Adding a mathematical formula to an abstract idea does not provide an inventive concept sufficient to render a patent claim eligible under section 101.
The patentee sued the defendant for infringement of a patent directed to encoding and decoding image data using mathematical operations. The district court granted judgment on the pleadings, finding the claims ineligible under 35 U.S.C. § 101. The appellate court reviews the eligibility determination de novo. At the first step of the Alice inquiry, the court determines the claims are directed to the abstract idea of encoding and decoding. At the second step, the court searches for an inventive concept sufficient to transform the nature of the claim into a patent-eligible application. The court holds that adding a mathematical formula to an abstract idea does not render the claim non-abstract. Because the claims lack an inventive concept evident in their language, they remain ineligible. The court affirms the district court’s judgment.
At page 1327 Determining abstract idea eligibility under section 10181 citing cases“to save a patent at step two, an inventive concept must be evident in the claims.”
- Nielsen Co. (US) v. VideoAmp, Inc., No. 1:25-cv-00408 (D. Del. Feb. 12, 2026).(To save a patent at step two, an inventive concept must be evident in the claims.)
- Clear Imaging Rsch. LLC v. Google LLC, No. 3:25-cv-00221 (S.D. Cal. Dec. 4, 2025). (Adding one 18 abstract idea (math) to another abstract idea (encoding and decoding) does not render the 19 claim non-abstract.)
- Natera, Inc. v. Neogenomics Labs., Inc., 797 F. Supp. 3d 580 (M.D.N.C. 2025).published(To save a patent at step two, an inventive concept must be evident in the claims.)
- Arkose Labs Holdings, Inc. v. DataDome, No. 1:23-cv-01467 (D. Del. July 8, 2025).(Adding one abstract idea (math) to another abstract idea (encoding and decoding) does not render the claim non-abstract.)
- Angel Tech. Grp., LLC v. Meta Platforms, Inc., No. 22-2100 (Fed. Cir. Sept. 17, 2024).unpublished (Adding one abstract idea . . . to another abstract idea . . . does not render the claim non-abstract.)
- AML IP, LLC v. Bath & Body Works, LLC, No. 4:22-cv-00216 (E.D. Tex. Aug. 13, 2024).(To save a patent at step two, an inventive concept must be evident in the claims.)
- REGENXBIO Inc. v. Sarepta Therapeutics, Inc., No. 1:20-cv-01226 (D. Del. Jan. 5, 2024). (To save a patent at step two, an inventive concept must be evident in the claims.)
- Cambridge Mobile Telematics Inc. v. Zendrive Inc., No. 1:22-cv-01260 (D. Del. Sept. 27, 2023). (To save a patent at step two, an inventive concept must be evident in the claims.)
- Validity, Inc. v. Proj. Bordeaux, Inc., No. 1:23-cv-00365 (D. Del. Sept. 22, 2023).(A process that start[s] with data, add[s] an algorithm, and end[{s] with a new form of data [is] directed to an abstract idea.)
- Realtime Data LLC v. Array Networks Inc., No. 21-2251 (Fed. Cir. Aug. 2, 2023).unpublished([P]rocess that start[s] with data, add[s] an algorithm, and end[s] with a new form of data [is] directed to an abstract idea.)
Show 70 more citing cases
- Broadband Itv, Inc. v. Amazon.com, Inc., No. 6:20-cv-00921 (W.D. Tex. Sept. 30, 2022). (Adding one abstract idea . . . to another abstract idea . . . does not render the claim non-abstract.)
- Fortinet, Inc. v. Forescout Tech., Inc., No. 3:20-cv-03343 (N.D. Cal. Nov. 29, 2021).(Adding one abstract idea . . . to another abstract idea 23 . . . does not render the claim non-abstract.)
- Realtime Data LLC v. Array Networks Inc., 537 F. Supp. 3d 591 (D. Del. 2021).published(A process that start[s] with data, add[s] an algorithm, and end[s] with a new form of data [is] directed to an abstract idea.)
- In re Morsa, No. 19-1757 (Fed. Cir. Apr. 10, 2020).unpublished(Adding one abstract idea . . . to another abstract idea . . . does not render the claim non-abstract.)
- Gaelco S.A. v. Arachnid 360, LLC, No. 1:16-cv-10629 (N.D. Ill. Dec. 21, 2017).(Unlike , claim 1 does not claim a software method that improves the functioning of a computer. It claims a ‘process that qualifies as an abstract idea for which computers are invoked merely as a tool.’)
- Savvy Dog Sys., LLC. v. Pennsylvania Coin, LLC, No. 3:19-cv-01470 (M.D. Pa. Sept. 19, 2022).(To save a patent at step two, an inventive concept must be evident in the claims.)
- Pure Data Sys., LLC v. Ubisoft, Inc., 329 F. Supp. 3d 1054 (N.D. Cal. 2018).published(Adding one abstract idea ... to another abstract idea ... does not render the claim non-abstract.)
