IBM has won a landmark victory over Groupon after a federal jury ruled that the online deals company infringed on several of IBM’s internet technology patents. The verdict, delivered in a Delaware courtroom, awarded IBM approximately $83 million in damages, marking one of the largest patent awards in the company’s history.
The dispute centered on four patents related to foundational e-commerce technology, including single sign-on systems and methods for online advertising and user tracking. IBM argued that Groupon built parts of its platform using these patented systems without obtaining the proper licenses.
Jurors sided with IBM, finding that Groupon had willfully violated the company’s intellectual property. The ruling followed years of litigation in which IBM accused Groupon of using innovations originally developed during the early days of online commerce.
An IBM spokesperson praised the outcome, stating that the verdict affirms the company’s commitment to protecting its extensive patent portfolio. Groupon said it was disappointed by the decision and was evaluating its legal options.
Industry analysts noted that the case underscores the ongoing tension between legacy tech giants and modern internet firms, many of which rely on older but still essential technologies. IBM’s victory is expected to strengthen its negotiating position in future licensing discussions with other technology companies.
The lawsuit adds to a growing list of legal battles where established players have successfully defended their intellectual property against newer digital platforms, reinforcing the value of early internet patents in today’s technology landscape.
