A judge ruled in favor of the small patent company which had a patent dispute with Google, AOL (AOL), IAC/InterActiveCorp (IACI), Gannett (GCI) and Target (TGT). Vringo sued these companies, alleging infringement of two of its advertising patents which the companies used to place advertisements on their Internet-search results.
Back in November 2012, the patent company won the case against Google but a judge determined that Google’s new advertising system continued to infringe Vringo’s patent. As a result, the judge raised the royalty rate from 3.5% to 6.5%.
The royalties that Vringo will receive from these companies could bring the company’s value up to $1 billion. VRNG stock is up 26% Wednesday.