- Gaelco S.A. v. Arachnid 360, LLC, 293 F. Supp. 3d 783 (E.D. Ill. 2017).published“unlike enfish , claim 1 does not claim a software method that improves the functioning of a computer. it claims a 'process that qualifies as an abstract idea for which computers are invoked merely as a tool.”
- I3logix, Inc. v. Enhanced Voting LLC, No. 3:26-cv-00315 (M.D. Fla. Sept. 17, 2026).The Federal Circuit has held that, “[t]o save a patent at step two, an inventive concept must be evident in the claims.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017). 6 The Court notes that Plaintiff inserts into…
- Range Energy Inc. v. Hyliion Inc., No. 3:26-cv-02311 (N.D. Cal. Sept. 1, 2026).However, “[t]o save a 2 patent at step two, an inventive concept must be evident in the claims.” RecogniCorp, LLC v. 3 Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017).
- Schoeneckers, Inc. v. Kobie Mktg., Inc., No. 1:25-cv-01263 (D. Del. June 3, 2026).“an inventive concept must be evident in the claims”
- Media Content Prot. LLC v. Intel Corp., No. 1:20-cv-01243 (D. Del. Nov. 25, 2025).RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017).
- Gamehancement LLC v. FOOTAGE FIRM, INC., 801 F. Supp. 3d 578 (E.D. Va. 2025).publishedThe narrower abstract idea is still abstract, and “[a]dding one abstract idea . . . to another abstract idea . . . does not render the claim non-abstract.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017).
- Bootler, LLC v. Google, LLC, 799 F. Supp. 3d 728 (N.D. Ill. 2025).publishedAny such “inventive concept must be evident in the claims.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed.
- Netflix, Inc. v. Broadcom Inc., 793 F. Supp. 3d 1168 (N.D. Cal. 2025).publishedCir. 2017) (citing 12 RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed.
- Clear Imaging Rsch. LLC v. Google LLC, 790 F. Supp. 3d 948 (S.D. Cal. 2025).publishedCir. 2016), 25 but it “must be evident in the claims” themselves, RecogniCorp LLC v. Nintendo Co., 26 Ltd., 855 F.3d 1322, 1327 (Fed.
- Directpacket Rsch., Inc. v. Polycom, Inc., No. 24-1147 (Fed. Cir. June 25, 2025).unpublished“Adding one abstract idea . . . to another abstract idea . . . does not render the claim non-abstract.” Recog- niCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017).
- Fundamental Innovation Sys. Int'l LLC v. Anker Innovations Ltd., No. 1:21-cv-00339 (D. Del. Feb. 11, 2025).“To save a patent at step two, an inventive concept must be evident in the claims.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1327 (Fed. Cir. 2017). 2. 35 U.S.C. § 112 □ “TA] patent is invalid for indefiniteness if its claims, read…
- Hybir, Inc. v. Veeam Software Corp., 757 F. Supp. 3d 162 (D. Mass. 2024).publishedF4th at 1317 (citing RecogniCorp v. Nintendo Co., Ltd., 855 F.3d 1322, 1327 (Fed. Cir. 2017)).
- Redwood Tech., LLC v. Netgear, Inc., No. 1:22-cv-01272 (D. Del. Oct. 28, 2024).(second quote)
- NantWorks, LLC v. Niantic, Inc., No. 3:20-cv-06262, 2024 WL 3363568 (N.D. Cal. July 9, 2024).Step Two: Inventive Concept 2 “[A]n inventive concept must be evident in the claims.” RecogniCorp, LLC v. Nintendo Co., 3 855 F.3d 1322, 1327 (Fed.
- Koninklijke Kpn N v. v. Gemalto M2m GmbH, 942 F.3d 1143 (Fed. Cir. 2019).published
- 3G Licensing v. Blackberry Ltd., 302 F. Supp. 3d 640 (D. Del. 2018).published
- Cleveland Clinic Found. v. True Health Diagnostics LLC, 859 F.3d 1352 (Fed. Cir. 2017).published
- Secured Mail Solutions LLC v. Universal Wilde, Inc., 873 F.3d 905 (Fed. Cir. 2017).published
- Two-Way Media Ltd. v. Comcast Cable Commc'ns, LLC, 874 F.3d 1329 (Fed. Cir. 2017).published
- Ecoservices, LLC v. Certified Aviation Servs., 830 F. App'x 634 (Fed. Cir. 2020).unpublished
- Gree, Inc. v. Supercell Oy, 855 F. App'x 740 (Fed. Cir. 2021).unpublished
- Personalweb Tech. LLC v. Google LLC, 8 F.4th 1310 (Fed. Cir. 2021).published
- Distefano Pat. Trust III, LLC v. Linkedin Corp., 346 F. Supp. 3d 616 (D. Del. 2018).published
- In re Authwallet, LLC, No. 22-1842 (Fed. Cir. May 10, 2023).unpublished
- Rothschild Digit. Confirmation, LLC v. Skedulo Holdings Inc., No. 3:19-cv-02659, 2020 WL 1307016 (N.D. Cal. Mar. 19, 2020).
