Oculus and Zenimax have now been in quarrel for quite some time now as the two behemoth companies battle out allegations of IP theft that powers the Rift headset today. Earlier this year, the Jury awarded Zenimax $500 million pinning Oculus against the wall. But this is not the ending. Facebook owned Oculus have appealed the case furthering their stance against Zenimax and their alleged accusations.
While doing so, Zenimax has also asked the court for Oculus to pay 20% royalty over 10 years according to Ars Technica. US District Judge Ed Kinkeade is currently overseeing the case and has urged both parties to reach a settlement instead of risking a “big decision” that could come down hard against either side rather than “splitting the baby.” He also urges that both parties come to an agreement sooner rather than later according to Law360.
Oculus has responded back to Zenimax’s wishes of 20% royalty over 10 years as they find it unjustified. In the court filings against the injunction Oculus argues that “ZeniMax cannot show it is suffering continuing harm.” Actually, they likely suffered “zero” monetary harm according to Oculus. “ZeniMax does not offer any products that compete with Oculus’s virtual-reality platforms and headsets,” stated in the filings.
Oculus also argues that this sort of injunction not only affects the company’s hard work but also would “disserve the public interest” by letting Zenimax “turn around and wield it as leverage in future licensing negotiations.”
This has been a long drawn out case with big money being thrown around. Zenimax is the parent company of Bethesda who has recently announced AAA VR titles such as Fallout 4 VR, Doom VFR, and Skyrim VR which are being ported over to Oculus’s rival companies like HTC Vive and PlayStation VR. While it isn’t shocking news, it puts the Rift at a disadvantage as the upcoming titles will be drawing many consumers to play the games on other competing platforms.