Oculus hit with $500 million judgement in ZeniMax lawsuit

Oculus hit with $500 million judgement in ZeniMax lawsuit

Oculus today was ordered to pay half a billion dollars to game company ZeniMax. Three weeks back, we reported that Oculus founder Palmer Luckey was headed to court over allegations of violating a non-disclosure agreement, stolen intellectual property, and a made-up origin story about Luckey.

Today, a jury awarded ZeniMax $500 million. It wasn’t the $4 billion the company asked for, but the sizable judgement isn’t exactly chump change, either.

The award is composed of $200 million for the NDA violation, $50 million for copyright infringement, $50 million against co-founder Palmer Luckey for false designation — a legal term used to describe misrepresentation of a product or service — and a $150 award against former CEO Brendan Iribe, also for false designation.

The lawsuit stings, but what might hurt even more is the $250 million a half-baked origin story about Luckey building Oculus in his parents garage eventually cost the company. Live and learn.

An Oculus spokesperson told Polygon:

The heart of this case was about whether Oculus stole ZeniMax’s trade secrets, and the jury found decisively in our favor. We’re obviously disappointed by a few other aspects of today’s verdict, but we are undeterred. Oculus products are built with Oculus technology. Our commitment to the long-term success of VR remains the same, and the entire team will continue the work they’ve done since day one – developing VR technology that will transform the way people interact and communicate.

The company plans to appeal the ruling.

Oculus lawsuit ends with half billion dollar judgment awarded to ZeniMax on Polygon

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