- Yu v. Apple Inc., No. 3:18-cv-06181, 2020 WL 1429773 (N.D. Cal. Mar. 24, 2020).
- MyMail, Ltd. v. ooVoo, LLC, 613 F. Supp. 3d 1142 (N.D. Cal. 2020).published
- Bluebonnet Internet Media Servs., LLC v. Pandora Media, LLC, No. 3:21-cv-08294 (N.D. Cal. Sept. 7, 2022).
- Receivership Est. of AudienceScience Inc. v. Google LLC, No. 5:22-cv-04756 (N.D. Cal. May 2, 2024).
- Ameranth, Inc. v. Pizza Hut, Inc., No. 3:11-cv-01810 (S.D. Cal. Mar. 14, 2022).
- Blix Inc. v. Apple Inc., No. 1:19-cv-01869 (D. Del. Nov. 30, 2020).
- Zyrcuits IP LLC v. Acuity Brands, Inc., No. 1:20-cv-01306 (D. Del. Aug. 2, 2021).
- Consumeron, LLC v. MapleBear Inc., No. 1:21-cv-01147 (D. Del. Nov. 30, 2021).
- Invitae Corp. v. Natera, Inc., No. 1:21-cv-00669 (D. Del. Nov. 30, 2021).
- Future Link Sys., LLC v. Amlogic Holdings, Ltd., No. 1:21-cv-00634 (D. Del. Nov. 30, 2021).
- Int'l Bus. Machines Corp. v. Zynga Inc., 642 F. Supp. 3d 481 (D. Del. 2022).published
- Pictometry Int'l Corp. v. Roofr, Inc., No. 1:21-cv-01852 (D. Del. Jan. 19, 2023).
- Wireless Discovery LLC v. Coffee Meets Bagel, Inc., 654 F. Supp. 3d 347 (D. Del. 2023).published
- Election Sys. & Software, LLC v. Smartmatic USA Corp., No. 1:18-cv-01259 (D. Del. Apr. 25, 2023).
- Cambridge Mobile Telematics Inc. v. Zendrive Inc., No. 1:22-cv-01260 (D. Del. July 28, 2023).
- SurgeTech, LLC v. Uber Tech. Inc., 700 F. Supp. 3d 179 (D. Del. 2023).published
- Michigan Motor Tech., LLC v. Bayerische Motoren Werke AG, No. 1:22-cv-03804 (N.D. Ill. July 21, 2023).
- OANDA Corp. v. Stonex Grp. Inc, 717 F. Supp. 3d 713 (N.D. Ill. 2024).published
- NEXRF Corp. v. Playtika Ltd., 547 F. Supp. 3d 977 (D. Nev. 2021).published
- Rensselaer Polytechnic Inst. v. Amazon.com, Inc., 723 F. Supp. 3d 132 (N.D.N.Y. 2024).published
- Guvera IP Pty Ltd. v. Spotify, Inc., No. 1:21-cv-04544 (S.D.N.Y. Sept. 28, 2022).
- EscapeX IP LLC v. Block, Inc., 652 F. Supp. 3d 396 (S.D.N.Y. 2023).
- Cybergenetics Corp. v. Inst. of Env't Sci. & Rsch., 490 F. Supp. 3d 1237 (N.D. Ohio 2020).published
- AR Design Innovations LLC v. Ashley Furniture Indus., Inc., No. 4:20-cv-00392 (E.D. Tex. Mar. 30, 2021).
- Commc'n Interface Tech., LLC v. Albertson's LLC, No. 4:20-cv-00550 (E.D. Tex. Sept. 29, 2021).
- Broadband Itv, Inc. v. amazon.com, Inc., 113 F.4th 1359 (Fed. Cir. 2024).published
- Wireless Discovery LLC v. Eharmony, Inc., 654 F. Supp. 3d 360 (D. Del. 2023).published
- Aviation Capital Partners, LLC v. SH Advisors, LLC, No. 1:22-cv-01556 (D. Del. Aug. 18, 2023).
- Redwood Tech., LLC v. Netgear, Inc., 738 F. Supp. 3d 511 (D. Del. 2024).published
- Immersion Corp. v. Fitbit, Inc., 313 F. Supp. 3d 1005 (N.D. Cal. 2018).published
- MyMail, Ltd. v. ooVoo, LLC, 313 F. Supp. 3d 1095 (N.D. Cal. 2018).published
- In re Biogen 755 Pat. Litig., 335 F. Supp. 3d 688 (D.N.J. 2018).published
- Align Tech., Inc. v. 3shape, 339 F. Supp. 3d 435 (D. Del. 2018).published
- Citrix Sys., Inc. v. Avi Networks, Inc., 363 F. Supp. 3d 511 (D. Del. 2019).published
- Dropbox, Inc. v. Synchronoss Techs., Inc., 371 F. Supp. 3d 668 (N.D. Cal. 2019).published
- Voip-Pal.Com, Inc. v. Apple Inc., 375 F. Supp. 3d 1110 (N.D. Cal. 2019).published
- Orcinus Holdings, LLC v. Synchronoss Techs., Inc., 379 F. Supp. 3d 857 (N.D. Cal. 2019).published
- Uniloc U.S. Inc. v. LG Elecs. USA Inc., 379 F. Supp. 3d 974 (N.D. Cal. 2019).published
At page 1326 Determining abstract idea under alice step one26 citing casesMorse code, ordering food at a fast food restaurant via a numbering system, and Paul Revere’s ‘one if by land, two if by sea’ signaling system all exemplify encoding at one end and decoding at the other end.
