Sandpiper CDN, LLC v. Microsoft Corporation — Entry #1
Case: Sandpiper CDN, LLC v. Microsoft Corporation txed · 2:26-cv-00681
filed August 11, 2026
What this document is
Docket entry #1 · filed August 11, 2026
Who is involved
- Microsoft Corporation
- Sandpiper CDN, LLC
Why we have it
We follow this case because it names a company we track, although that company is not a party:
- CoreWeave: its name “CoreWeave” appears in a filing in this case.
…deal with specialist cloud computing provider CoreWeave to use its datacenters for some of Microsoft’s…
A free copy from the RECAP archive of federal court filings (mirrored at the Internet Archive), retrieved September 30, 2026. Federal court filings are public records.
Document text
89 page(s), 121,379 characters, converted from the PDF's text layer · plain text.
Full text
Case 2:26-cv-00681 Document 1 Filed 08/11/26 Page 1 of 89 PageID #: 1
IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF TEXAS
MARSHALL DIVISION
Sandpiper CDN, LLC,
Plaintiff,
v.
Civil Case No.
Microsoft Corporation,
JURY TRIAL DEMANDED
Defendant.
COMPLAINT FOR PATENT INFRINGEMENT
Plaintiff Sandpiper CDN, LLC (“Sandpiper CDN,” “Sandpiper,” or “Plaintiff”) hereby
files this Complaint for patent infringement against Defendant Microsoft Corporation (“Microsoft”
or “Defendant”), and alleges as follows:
INTRODUCTION
1. This case involves Microsoft’s willful infringement of Sandpiper CDN’s patents.
Sandpiper’s patents, which cover foundational aspects of content delivery network (“CDN”) and
other networking technologies, enable Microsoft’s $100 billion-per-year Azure business1 and other
wildly successful Microsoft business units.
2. In June 2025, Sandpiper CDN sued Microsoft in the Eastern District of Texas
alleging that Microsoft willfully infringes six patents core to CDN and microservices technologies
through operation of Microsoft’s own CDNs for itself and through the paid Azure CDN service it
1
See “Press Release & Webcast; Earnings Release FY26 Q4” July 29, 2026
https://www.microsoft.com/en-us/investor/earnings/fy-2026-q4/press-release-webcast (“This year,
Azure revenue surpassed $100 billion for the first time. . . .”).
1
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sells to others. Sandpiper CDN, LLC v. Microsoft, No. 25-664-JRG-RSP, Dkt. 1 (E.D. Tex. June
24, 2025) (hereinafter, “Microsoft I”). In Microsoft I, Sandpiper CDN explained how, in 2006,
Microsoft offered tens of millions of dollars for a deal in which Microsoft would have acquired all
of the patents now owned by Sandpiper CDN, but when the bidding reached $135 million, Microsoft
decided to pay nothing and use the patented technology anyway. See Microsoft I, Dkt. 41, ¶¶ 47-53.
3. Microsoft’s willful infringement extends to the patents in this case by other, distinct
Azure technologies. For example, while Microsoft I did not include patents from the Intelligent
Traffic Manager (“ITM”) family of patents, this case does, and these ITM patents were of particular
interest to Microsoft even after Microsoft’s failed bid in 2006 to acquire the entire patent portfolio
now held by Sandpiper CDN. Indeed, Level 3, after paying $135 million for these patents, operated
its own ITM service, explaining that “Intelligent Traffic Manager (ITM) is a DNS-based, web
administered, global load balancing service,” and that Level 3 practices ITM patents in providing
its services.2 A decade later, Microsoft decided to copy Sandpiper’s ITM product and, by at least
2017, released its own “Intelligent Traffic Manager,” explaining “Azure Traffic Manager is a global
load balancer” that “uses the Domain Name System (DNS) protocol.”3 And to this day, Microsoft
2
See Intelligent Traffic Manager (ITM) Global Load Balancing Service
https://assets.lumen.com/is/content/Lumen/Service-Guide-ITM-Services-
20140423pdf?Creativeid=f6f344ff-d8df-4717-8323-8a2039ac51fa; see also Level 3, “Legal,”
https://web.archive.org/web/20141012113846/http://www.level3.com/en/legal/ (“Certain Level 3
content delivery services are provisioned using systems, methods, and/or functionality covered by
one or more of the following U.S. Patents: … 7,822,871”).
