Uninvited Guests in the Smart Home: New NPE Patent Litigation
In keeping with the recent trend in smart home patent litigation, IoT Innovation rang in the new year, suing Snap One in Texas, accusing its Control4 platform for smart home integration. (2:25-cv-00022). Four months earlier, IoT Innovation filed a complaint (2:24-cv-00704) against Snap One in the same district for distributing Ecobee smart home thermostats, cameras, sensors, and plugs.
In the consolidated litigation is also Resideo Technologies, spin-out of the Honeywell Home brand of smart-home products and acquirer of Snap One in June 2024. IoT Innovation expanded its campaign, filing lawsuits directly against Ecobee in February 2024 and their parent company, Generac, in September 2024.
Founded in 2011 by Daniel Mitry and Timothy Salmon, Empire IP is one of the more prolific NPEs, with over 660 cases attributed to the entity and its associated companies. Empire IP is also behind Cuozzo Speed Technologies. Cuozzo may ring a bell as the NPE behind the 2016 US Supreme Court’s unanimous decision to affirm the PTAB’s and Federal Circuit invalidation decisions and their use of the broadest reasonable claim construction rule.
Unfortunately, the year 2025 promises more activity from Empire IP, as several tranches of patents have been assigned to Empire IP or Empire IP-associated entities like Fleet Connect. Fortunately, Empire IP’s success appears to be mixed: out of 992 defendants, 500 have settled, 155 have seen their cases dismissed voluntarily with prejudice, and only 47 have proceeded to a Markman hearing. Of the defendants whose cases have gone to Markman, only 22 have settled.
The majority of the 32 patents litigated by IoT Innovation originated over a decade ago from Nokia and AT&T and passed through various Intellectual Ventures entities such as Sulvanuss Capital, Spyder Navigations, and Amosmet Investments. In fact, Intellectual Ventures maintains a secured interest in the monetization proceeds from a number of the patents assigned to IoT Innovations.
Empire IP, in general, and IoT Innovations specifically, continue to expand their litigation, becoming an uninvited guest in the smart home. With the smart home industry’s estimated 2025 revenue being $170B, as well as a CAGR of nearly 10% through 2029, little doubt remains as to whether NPEs will continue to assert in this space.