- Infernal Tech., LLC v. Sony Interactive Ent. Am., LLC, No. 2:19-cv-00248, 2021 WL 5804262 (E.D. Tex. Dec. 7, 2021).(Morse code, ordering food at a fast food restaurant via a numbering system, and Paul Revere’s ‘one if by land, two if by sea’ signaling system all exemplify encoding at one end and decoding at the other end.)
- Tecsec, Inc. v. Adobe Inc., 978 F.3d 1278 (Fed. Cir. 2020).published B Adobe argued to the district court that “the claims are directed to the impermissibly abstract idea of managing access to objects using multiple levels of encryption.” J.A. 1845; see J.A. 1857 (heading: “The Asserted Claims of the DCOM P…
- Induction Devices LLC v. Recreational Equip., Inc., No. 2:25-cv-00790 (E.D. Tex. Sept. 25, 2026).RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1326 (Fed. Cir. 2017).
- Authentixx LLC v. Pickleball OpCo LLC, No. 3:25-cv-01599 (N.D. Tex. June 26, 2026). “The inquiry often is whether the claims are directed to ‘a specific means or method’ for improving technology or whether they are simply directed to an abstract end- result.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1326 (Fed. Cir…
- Random Chat, LLC v. Altra Fed. Credit Union, No. 2:25-cv-00478 (E.D. Tex. Mar. 6, 2026).“The inquiry often is whether the claims are directed to a ‘specific means or method’ for improving technology or whether they are simply directed to an abstract end-result.” RecogniCorp, LLC v. Nintendo Co., 855 F.3d 1322, 1326 (Fed. Cir.…
- Onecal, No. 1:24-cv-22361 (S.D. Fla. Jan. 24, 2026).The Federal Circuit has held that “software patent claims” satisfy Alice Step One “when they are ‘directed to a specific implementation of a solution to a problem in the software arts,’ such as an improvement in the functioning of a comput…
- Caddo Sys., Inc. v. Jetbrains Americas, Inc., No. 1:22-cv-01033 (D. Del. Feb. 25, 2025).See, e.g., Simio, 983 F.3d at 1361 (“[c]laiming the improved speed or efficiency inherent with applying the abstract idea on a computer is insufficient to render the claims patent eligible as an improvement to computer functionality.” (int…
- Withrow Networks, Inc. v. Google, LLC, No. 5:24-cv-03203 (N.D. Cal. Jan. 21, 2025).But an invention is not directed to 9 improving computer functionality if it merely “add[s] conventional computer components to well- 10 known business practices,” Affinity 838 F.3d at 1270 (cleaned up); recites “generalized steps to be 11…
- VB Assets, LLC v. Amazon.com Servs. LLC, 751 F. Supp. 3d 391 (D. Del. 2024).publishedThe jury further heard that the adaptive misrecognition engine was inventive because it capitalized on marrying interactivity with advertising “instead of it being a 11 To clarify, the Court does not disagree with Amazon’s general understa…
- Koninklijke Kpn N v. v. Gemalto M2m GmbH, 942 F.3d 1143 (Fed. Cir. 2019).published
Show 15 more citing cases
- Dropbox, Inc. v. Synchronoss Tech., Inc, 815 F. App'x 529 (Fed. Cir. 2020).unpublished
- In re Mohapatra, No. 20-1935 (Fed. Cir. Feb. 5, 2021).unpublished
- California Inst. v. Broadcom Ltd., 25 F.4th 976 (Fed. Cir. 2022).published
- Procter & Gamble Co. v. QuantifiCare Inc., 288 F. Supp. 3d 1002 (N.D. Cal. 2017).published
- 3G Licensing v. Blackberry Ltd., 302 F. Supp. 3d 640 (D. Del. 2018).published
- Epic IP LLC v. Backblaze, Inc., 351 F. Supp. 3d 733 (D. Del. 2018).published
- directPacket Rsch., Inc. v. Polycom, LLC, No. 3:19-cv-03918 (N.D. Cal. Sept. 26, 2023).
- B.S.D Crown, Ltd. v. Amazon.com, Inc., No. 3:23-cv-00057 (N.D. Cal. Jan. 29, 2024).
- Park Assist, LLC v. San Diego Cnty. Reg'l Airport Auth., 402 F. Supp. 3d 956 (S.D. Cal. 2019).published
- SynKloud Tech., LLC v. Microsoft Corp., No. 1:19-cv-01360 (D. Del. Sept. 29, 2020).
