Quibi got some good news this week when it won a court decision against Eko, which had accused the streaming provider of patent infringement over its “Turnstyle” tech.
Quibi’s Turnstyle format technology shifts content framing from vertical to horizontal depending on how the user is holding their device. The company denied accusations that it stole Turnstyle from Eko and said the technology was developed and built in-house.
Eko claimed that Quibi employees who previously worked at Snap may have been given access to sensitive information regarding the technology. The company was demanding Quibi either license the technology or stop using it.
However, a California court this week ruled that Eko failed to demonstrate the likelihood of irreparable harm that will occur absent the requested injunctive relief.
“In particular, evidence of harm lacks the requisite specificity and evidentiary support and also lacks a sufficient causal connection to the alleged misappropriation,” the decision read.
“We are extremely pleased the Court ruled today that Eko has not presented a credible case for a preliminary injunction. Eko has no case against Quibi – this is a frivolous lawsuit brought by a company and CEO looking for a payday. We will continue to aggressively defend ourselves,” said Quibi in a statement.
The decision comes at the time when Quibi could ill-afford any more bad news. The service – focused on delivering short episodes of original content to mobile devices – has largely been unable to capture much of an audience, due in part to the coronavirus shutdowns.
Quibi officially launched in April and offered users a 90-day free trial. According to The Verge, which cited data from Sensor Tower, Quibi signed up 910,000 users in its first few days but only about 72,000 of those early users stayed on as paid subscribers after the trial.