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Retail Media: Wave of Patent Lawsuits Hits Digital Signage Industry

U.S.-based Alpha Modus – a self-proclaimed AI retail tech provider without an operating retail-tech business – is inundating U.S. retailers and digital signage companies with patent lawsuits. Mood Media and Creative Realities are amongst them.

Alpha Modus has been taking on leading digital signage and digital retail providers in North America almost on a weekly basis. Through its lawsuits, the company is targeting the full roster of retail tech heavyweights, including Mood Media, CRI, and Cooler Screens. In addition, Alpha Modus has filed patent infringement suits against Allerin Tech in India and A2Z Cust2Mate in Canada.

A lawsuit has also been filed against Cooler Screens. Stratacache’s Walkbase, which uses a shopping cart-based tracking solution, has not yet been accused of infringing Alpha Modus’s patents. But in a paid article on ibtimes.com, the company says it is “enforcing its patent power with bold strategy,” emphasizing its “unflinching commitment” towards its endeavor – so more lawsuits are sure to follow.

The wave of lawsuits follows the typical pattern of patent trolls – companies that hold patents but don’t actually use them because they don’t have an operating business (so-called Non-Practicing Entities, or NPEs). Unsurprisingly, Alpha Modus doesn’t consider itself a patent troll, even though all the actions align.

The retail tech patents in question are set to expire in a few years. Together with the patent law firm Dickinson Wright, Alpha Modus is suing countless companies, including Broadcom. To finance and pursue patent litigation, a dedicated corporate unit was established, Alpha Modus Ventures.

Alpha Modus holds patents on technologies related to improving the customer experience at the point of sale, using AI-driven systems such as smart shelving, planogram mapping, and retail behavior analytics.