- A. Zahner Co. v. Hendrick Metal Prods., LLC, No. 1:17-cv-04139 (N.D. Ill. July 20, 2018).
- Tobii Tech., Inc. v. Lee S. Weinblatt, No. 2:20-cv-08062 (D.N.J. Aug. 30, 2021).unpublished
- Teliax Tech. LLC v. Affinity Network, Inc., 636 F. Supp. 3d 1199 (D. Nev. 2022).published
- Pure Parlay, LLC v. Stadium Tech. Grp., Inc., 652 F. Supp. 3d 1255 (D. Nev. 2023).published
- Total Quality Sys. v. Universal Synaptics, No. 1:22-cv-00167 (D. Utah May 23, 2024).
At page 1328 Determining patent eligibility of abstract ideas12 citing cases[C]laim 1 is directed to the abstract idea of encoding and decoding. The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.
- British Telecomm. PLC v. Iac/Interactive Corp, 381 F. Supp. 3d 293 (D. Del. 2019).published ([C]laim 1 is directed to the abstract idea of encoding and decoding. The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.)
- Specialized Monitoring Solutions, LLC v. ADT LLC, 367 F. Supp. 3d 575 (E.D. Tex. 2019).published“claim 1 is directed to the abstract idea of encoding and decoding. the addition of a mathematical equation that simply changes the data into other forms of data cannot save it.”
- Isentium, LLC v. Bloomberg Fin. L.P., 343 F. Supp. 3d 379 (S.D. Ill. 2018).published“the addition of a mathematical equation that simply changes the data into other forms of data cannot save it.”
- OnePass Data Tech. LLC v. Verizon Commc'ns Inc., No. 1:25-cv-01112 (D. Del. May 26, 2026).Disputes over eligibility can be resolved on a Rule 12(b)(6) or Rule 12(c) motion “where the undisputed facts, considered under the standards required by that Rule, require a holding of ineligibility under the substantive standards of law.…
- OnePass Data Tech. LLC v. AT&T Mobility LLC, No. 1:25-cv-01111 (D. Del. May 26, 2026).Disputes over eligibility can be resolved on a Rule 12(b)(6) or Rule 12(c) motion “where the undisputed facts, considered under the standards required by that Rule, require a holding of ineligibility under the substantive standards of law.…
- Ricoh Co. v. Zoom Commc'ns, Inc., No. 1:25-cv-01095 (D. Del. May 1, 2026).Disputes over eligibility can be resolved on a Rule 12(b)(6) or Rule 12(c) motion “where the undisputed facts, considered under the standards required by that Rule, require a holding of ineligibility under the substantive standards of law.…
- Tech. in Ariscale, LLC v. Razer USA Ltd., No. 24-1657 (Fed. Cir. Jan. 6, 2026).unpublished(concluding the claims were directed to the abstract idea of “encoding and decoding image data)
- OpenTV, Inc. v. Pinterest, Inc., No. 1:24-cv-01301 (D. Del. Nov. 26, 2025).Disputes over eligibility can be resolved on a Rule 12(b)(6) or Rule 12(c) motion “where the undisputed facts, considered under the standards required by that Rule, require a holding of ineligibility under the substantive standards of law.…
- Credit Acceptance Corp. v. Westlake Servs., 859 F.3d 1044 (Fed. Cir. 2017).published
- Sap Am., Inc. v. Investpic LLC, No. 17-2081 (Fed. Cir. Aug. 2, 2018).published
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- Cardionet, LLC v. InfoBionic, Inc, No. 1:17-cv-10445 (D. Mass. Oct. 16, 2018).
- Int'l Bus. Machines Corp. v. Zillow Grp. Inc, No. 2:20-cv-00851 (W.D. Wash. July 15, 2021).
At page 1324 Finding patent claims directed to abstract idea3 citing cases“standard encoding and decoding”
- Nokia Tech. OY v. Warner Bros. Ent., No. 1:25-cv-01337 (D. Del. Mar. 5, 2026).“standard encoding and decoding”
- Synopsys, Inc. v. Siemens Indus. Software Inc., No. 3:20-cv-04151 (N.D. Cal. Nov. 12, 2020).
- Regents of the Univ. of Minnesota v. LSI Corp., No. 5:18-cv-00821 (N.D. Cal. Aug. 25, 2023).
[C]laim 1 is directed to the abstract idea of encoding and decoding. The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.
- Specialized Monitoring Solutions, LLC v. ADT LLC, 367 F. Supp. 3d 575 (E.D. Tex. 2019).published([C]laim 1 is directed to the abstract idea of encoding and decoding. The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.)
- Isentium, LLC v. Bloomberg Fin. L.P., 343 F. Supp. 3d 379 (S.D. Ill. 2018).published(The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.)
v.
NINTENDO CO., LTD., Nintendo of America, Inc., Defendants-Appellees
ReeogniCorp sued Nintendo for patent infringement. The district court found that RecogniCorp’s patent claims ineligible subject matter and, based on that finding, granted Nintendo’s motion for judgment on the pleadings. ReeogniCorp appeals. The patent’s claims are directed to the abstract idea of encoding and decoding image data, and the claims do not contain an inventive concept sufficient to render the patent eligible. Therefore, we affirm.
