization is needed in
some
, but
not all
, instances.
See
Bowie, Abstract;
see id
. col. 5 ll. 20-22 ("Likewise, upon sending the shut-down signal, the CPE unit ... may also optionally store the loop characteristics that it obtained through CPE to COT handshaking."). Bowie explains that "[h]andshaking information
may
be required where, for example, loop characteristics have changed due, for example, to temperature-dependent changes in loop resistance."
CONCLUSION
We have considered TQ Delta's remaining arguments and find them unpersuasive. Accordingly, the Final Written Decision of the U.S. Patent and Trademark Office's Patent Trial and Appeal Board is
AFFIRMED
The '404 patent explains that the recent application of these systems described in the patent "are commonly referred to as 'xDSL' systems, where the 'x' specifies a particular variant of DSL (digital subscriber loop) communications, e.g., ADSL (asynchronous digital subscriber loop), HDSL (High-Speed Digital Subscriber Loop), etc." '404 patent col. 1 ll. 42-47.
TQ Delta relies upon
A patent's prosecution history "consists of the complete record of the proceedings before the [US]PTO," which provides "evidence of how the [US]PTO and the inventor understood the patent."
Phillips v. AWH Corp.
,
TQ Delta concedes that, "even though the [PTAB] construed 'without needing to reinitialize' in the context of applying that limitation to the prior art ... and not in the 'Claim Construction' section of the Final Written Decision ... review of the construction ... is proper." Appellant's Br. 29.
"Th[e] exchange of information [over a loop between the customer premises equipment ('CPE') and central office terminal ('COT') units] is often referred to as handshaking. Once handshaking is completed, transmission of user data may begin." Bowie col. 5 ll. 3-5;
see
The parties have used "ANSI T1.413" and "the 1995 ADSL Standard" interchangeably because they both refer to the ADSL Standard. See Appellant's Br. 10; Appellee's Br. 4. As such, we refer to the 1995 ADSL Standard and ANSI T1.413 as the ADSL Standard unless otherwise noted.
Congress amended § 103 when it enacted the Leahy-Smith America Invents Act ("AIA"). Pub. L. No. 112-29, § 3(c),
TQ Delta does not dispute that the prior art teaches nearly every limitation of the Challenged Claims, see generally Appellant's Br., and instead confines its challenge to arguing Bowie does not teach the "without needing to reinitialize" limitation, see id. at 51.
Reference
- Full Case Name
- TQ DELTA, LLC, Appellant v. DISH NETWORK LLC, Appellee
- Cited By
- 8 cases
- Status
- Published