UNITED STATES INTERNATIONAL TRADE COMMISSION
`Washington, D.C.
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`In the Matter of
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`CERTAIN AUDIO PLAYERS AND
`CONTROLLERS, COMPONENTS
`THEREOF, AND PRODUCTS
`CONTAINING THE SAME
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`Investigation No. 337-TA-1191
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` Notice.
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`NOTICE OF A FINAL DETERMINATION FINDING A VIOLATION OF SECTION
`337; ISSUANCE OF A LIMITED EXCLUSION ORDER AND A CEASE AND DESIST
`ORDER; TERMINATION OF INVESTIGATION
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` U.S. International Trade Commission.
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`AGENCY:
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`ACTION:
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`SUMMARY: Notice is hereby given that the U.S. International Trade Commission has
`determined that respondent Google LLC (“Google”) has violated section 337 of the Tariff Act of
`1930, as amended, by importing, selling for importation, or selling in the United States after
`importation certain audio players and controllers, components thereof, and products containing
`the same that infringe one or more claims of U.S. Patent Nos. 9,195,258; 10,209,953; 9,219,959;
`8,588,949; and 10,439,896. The Commission has determined that the appropriate remedies are a
`limited exclusion order and a cease and desist order against Google. The Commission has also
`determined to set a bond in the amount of 100 percent of the entered value of the infringing
`products imported during the period of Presidential review. This investigation is hereby
`terminated.
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`FOR FURTHER INFORMATION CONTACT: Richard P. Hadorn, Esq., Office of the
`General Counsel, U.S. International Trade Commission, 500 E Street, S.W., Washington, D.C.
`20436, telephone (202) 205-3179. Copies of non-confidential documents filed in connection
`with this investigation may be viewed on the Commission’s electronic docket (EDIS) at
`https://edis.usitc.gov. For help accessing EDIS, please email EDIS3Help@usitc.gov. General
`information concerning the Commission may also be obtained by accessing its Internet server at
`https://www.usitc.gov. Hearing-impaired persons are advised that information on this matter can
`be obtained by contacting the Commission’s TDD terminal, telephone (202) 205-1810.
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`SUPPLEMENTARY INFORMATION: On February 11, 2020, the Commission instituted this
`investigation based on a complaint filed by Sonos, Inc. (“Sonos”) of Santa Barbara, California.
`85 FR 7783 (Feb. 11, 2020). The complaint alleges violations of section 337 of the Tariff Act of
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`1930, as amended (19 U.S.C. 1337) (“section 337”), based on the importation into the United
`States, the sale for importation, or the sale within the United States after importation of certain
`audio players and controllers, components thereof, and products containing the same by reason
`of infringement of certain claims of U.S. Patent Nos. 9,195,258 (“the ’258 patent”); 10,209,953
`(“the ’953 patent”); 8,588,949 (“the ’949 patent”); 9,219,959 (“the ’959 patent”); and 10,439,896
`(“the ’896 patent”). Id. The complaint further alleges that a domestic industry exists. Id. The
`notice of investigation named as respondents Google and Alphabet Inc. (“Alphabet”), both of
`Mountain View, California. Id. The Office of Unfair Import Investigations (“OUII”) is also
`named as a party. Id.
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`On September 21, 2020, the Commission terminated the investigation as to Alphabet
`based on withdrawal of the allegations in the complaint directed to Alphabet. Order No. 18
`(Sept. 1, 2020), unreviewed by Comm’n Notice (Sept. 21, 2020). On November 24, 2020, the
`Commission determined that the importation requirement has been satisfied. Order No. 27 (Oct.
`27, 2020), unreviewed by Comm’n Notice (Nov. 24, 2020). On February 2, 2021, the
`Commission determined that the technical prong of the domestic industry requirement has been
`satisfied as to the ’949 patent. Order No. 32 (Jan. 4, 2021), unreviewed by Comm’n Notice (Feb.
`2, 2021). On February 16, 2021, the Commission determined that the economic prong of the
`domestic industry requirement has been satisfied as to all asserted patents. Order No. 35 (Jan.
`14, 2021), reviewed and aff’d by Comm’n Notice (Feb. 16, 2021). On March 12, 2021, the
`Commission partially terminated the investigation based on withdrawal of the allegations in the
`complaint as to the following asserted claims: claims 22 and 23 of the ’258 patent; claims 12
`and 13 of the ’953 patent; claims 5, 9, 29, and 35 of the ’959 patent; and claim 3 of the ’896
`patent. Order No. 58 (Feb. 23, 2021), unreviewed by Comm’n Notice (Mar. 12, 2021).