Background
1. The ’303 Patent
U.S. Patent No. 8,005,303 (“’303 patent”) patent is en-titled “Method and Apparatus for Encoding/Decoding Image Data.” J.A. 17. It teaches a method and apparatus for building a composite facial image using constituent parts. See, e.g., J.A. 27 (col. 1 ll. 30-56 and col. 2 ll. 19-28); J.A. 28 (col. 4 ll. 35-45).
Prior to the invention disclosed in the ’303 patent, composite facial images typically were stored in file formats such as “bitmap,” “gif,” or “jpeg.” But these file formats required significant memory, and compressing the images often resulted in decreased image quality. Digital transmission of these images could be difficult. The ’303 patent sought to solve this problem by encoding the image at one end through a variety of image classes that required less memory and bandwidth, and at the other end decoding the images.
For purposes of this appeal, we find amended claim 1 to be representative. [1] It recites:
1. A method for creating a composite image, comprising:
displaying facial feature images on a first area of a first display via a first device associated with the first display, wherein the facial feature images are associated with facial feature element codes;
selecting a facial feature image from the first area of the first display via a user interface associated with the first device, wherein the first device incorporates the selected facial feature image into a composite image on a second area of the first display, wherein the composite image is associated with a composite facial image code having at least a facial feature element code and wherein the composite facial image code is derived by performing at least one multiplication operation on a facial code using one or more code factors as input parameters to the multiplication operation; and
reproducing the composite image on a second display based on the composite facial image code.
J.A. 35 (US 8,005,303 Cl, col. 1 ll. 23-40) (Reexamination Certificate for ’303 patent).
2. District Court Litigation and Reexamination
The ’303 patent issued on August 23, 2011. J.A. 17. It later was assigned to ReeogniCorp, LLC (“ReeogniCorp”). In 2012, ReeogniCorp filed suit in the United States District Court for the District of Oregon against Nintendo Co., Ltd. and Nintendo of America, Inc. (together, “Nintendo”) for infringement of several claims of the ’303 patent. J.A. 49,196. In 2012, the case was transferred to the United States[*1325] District Court for the Western District of Washington.
The district court stayed the case in 2013 pending a reexamination by the United States Patent and Trademark Office (“PTO”). The reexamination focused on obviousness and resulted in several amended claims, including claim 1. See J.A. 35. The amended claims all contain similar language regarding multiplication operations. Specifically, the limitation “wherein the composite facial image code is derived by performing at least one multiplication operation on a facial code using one or more code factors as input parameters to the multiplication operation” (or a limitation substantially identical) was added to the independent claims. J.A. 4. In light of these amendments, the PTO issued a reexamination certificate for the ’303 patent. Upon completion of the reexamination in 2014, the district court lifted the stay.
In March 2015, Nintendo filed a motion for judgment on the pleadings, asserting that the claims were ineligible under 35 U.S.C. § 101. Section 101 provides that “[wjhoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor....” There is an exception to that general principle: subject matter directed to laws of nature, natural phenomena, or abstract ideas is not patent-eligible. Alice Corp. v. CLS Bank Int’l, — U.S. —, 134 S.Ct. 2347, 2354, 189 L.Ed.2d 296 (2014). The Supreme Court has established a two-step test to determine whether patent claims are directed to ineligible subject matter. In the first step, “we determine whether the claims at issue are directed to one of those patent-ineligible concepts.” Id. at 2355. If the answer in step one is yes, “we then ask, ‘[w]hat else is there in the claims before us?’ ” Id. (quoting Mayo Collaborative Servs. v. Prometheus Labs., Inc., 566 U.S. 66, 132 S.Ct. 1289, 1297, 182 L.Ed.2d 321 (2012)). In other words, step two asks whether the patent claims an “ ‘inventive concept’ sufficient to ‘transform’ the claimed abstract idea into a patent-eligible application.” Id. at 2357 (quoting Mayo, 132 S.Ct. at 1294, 1298).
In December 2015, without issuing a claim construction ruling, the district court granted Nintendo’s motion. At Alice step one, the district court concluded that the asserted claims are “directed to the abstract idea of encoding and decoding composite facial images using a mathematical formula.” J.A. 8. According to the district court:
[The claims] boil down to: (1) displaying potential input variables (the facial features and their modifications), (2) selecting and manipulating the inputs, (3) deriving an output code by performing a “multiplication operation” on the inputs, and (4) outputting the original inputs on another device by performing the sequence in reverse on another device.
J.A. 8. The district court analogized the process to “paint by numbers.” J.A. 8.
At Alice step two, the district court found that the ’303 patent contains no inventive concept. J.A. 11. It stated that “the entirety of the ’303 Patent consists of the encoding algorithm itself or purely conventional or obvious pre-solution activity and post-solution activity insufficient to transform the unpatentable abstract idea into a patent-eligible application.” J.A. 14 (quotation marks, citations, and alterations omitted). Based on these findings, the district court granted Nintendo’s motion for judgment on the pleadings.
