#8 Microsoft

Fined - $200 Million

Microsoft Paid VirnetX Holding $200 million to settle a patent dispute over VPN technology in Windows. VirnetX first sued Microsoft in 2007, claiming the software giant had violated two of its VPN (virtual private network) patents through the use of the technology in Windows XP and Vista. A U.S. District Court ruled in VirnetX's favor in March 2010, determining that Microsoft had willfully infringed on the VPN patents in question; ordering the company to pay VirnetX damages of $105.75 million.

As part of the settlement, the lawsuits will be dismissed. Although the final $200 million in damages is almost double the $105.75 million that Microsoft was first ordered to pay, that amount could have tripled had the companies not come to an agreement. VirnetX asserted that Microsoft had violated U.S. patents 6,502,135 and 7,188,180, which both cover specific ways to secure IP-based communications through VPNs and similar technologies. As part of the settlement, Microsoft also acquired a license to use VirnetX’s technologies in Microsoft’s products.

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