3
See “Microsoft CEO Mentions Containers and Serverless Computing in Keynote,” Sept. 25, 2017,
https://www.sdxcentral.com/news/microsoft-ceo-mentions-containers-and-serverless-computing-in-
keynote/ (“As for serverless computing, Microsoft last month added an intelligent traffic manager to
its plans with the unveiling of its Azure Event Grid routing service.”); “Architecture best practices
for Azure Traffic Manager,” https://learn.microsoft.com/en-us/azure/well-architected/service-
guides/azure-traffic-manager; “Azure Front Door: Implementing lessons learned following October
outages,” https://techcommunity.microsoft.com/blog/azurenetworkingblog/azure-front-door-
implementing-lessons-learned-following-october-outages/4479416 (“We have a highly distributed
resilient architecture, which protects against failures at the server, rack, site and even at the regional
level. This resiliency is achieved by the use of our intelligent traffic management layer ….”).
2
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refers to its Azure Traffic Manager interchangeably as “Intelligent Traffic Management” and
depicts it architecturally in public-facing documents as its own architecture:4
4. As explained below, Microsoft also learned of the ITM patent family and its
application to CDN services provided by Microsoft at least through public filings in Microsoft I.
5. In addition, there are multiple other infringing Microsoft technologies distinct from
those accused of infringement in Microsoft I, as described below. Despite all of the above, over a
year after the filing of Microsoft I, Microsoft still has not ceased infringing or paid for a license to
any of the patents Sandpiper CDN owns and that Microsoft tried, and failed, to acquire rights to
before Microsoft began its infringement. Sandpiper CDN thus files this second lawsuit to hold
4
See “Azure Front Door: Implementing lessons learned following October outages” Dec. 18, 2025
https://techcommunity.microsoft.com/blog/azurenetworkingblog/azure-front-door-implementing-
lessons-learned-following-october-outages/4479416.
3
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Microsoft accountable for its continuing and willful infringement of different Sandpiper CDN
patents covering distinct but vitally important Microsoft technologies.
NATURE OF THE ACTION
6. This is a civil action against Microsoft for patent infringement arising under the
patent statutes of the United States, 35 U.S.C. § 271, et seq., for the infringement of United States
Patent Nos. 9,021,112, 7,822,871, 7,860,964, 10,116,738, 8,645,517, 9,660,876, 9,647,899, and
8,156,066 (collectively, “the Asserted Patents”). A true and correct copy of each Asserted Patent is
attached to this Complaint as Exhibits A-H. Each of the Asserted Patents is owned by Plaintiff
Sandpiper CDN, and Plaintiff and/or its predecessors-in-interest have satisfied all statutory
obligations required to collect pre- and post-filing damages for the full period allowed by law for
infringement of the Asserted Patents, including compliance with 35 U.S.C. § 287.
PARTIES
7. Plaintiff Sandpiper CDN is a Delaware limited liability company with its principal
place of business in Wilmington, Delaware.
8. Defendant Microsoft Corporation is a Delaware corporation with a principal place of
business at One Microsoft Way, Redmond, WA 98052. Upon information and belief, Microsoft has
been registered to do business in Texas since March 13, 1995, and may be served with process via its
registered agent: Corporation Service Company, d/b/a CSC – Lawyers Incorporating Service
Company, 211 E. 7th Street, Suite 620, Austin, TX 78701.
JURISDICTION AND VENUE
9. This action arises under the patent statutes of the United States, Title 35 of the United
States Code. This Court has subject matter jurisdiction over this action under 28 U.S.C. §§ 1331 and
1338(a).
10. This Court has personal jurisdiction over Microsoft in this action because Microsoft
4
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conducts business in and has committed acts of patent infringement within this District and the State
of Texas and has established minimum contacts with the forum such that the exercise of jurisdiction
over Microsoft would not offend traditional notions of fair play and substantial justice.
11. Microsoft directly and/or through subsidiaries and intermediaries has engaged in
continuous, systematic, and substantial activities within this State, including substantial marketing,
offering, and sales of products and services. These products and services include Microsoft products
and services comprising the accused Content Delivery Network (“CDN”) functionalities.
12. Venue is proper in this District pursuant to 28 U.S.C. §§ 1391(b) and (c) and/or
1400(b). Defendant maintains regular and established places of business in the Eastern District of
Texas and the State of Texas, regularly transacts business in the Eastern District of Texas, and has
committed and continues to commit acts of patent infringement in the Eastern District of Texas.
