MPEG LA Sues Opta Corporation and Opta Systems, LLC, Formerly Doing Business as GoVideo, for Breach of MPEG-2 and 1394 License Agreements

MPEG LA, LLC, world leader in alternative one-stop patent
licenses, today announced that it has sued Opta Corporation and its
subsidiary Opta Systems, LLC, formerly doing business as GoVideo, for
breach of Opta Systems, LLC's MPEG-2 Patent Portfolio License and 1394
Patent Portfolio License ("Contracts") with MPEG LA.

According to the complaint filed in the Delaware Court of
Chancery, Opta Systems, LLC has breached its contractual obligations
to MPEG LA by failing to report the manufacture and sale of MPEG-2 and
1394 Royalty Products and pay royalties as required by the Contracts.
Opta Systems, LLC manufactured and sold DVD players and other devices
incorporating patented MPEG-2 and IEEE 1394 technologies. It is
further alleged that Opta Systems, LLC's assets were later transferred
to Opta Corporation to avoid paying royalties. MPEG LA seeks, among
other things, monetary damages and an order enjoining Opta Systems,
LLC and Opta Corporation from using MPEG-2 and 1394 patents.

Digital Products International (DPI, Inc.), formerly GPX, Inc.,
which reportedly now has an exclusive licensing agreement with Opta
Corporation for use of the GoVideo brand, is an MPEG-2 Patent
Portfolio Licensee in good standing and is not a party to this action.

MPEG LA, LLC

MPEG LA is the world leader in alternative technology licenses,
enabling users to acquire worldwide patent rights necessary for a
technology standard or platform from multiple patent holders in a
single transaction as an alternative to negotiating separate licenses.
Wherever an independently administered one-stop patent license would
provide a convenient marketplace alternative to assist users with
implementation of their technology choices, the licensing model
pioneered and employed by MPEG LA may provide a solution. Among MPEG
LA's licenses is one for MPEG-2 digital video compression that has
helped produce the most widely employed standard in consumer
electronics history. The MPEG-2 Patent Portfolio License, which
includes more than 825 MPEG-2 essential patents in 57 countries, has
approximately 1200 licensees accounting for most MPEG-2 products in
the current world market. DVD videos are encoded with MPEG-2 video
data, and every DVD player contains an MPEG-2 decoder. In addition,
MPEG LA licenses patents that are essential for the IEEE 1394 high
speed transfer digital interface; the 1394 Patent Portfolio License,
which includes more than 175 patents in 22 countries, has more than
350 licensees. MPEG LA is an independent licensing administrator; it
is not related to any standards agency and is not an affiliate of any
patent holder. For more information, please refer to
http://www.mpegla.com.