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`On August 13, 2021, the CALJ issued a combined initial determination (“ID”) on
`violation and a recommended determination (“RD”) on remedy and bonding. The ID finds
`violations of section 337 with respect to the following claims of the asserted patents: claims 17,
`21, 24, and 26 of the ’258 patent; claims 7, 14, and 22-24 of the ’953 patent; claim 10 of the ’959
`patent; claims 1, 2, and 5 of the ’949 patent; and claims 1, 5, 6, and 12 of the ’896 patent. ID at
`180-82. The RD recommends that, should the Commission determine that violations of section
`337 occurred, the Commission should: (i) issue a limited exclusion order against Google;
`(ii) issue a cease and desist order against Google; and (iii) set a 100 percent bond for any
`importations of infringing products during the period of Presidential review. RD at 182-88.
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`On August 27, 2021, Sonos and Google each filed a petition seeking review of certain
`findings in the ID. On September 7, 2021, the private parties filed responses to each other’s
`petitions, and OUII filed a combined response to both petitions.
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`On September 13, 2021, the Commission received eight submissions on the public
`interest from members of the public in response to the Commission’s Federal Register notice.
`See 86 FR 46715 (Aug. 19, 2021). The Commission did not receive submissions on the public
`interest from the parties pursuant to Commission Rule 210.50(a)(4) (19 CFR 210.50(a)(4)).
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`On November 19, 2021, the Commission determined to review the ID in part with respect
`to the ID’s analysis of whether the products accused of infringing the ’258 and ’953 patents are
`articles that infringe at the time of importation. 86 FR 67492 (Nov. 26, 2021). The Commission
`also determined to correct two typographical errors on pages 24 and 84 of the ID. Id. The
`Commission did not request briefing on any issue under review. Id. The Commission’s notice
`also requested written submissions on remedy, the public interest, and bonding. Id.
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`On December 2, 2021, Sonos, Google, and OUII each filed initial submissions on
`remedy, the public interest, and bonding. That same day, the Commission also received four
`additional submissions on the public interest from members of the public. On December 10,
`2021, Sonos, Google, and OUII each filed reply submissions on remedy, the public interest, and
`bonding.
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`The Commission, having reviewed the record in this investigation, including the final
`ID, the parties’ petitions and responses thereto, has determined that Google has violated section
`337 by importing into the United States, selling for importation, or selling in the United States
`after importation certain audio players and controllers, components thereof, and products
`containing the same that infringe one or more of claims 17, 21, 24, and 26 of the ’258 patent;
`claims 7, 14, and 22-24 of the ’953 patent; claim 10 of the ’959 patent; claims 1, 2, and 5 of
`the ’949 patent; and claims 1, 5, 6, and 12 of the ’896 patent.
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`The Commission has determined that the appropriate remedy is: (i) a limited exclusion
`order prohibiting the importation of certain audio players and controllers, components thereof,
`and products containing the same that infringe one or more of claims 17, 21, 24, and 26 of
`the ’258 patent; claims 7, 14, and 22-24 of the ’953 patent; claim 10 of the ’959 patent; claims 1,
`2, and 5 of the ’949 patent; and claims 1, 5, 6, and 12 of the ’896 patent; and (ii) a cease and
`desist order against Google. The Commission has determined that the public interest factors do
`not preclude issuance of a remedy. The Commission has also determined to set a bond in the
`amount of 100 percent of the entered value of the infringing products imported during the period
`of Presidential review (19 U.S.C. 1337(j)).
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`The Commission issues its opinion herewith setting forth its determinations on certain
`issues. This investigation is hereby terminated.
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`The Commission’s orders and opinion were delivered to the President and United States
`Trade Representative on the day of their issuance.
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`The Commission vote for this determination took place on January 6, 2022.
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`The authority for the Commission’s determination is contained in section 337 of the
`Tariff Act of 1930, as amended (19 U.S.C. 1337), and in Part 210 of the Commission’s Rules of
`Practice and Procedure (19 CFR Part 210).
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`By order of the Commission.
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`Issued: January 6, 2022.
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`Lisa R. Barton,
`Secretary to the Commission.
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