13. Personal jurisdiction over Defendant Microsoft is proper in this District because,
among other things, Microsoft has seven corporate offices in the State of Texas and employs hundreds
of people therein. Microsoft represents that one of those offices is in Frisco, Texas, and thus within
this District.5
14. Additionally, Microsoft operates Microsoft Windows Stores within at least ten Best
Buy retail locations throughout the State of Texas, including in this District. According to Microsoft,
these Windows Stores are a “comprehensive store-within-a-store,” with dedicated “Microsoft
specialists” serving Best Buy customers within this “unique environment.”6 These locations are
operated by Microsoft within Best Buy stores and are regular and established places of business for
5
Microsoft, Microsoft U.S. Office Locations (available at https://www.microsoft.com/en-
us/about/officelocator/all-offices?msockid=325270f10c6b61543e3b64490de760b4).
6
Microsoft, Microsoft and Best Buy announce the Windows Store only at Best Buy, (available at
https://news.microsoft.com/source/2013/06/13/microsoft-and-best-buy-announce-the-windows-
store-only-at-best-buy-2/).
5
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Microsoft. Indeed, as Microsoft’s vice president of computing for Best Buy put it, “The Windows
Store creates the kind of retail destination we all want to shop in, combining great selection, the latest
technology, the best service and the lowest prices.”7 Microsoft maintains its distinct business identity
at these locations, renting the space from Best Buy and holding out its Windows Stores as discrete
retail locations.8
15. Further, Microsoft owns and maintains millions of dollars of real property in Collin
County, located within this District.9
16. Microsoft similarly owns and maintains tens of thousands of dollars in business
personal property registered at several Best Buy locations in Denton County, also within this
District.10
17. Microsoft also holds approximately $2 million worth of business personal property,
including data servers, at Aligned Data Center, located at 2800 Summit Avenue, Plano, TX 75074,
which is within this District.
18. Microsoft’s website confirms that its “Azure Content Delivery Network” has a “point
of presence (POP) location[]” in “Plano, TX, USA.”11
19. Upon information and belief, Microsoft’s Azure POP location operates out of the
Aligned Data Center located in this District.
20. Compounding its significant connections to this District, in 2023 Microsoft
7
Id.
8
Microsoft, Talking Retail: The New Windows Store Only at Best Buy (June 13, 2013), (available at
https://blogs.windows.com/windowsexperience/2013/06/13/talking-retail-the-new-windows-store-
only-at-best-buy/).
9
See Collin Central Appraisal District, Property Search (available at https://esearch.collincad.org)
(search results for “Microsoft”).
10
See Denton Central Appraisal District, Property Search (available at
https://www.dentoncad.com/property-search) (search results for “Microsoft”).
11
Microsoft, “Azure Content Delivery Network Coverage by Metro,” Sept. 27, 2024 (available at
https://learn.microsoft.com/en-us/azure/cdn/cdn-pop-locations).
6
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announced a multi-billion-dollar deal with specialist cloud computing provider CoreWeave to use its
datacenters for some of Microsoft’s Azure AI workloads.12 This deal will include Microsoft’s use of
CoreWeave’s $1.6 billion datacenter in Plano, Texas, located in this District.13 Microsoft is currently
CoreWeave’s biggest customer.14
21. Courts have repeatedly found jurisdiction over Microsoft to be proper in the Eastern
District of Texas, including in numerous patent disputes where Microsoft consented to jurisdiction
for or litigated in this District, including in Microsoft I.15
22. Microsoft has targeted and continues to direct its business activities toward this
District. Given Microsoft’s substantial business and property in this District and the State of Texas,
and because of its ongoing infringing activities in this District, Microsoft is subject to this Court’s
general and specific jurisdiction pursuant to due process and the Texas Long Arm statute.
23. Venue is likewise proper in this District because of Microsoft’s numerous physical
places of business, employees, and property ownership in this District, and because Microsoft has
repeatedly consented to litigation in this District. Moreover, as described more fully below, on
12
See Sebastian Moss, Datacenter Dynamics, “Microsoft signs multi-billion dollar deal with GPU
cloud provider CoreWeave to meet AI needs” (available at
https://www.datacenterdynamics.com/en/news/microsoft-signs-multi-billion-dollar-deal-with-gpu-
cloud-provider-coreweave-to-meet-ai-needs/).
