Nintendo hit with $21 million patent infringement

Thu May 15, 2008, 5:17 AM ET - LUFKIN, Texas - Nintendo of America Inc. was ordered to pay a small East Texas gaming company $21 million Wednesday for infringing on a patent while designing controllers for its popular Wii and GameCube systems.

A federal jury found in favor of Anascape Ltd. in the lawsuit that was originally filed in 2006. Nintendo spokesman Charlie Scibetta said the company will seek an appeal and expects the court to reduce the award "significantly."

The jury found that Nintendo infringed on Anascape's patent while designing its Wii Classic, WaveBird and Gamecube controllers.

Scibettra said Nintendo was pleased no infringement was found with the motion-sensing technology used in its wandlike Wii and Nuncheck controllers, which mimic movements by users in games such as tennis and boxing.

Attorneys for Anascape did not immediately respond to requests for comment.

Tyler-based Anascape also sued Microsoft Corp. for patent infringements on game controllers but reached an agreement with the company before the start of the trial against Nintendo, The Lufkin Daily News reported.

Microsoft said in a statement that terms of the settlement reached May 1 were confidential.

Source: AP reports (via Yahoo!)