Many attorneys are in Tyler at the opening of the trial and are reporting back to the VHC IV message board. IMO the shorts are going to be SQUEEZED over the next few days and it is going to be FUN to watch and take some profits off the table ! But as an investor that holds 40K shares of VHC and is also an attorney says in the below BOLDED paragraph…”it ain’t over yet “

Optimism is a wonderful thing; however, we are VHC longs who deeply , deeply believe in VHC's position to such a degree we have invested our hard earned $ in it. NEVER, EVER is there a given. We will view All opening statements , direct examination, cross examination, closing arguments ,and jury instructions in the light most favorable to VHC. It is human nature. Do not buy that Hawaiian Retreat till the jury has spoken.

The below comments are from attorneys reporting back in the trial …NOT VHC attorneys but attorneys that are invested and in the audience.

Jeff's Report from Tyler on Apple's Opening

I traded some texts just now with JeffsWaterWorks, who is at the trial. Apple completed their opening with weak arguments. Their presentation argued that Relay Servers and NATs (Network Address Translation) are not infringing VHC's patents and they are basing their invalidity argument entirely on Kiuchi. He categorized Apple's presentation as "lots of damage control".

As a reminder, this was the ruling from Judge Davis on "routers and similar servers" from Page 8 of the May 2012 Markman:

"Thus, routers, firewalls, and similar servers that participate in typical network communication do not impede “direct” communication between a client and target computer."

Apple's argument is very thin IMO. On Kiuchi, I would refer everyone to Investor_Don's posts 28507 and 28809 about VHC's patents being confirmed for trial with Kiuchi the only remaining reference that hasn't been completely dismissed by the Patent Office.

msg 28507 of 31439 at 9/11/2012 10:21:23 AM by investor_don

Core Technology is Confirmed and Ready for Trial

Also, the fact that all claims asserted against Apple currently stand rejected by the USPTO in non-final office actions is also irrelevant. My opinion is based on the fact that a DNS triggered VPN is the core technology in the VirnetX invention and the claims confirmed by the USPTO so far clearly show that the DNS triggered VPN is unique and patentable. The DNS triggered technology is disclosed in detail in the technical description paragraphs in all VirnetX patents.

update from trial

Greetings all,

Despite my unceremonious ousting from the message board as a suspected short, I thought I would nonetheless share with everyone some updates from the trial. Unfortunately, the storm stopped me from going there myself but I was able to get a representative out there to report back to me.

So far, his opinion is this: it is already beginning to look very bleak for Apple, and it looks like the bigger issue at stake is not if damages will be awarded but how much. He has intentionally not been prepped on the case and is going in with no biases so he is being exposed to the information for the first time in the same manner as the jury.

Apparently, VHC is presenting from the right side of the podium, closest to the jury, and have the benefit of communicating with the jury "directly" (excuse the pun), whereas jurors have to turn to face the other side of the courtroom to look at Apple. My representative said that during Apple's opening argument only one of the jurors (of the whittled down pool of 7) deigned to actually crane his neck to listen, most stared blankly and one appeared to be napping. But during Dr Short's direct exam before lunch, he said the jurors appeared to really take notice, and Dr Short's likability, the presence of his wife and his expressions of disappointment over having to litigate struck a chord. VHC also mentioned that their technology was used in the raid on bin Laden - quite a masterstroke in my opinion!

Other than that, I've heard of nothing major worth reporting, but I will continue to post sporadic updates with anything of significance.

Good luck to all.

Re: update from trial

VHC also mentioned that their technology was used in the raid on bin Laden - quite a masterstroke in my opinion!

Wow! Awesome news. what a great way to open your case! Well done McKool-Smith team.

And, thanks Romantacist for your post.

GO VHC !