13
See Sebastian Moss, Datacenter Dynamics, “CoreWeave plans $1.6bn AI cloud data center in
Plano, Texas” (available at https://www.datacenterdynamics.com/en/news/coreweave-plans-16bn-ai-
cloud-data-center-in-plano-texas/).
14
See Reinhardt Krause, CoreWeave Stock Rockets to New High Amid New Data Center Leasing
Deal, Investor’s Business Daily, (available at
https://www.investors.com/news/technology/coreweave-stock-new-high-nvidia-stock-applied-
digital/).
15
See, e.g., Dialect, LLC v. Microsoft Corp., 2:24-cv-01067-JRG, Dkt. 13 at paras 12-16 (E.D. Tex.
May 19, 2025) (admitting for purposes of this case that Microsoft is subject to personal jurisdiction
in EDTX); VPN Tech. Holdings, LLC v. Microsoft Corp., 2:25-cv-00001-JRG-RSP, Dkt. 12 at paras
5-7 (Feb. 24, 2025) (admitting personal jurisdiction and specific jurisdiction in EDTX for this case);
i4i Ltd. P’ship v. Microsoft Corp., 398 F. Supp. 3d 90 (E.D. Tex. 2019) (declining to contest personal
jurisdiction in patent infringement litigation); Biscotti Inc. v. Microsoft Corp., 302 F. Supp. 3d 797
(E.D. Tex. 2018) (declining to contest personal jurisdiction in patent infringement litigation).
7
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information and belief Microsoft commits acts of infringement in this District, including by
performing the methods of the Asserted Claims (or at least one or more steps of these method claims)
of the Asserted Patents through its CDN POP(s) and/or data centers in this District and otherwise
delivering content to end users in this District through the accused CDN services.
24. Venue is also proper and convenient in this District because Sandpiper’s patent
portfolio has been litigated in this District, including specific patents asserted in this case. In
November 2024, Sandpiper sued Comcast in the Eastern District of Texas, asserting patents within
the same portfolio as those asserted in this case, including the ’876 patent asserted against Microsoft
in this case. Sandpiper CDN, LLC v. Comcast Cable Comm’s, LLC, Case No. 2:24-cv-00886-JRG
(E.D. Tex. Nov. 1, 2024) (hereinafter, “Comcast”). Comcast filed a motion to transfer, which was
denied, and then filed for mandamus with the Federal Circuit seeking to set aside denial of transfer,
which was also denied.16 The case proceeded through claim construction, fact discovery, and expert
reports, settling during expert discovery.17
SANDPIPER NETWORKS REVOLUTIONIZES NETWORKING TECHNOLOGIES
VITAL FOR CONTENT DELIVERY
25. Today, content delivery networks (“CDN”) enable content providers to quickly
deliver online information to millions of consumers simultaneously. But this has not always been the
case.
26. In the early 1990s, the Internet rapidly evolved from burgeoning technology to
household staple in the span of a few years. This mass adoption led to data congestion issues, as a
quickly expanding user base sought simultaneous access to Internet content. The typical computer
server in the 1990s was only capable of handling a limited number of simultaneous connections before
16
Id., Dkt. 67, 82; see also in re Comcast Cable Commc’ns, LLC, et al., 26-104 (Fed. Cir. Dec. 9, 2025) available at
https://fedcircuitblog.com/wp-content/uploads/2025/11/26-104_Comcast_Order.pdf
17
Comcast, Dkt. 113, 134 (May 4, 2026).
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it became overloaded, leading to congested network segments, overburdened servers, and sluggish
load times. The problem was even more pronounced for Internet users who lived far from the physical
servers hosting their content, who experienced more lag and higher latency due to the geographic
distance their signals traveled through physical internet cables.
27. Andrew Swart and David Farber were among the first individuals to develop services
that allowed content providers to avoid the common congestion and performance issues that plagued
Internet transmission in the mid-1990s. One of their solutions was to deploy CDN servers around the
world that would more evenly distribute where data was processed. Mr. Swart and Mr. Farber
developed infrastructure that replicated content requested from customers’ origin servers to
appropriate CDN servers and transparently rendezvoused the request to the CDN server best able to
deliver that content. Their invention helped transform the early Internet, making it more efficient,
responsive, and adaptable to users. Unsurprisingly, this service and its architecture were quickly
imitated by many others in the industry, including Microsoft.
