The Strategist

U.S. Illumina ordered to pay over $330M to Chinese competitor

05/09/2022 - 04:15

American Illumina, which develops genome analysis technology, was ordered to pay $333 million to a division of its Chinese competitor, BGI Group.

After determining that Illumina's DNA sequencing devices infringed on two of BGI Group's patents, a Delaware jury ordered Illumina to pay more than $333 million to Complete Genomics, the U.S. division of BGI Group, a Chinese genomics business. Reuters reported on this.

Illumina was accused of infringing on Complete Genomics' patents for "two-channel" sequencing devices (which determine the sequence of nucleotides in a DNA molecule) and DNA fragment production kits. The jury decided that Illumina had infringed on the patents on purpose, and that the three patents that BGI's Complete Genomics subsidiary was accused of infringing on were invalid.

A representative for Illumina said the business will appeal the ruling and that it would not disrupt customer supply. If the business loses the appeal, it would most likely have to pay interest and royalties until the patents expire in 2029, according to a statement to the SEC.

Complete Genomics' counsel expressed satisfaction with the court's decision.