RecogniCorp timely appeals. We have jurisdiction under 28 U.S.C. § 1295(a)(1).
Discussion
1. Standard of Review
We review procedural aspects of motions for judgment on the pleadings us[*1326] ing regional circuit law, which in this case is the Ninth Circuit. McRO, Inc. v. Bandai Namco Games Am. Inc., 837 F.3d 1299, 1311 (Fed. Cir. 2016). The Ninth Circuit reviews motions for judgment on the pleadings de novo. Enron Oil Trading & Transp. Co. v. Walbrook Ins. Co., 132 F.3d 526, 528 (9th Cir. 1997). We review § 101 patent eligibility determinations de novo. McRO, 837 F.3d at 1311.
2. Analysis
A. Alice Step One
Under the first step of Alice, we decide whether the claims are directed to ineligible subject matter, such as an abstract idea. McRO, 837 F.3d at 1312; Internet Patents Corp. v. Active Network, Inc., 790 F.3d 1343, 1346 (Fed. Cir. 2015). The inquiry often is whether the claims are directed to “a specific means or method” for improving technology or whether they are simply directed to an abstract end-result. McRO, 837 F.3d at 1314. If the claims are not directed to an abstract idea, the inquiry ends. Thales Visionix Inc. v. United States, 850 F.3d 1343, 1349 (Fed. Cir. 2017).
While “generalized steps to be performed on a computer using conventional computer activity” are abstract, Enfish, LLC v. Microsoft Corp., 822 F.3d 1327, 1338 (Fed. Cir. 2016), not all claims in all software patents are necessarily directed to an abstract idea, Ultramercial, Inc. v. Hulu, LLC, 772 F.3d 709, 715 (Fed. Cir. 2014). For example, we have held that software patent claims satisfy Alice step one when they are “directed to a specific implementation of a solution to a problem in the software arts,” such as an improvement in the functioning of a computer. Enfish, 822 F.3d at 1338-39.
We find that claim 1 is directed to the abstract idea of encoding and decoding image data. It claims a method whereby a user displays images on a first display, assigns image codes to the images through an interface using a mathematical formula, and then reproduces the image based on the codes. See J.A. 35 (col. 1 11. 23-40). This method reflects standard encoding and decoding, an abstract concept long utilized to transmit information. Cf. Intellectual Ventures I LLC v. Capital One Fin. Corp., 850 F.3d 1332, 1340-41 (Fed. Cir. 2017) (organizing, displaying, and manipulating data encoded for human- and machine-readability is directed to an abstract concept). Morse code, ordering food at a fast food restaurant via a numbering system, and Paul Revere’s “one if by land, two if by sea” signaling system all exemplify encoding at one end and decoding at the other end. Even the ’303 patent describes “a common technique for synthesizing single images of faces involving] horizontally dividing the image of a face into bands for different features,” such that “[pjaper strips containing exemplary features [can] then be combined to form a composite drawing of a face.” J.A. 27 (col. 1 11. 37-43).
RecogniCorp invokes Diamond v. Diehr, 450 U.S. 175, 101 S.Ct. 1048, 67 L.Ed.2d 155 (1981), to support its argument that claiming the use of a mathematical formula does not necessarily render a patent ineligible. RecogniCorp is correct. In Diehr, the Supreme Court held that despite a method claim’s recitation of a mathematical formula, “a physical and chemical process for molding precision synthetic rubber products falls within the § 101 categories of possibly patentable subject matter.” Id. at 184, 101 S.Ct. 1048. In confirming pat-entability, the Supreme Court focused not on the presence of a mathematical formula but on the subject matter of the claims as a whole. Id. at 192, 101 S.Ct. 1048 (“[A] claim containing a mathematical formula” satisfies § 101 when it “implements or applies that formula in a structure or process which, when considered as a whole, is performing a function which the patent laws[*1327] were designed to protect.”). Here, the relevant inquiry does not turn one way or the other just on claim l’s use of multiplication. See J.A. 35 (’308 Reexamination Certificate, col. 1 11. 34-38). Rather, the focus is on the claim as a whole. Diehr is distinguishable because, outside of the math, claim 1 of the ’303 patent is not directed to otherwise eligible subject matter. Adding one abstract idea (math) to another abstract idea (encoding and decoding) does not render the claim non-abstract.
RecogniCorp argues that, as in Enfish, “the district court mischaracterized the invention using an improperly high level of abstraction that ignored the particular encoding process recited by the claims.” Appellant’s Op. Br. 11. In Enfish, we warned that “describing the claims at such a high level of abstraction and untethered from the language of the claims all but ensures that the exceptions to § 101 swallow the rule.” 822 F.3d at 1337. But the district court did not make that mistake regarding the ’303 patent. The claims of the ’303 patent are clearly directed to encoding and decoding image data. Unlike Enfish, claim 1 does not claim a software method that improves the functioning of a computer. See id. It claims a “process that qualifies as an ‘abstract idea’ for which computers are invoked merely as a tool.” Id. at 1336.