28. The CDN technology developed by Mr. Swart and Mr. Farber connected consumers
to an edge server with available bandwidth that was geographically closer to them. This revolutionary
approach provided numerous technical benefits. For example, distributing content across a network
of servers alleviated data congestion issues, while connecting consumers to nearby edge servers—
rather than distant origin servers—reduced latency. Mr. Swart and Mr. Farber developed and built
systems and methods for propagating data from origin servers to edge servers (in one example, a
process known as “caching”) for storage and delivery to clients based on network demand/traffic.
29. In 1996, Mr. Swart and Mr. Farber founded Sandpiper Networks Inc. (“Sandpiper
Networks”) to further develop and commercialize their novel CDN concepts. By at least May 24,
1996, the Sandpiper Networks team developed infrastructure for delivering streaming resources, such
as audio and video, using Sandpiper’s CDN.
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30. Sandpiper Networks labored not only to build and implement its CDN, but also to
protect its groundbreaking innovation through patent protection. Recognizing that its inventions could
revolutionize content delivery worldwide, Sandpiper Networks filed numerous patent applications
directed to its foundational CDN technology.
31. From at least May 1998 and through 1999, Sandpiper Networks partnered directly
with content providers to cache and deliver their content to end consumers through their CDN.
Sandpiper Networks’ first paying customer, the L.A. Times, paid Sandpiper Networks to host the report
of Independent Counsel Ken Starr on his investigation of President Bill Clinton (“the Starr Report”)
beginning on September 11, 1998.
32. Sandpiper Networks continued gaining widespread notoriety and won numerous
awards for its CDN products and services during this time.18
33. In December 1999, Sandpiper merged with Digital Island, Inc. (“Digital Island”) in
a deal valued at $1.1B (approximately $2.1B today, adjusting for inflation) with the aim of creating
a global computer network that would facilitate consumer e-commerce transactions.19 Digital Island
then filed additional patent applications directed to and complementary to CDN technology.
34. Following a series of acquisitions, on or about 2004, the assets of Digital Island and
the Sandpiper Networks’ patents were purchased by the data center company Savvis Inc. (“Savvis”).
18
See Nick Wingfield, The Wall Street Journal, “Sandpiper Networks’ Footprint Takes Aim at
Internet Traffic” (June 17, 1999),
https://www.wsj.com/articles/SB929571998724587925?st=DAy23s&reflink=desktopwebshare_per
malink; Karen Kaplan, Los Angeles Times, “Sandpiper Networks’ Footprint Wins Award” (May 31,
1999), https://www.latimes.com/archives/la-xpm-1999-may-31-fi-42763-story.html; CBR Staff
Writer, Tech Monitor, “Sandpiper Adds RealSystem G2 to its Content Delivery Network” (Aug. 4,
1999),
https://www.techmonitor.ai/technology/sandpiper_adds_realsystem_g2_to_its_content_delivery_net
work); Barbara Murphy, Los Angeles Times, “Sandpiper Networks Given Investor’s Choice Award”
(Oct. 5, 1999) https://www.latimes.com/archives/la-xpm-1999-oct-05-me-18779-story.html.
19
Karen Kaplan, L.A. Times, “Sandpiper Networks to Merge with Digital Island in $1.1-Billion Deal”
(Oct. 9, 1999) https://www.latimes.com/archives/la-xpm-1999-oct-26-fi-26295-story.html.
10
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35. In January 2007, Savvis’ CDN service assets, including the CDNs and patents of
Digital Island and Sandpiper Networks, were acquired by Level 3 Communications (“Level 3”).
36. Following the January 2007 acquisition of Sandpiper’s CDN and patents, Level 3
continued innovating upon the technologies described in the Sandpiper Networks and Digital Island
patents. Level 3 patented these innovations and eventually became one of the foremost CDN operators
in the U.S.
37. Level 3 was acquired by CenturyLink on or about November 2017, and the combined
company rebranded as Lumen Technologies, or simply “Lumen,” in September 2020.20 Lumen is
headquartered in Monroe, Louisiana, which is approximately a two-hour drive from Marshall, Texas.
