Cisco Systems Wins Patent Suit; VirnetX Shares Plunge

A federal jury in Texas sided Thursday with Cisco Systems Inc. in a patent-infringement case brought by VirnetX Holding Corp., sending shares of the patent-holding company down 28 percent.

The verdict from a jury in the U.S. court for Texas’ Eastern District dealt a serious blow to VirnetX, a Zephyr Cove, Nev., company that uses its patent portfolio to seek revenue from licensing fees or court judgments. Most of VirnetX’s revenue has come from a $200 million settlement reached with Microsoft Corp. in 2010, according to research firm ISI Group.

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