This case is similar to Digitech Image Technologies, LLC v. Electronics for Imaging, Inc., 758 F.3d 1344 (Fed. Cir. 2014). There, the claims of the challenged patent were directed to the abstract idea of organizing information through mathematical correlations. Id. at 1350-51. We explained that the claim at issue “recites a process of taking two data sets and combining them into a single data set” simply by organizing existing data into a new form. Id. at 1351. A process that started with data, added an algorithm, and ended with a new form of data was directed to an abstract idea. Id. In this case, the ’303 patent claims a method whereby a user' starts with data, codes that data using “at least one multiplication operation,” and ends with a new form of data. We discern no material difference between the Alice step one analysis in Digitech and the analysis here.
We proceed to the second step of Alice because the ’303 patent claims are directed to an abstract idea.
B. Alice Step Two
In step two of the Alice inquiry, we search for an “ ‘inventive concept’ sufficient to ‘transform the nature of the claim into a patent-eligible application.’” McRO, 837 F.3d at 1312 (quoting Alice, 134 S.Ct. at 2355). To save a patent at step two, an inventive concept must be evident in the claims. See Alice, 134 S.Ct. at 2357 (“[W]e must examine the elements of the claim to determine whether it contains an ‘inventive concept.’” (emphasis added)); Synopsys, Inc. v. Mentor Graphics Corp., 839 F.3d 1138, 1149 (Fed. Cir. 2016) (“The § 101 inquiry must focus on the language of the Asserted Claims themselves.”).
RecogniCorp argues that the claims of the ’303 patent contain an inventive concept sufficient to render them patent-eligible. Specifically, it contends that the combination of claim elements, i.e., the “particular encoding process using the specific algorithm disclosed” in the patent “transforms” the abstract idea into a patentable invention. RecogniCorp also points out the “facial feature element codes” and “pictorial entity symbols” disclosed in the ’303 patent claims. We find that these claim elements do not transform the'nature of the ’303 patent claims into a patent-eligible application. McRO, 837 F.3d at 1312.
In DDR Holdings, LLC v. Hotels.com, L.P., we found that the patent[*1328] claims satisfied Alice step two because “the claimed solution amounts to an inventive concept for resolving [a] particular Internet-centric problem.” 773 F.3d 1245, 1259 (Fed. Cir. 2014). Claim 1 of the ’303 patent contains no similar inventive concept. Nothing “transforms” the abstract idea of encoding and decoding into patent-eligible subject matter. Alice, 134 S.Ct. at 2357. Nor does the presence of a mathematical formula dictate otherwise. Claims that are directed to a non-abstract idea are not rendered abstract simply because they use a mathematical formula. Diehr, 450 U.S. at 187, 101 S.Ct. 1048. But the converse is also true: A claim directed to an abstract idea does not automatically become eligible merely by adding a mathematical formula. See, e.g., Clarilogic, Inc. v. FormFree Holdings Corp., — Fed. Appx. -, 2017 WL 992528, at *3 (Fed. Cir. Mar. 15, 2017). As we explained above, claim 1 is directed to the abstract idea of encoding and decoding. The addition of a mathematical equation that simply changes the data into other forms of data cannot save it.
In BASCOM Global Internet Services, Inc. v. AT&T Mobility LLC, the patent owner “alleged that an inventive concept can be found in the ordered combination of claim limitations that transform the abstract idea of filtering content into a particular, practical application of that abstract idea.” 827 F.3d 1341, 1352 (Fed. Cir. 2016). We found the allegation sufficient to survive a motion to dismiss, where all facts had to be construed in the patent owner’s favor. Id. Here, RecogniCorp has not alleged a particularized application of encoding and decoding image data. Indeed, claim 1 does not even require a computer; the invention can be practiced verbally or with a telephone. J.A. 28 (col. 4 ll. 59-63); J.A. 32 (col. 11 ll. 53-59). Independent claim 36 claims the use of a computer, but it does exactly what we have warned it may not: tell a user to take an abstract idea and apply it with a computer. Versata Dev. Grp., Inc. v. SAP Am., Inc., 793 F.3d 1306, 1332 (Fed. Cir. 2015).
In sum, the claims of the ’303 patent lack an inventive concept that transforms the claimed subject matter from an abstract idea into a patent-eligible application. Alice, 134 S.Ct. at 2357.
Conclusion
The claims of the ’303 patent are directed to encoding and decoding image data, an abstract idea. The claims provide no inventive concept to render them eligible under § 101. We therefore affirm the district court’s grant of Nintendo’s motion for judgment on the pleadings.
AFFIRMED
Costs
No costs.
. ReeogniCorp argued before the district court that “each asserted claim must be analyzed separately.” J.A. 3 n.l. ReeogniCorp does not maintain this argument on appeal; it therefore is waived. SmithKline Beecham Corp. v. Apotex Corp., 439 F.3d 1312, 1319 (Fed. Cir. 2006). We discuss limitations of other claims where appropriate.