38. Sandpiper CDN, a successor to Sandpiper Networks, now holds all rights and title to
a portfolio of more than 400 patents resulting from the many years of research and development,
hundreds of millions of dollars in capital investment, and ingenuity of numerous engineers employed
by Sandpiper CDN and its predecessors. Like Sandpiper Networks, Sandpiper CDN was co-founded
and is co-owned by Mr. Swart who, in addition to licensing its foundational patent portfolio, continues
to seek commercialization of the Footprint CDN software as well.21
MICROSOFT’S INFRINGEMENT OF THE ASSERTED PATENTS
39. In the early-to-mid 2000s, as demand for CDNs continued its precipitous rise,
numerous other companies entered the CDN market to take advantage of the increased demand. These
companies commercialized their own CDNs by incorporating the foundational CDN technology
pioneered and patented by Sandpiper Networks.
40. The misappropriation of Sandpiper Networks’ patents capitalized on, and
20
See Lumen, “Level 3 Financing completes sale of Sustainability-Linked Senior Notes,” (Jan. 13,
2021), https://ir.lumen.com/news/news-details/2021/Level-3-Financing-completes-sale-of-
Sustainability-Linked-Senior-Notes/default.aspx.
21
See generally, https://sandpiper-cdn.com.
11
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undermined, the significant financial investment and years of research into CDN development and
implementation undertaken by Sandpiper Networks and its successors.
41. Microsoft is one such company. Beginning in the mid-2000s and throughout the
2010s, as widely used Microsoft products such as the Office suite, the cloud computing platform
Azure, and XBOX gaming systems expanded their online operations, Microsoft started relying
heavily on third-party CDNs to efficiently deliver its content to consumers.
42. In 2007, for example, 95% of all Microsoft’s online content was delivered by third-
party CDNs. Level 3 provided Microsoft with CDN content delivery capabilities, including ITM
services, using the technology underlying its patents, including one or more of the Asserted Patents
at this time.
43. Microsoft’s General Manager for the Edge Computing Network acknowledged this
reliance on Level 3 and third-party CDNs for content delivery in his keynote address at the 2009
Content Delivery Summit.22 By then, as that presentation highlighted, Microsoft was determined to
move its content delivery in-house. Microsoft projected that by 2010, it would drop its reliance on
Level 3 and other third-party CDNs to just 40% of content delivery.
44. On or about February 2010, Microsoft’s cloud computing platform Azure launched
the Azure CDN to its subscribers, using technology described and claimed by one or more of the
Asserted Patents. At no point did Microsoft license this patented technology from Sandpiper CDN or
its predecessors.
45. From the launch of Azure CDN, and until on or about May 2018, the Azure CDN
continued to offer CDN delivery options from third-party providers. This approach permitted users
22
Jeff Cohen Keynote Address Slide Deck, Content Delivery Summit (May 11, 2009),
https://conferences.infotoday.com/documents/83/CDNSummit09-Keynote-Microsoft.pdf.
12
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to choose third parties to provide content delivery through the Azure CDN network.23
46. Nevertheless, Microsoft continued to rely on third-party CDNs, including Level 3,
throughout the 2010s for most of its content delivery. For example, in 2014, as one analyst estimated,
Microsoft still required third-party CDNs for approximately 75% of its content delivery, including
increased reliance on Level 3 and the Asserted Patents.24
47. On or about May 2018, Microsoft announced its own CDN, available as an individual
provider on the Azure network. This allowed users to select Microsoft among its third-party CDN
provider partners through its Azure CDN.25
48. Microsoft’s CDN network, however, infringed the Asserted Patents.
49. Since 2018, Microsoft has greatly expanded its content delivery networks, including
with the launch of a public CDN and multiple tiers of Azure CDN services, as well as other Azure
products and services, using technology claimed in the Asserted Patents. Moreover, Microsoft has
never licensed the Asserted Patents from either Sandpiper CDN or its predecessors.
MICROSOFT LEARNS OF THE ASSERTED PATENTS
AND WILLFULY INFRINGES THEM
50. During at least part of Microsoft’s infringement of the Asserted Patents, Microsoft
either knew of the Asserted Patents, or was willfully blind to them, and disregarded a substantial risk
of infringement, making Microsoft’s infringement egregious and willful.
51. Sandpiper Networks and its successors widely publicized the Asserted Patents, which
became well known as fundamental patents in the CDN and related spaces.
23
Microsoft Azure Blog, “Announcing Microsoft’s Own Content Delivery Network” (May 7, 2018),
https://azure.microsoft.com/en-us/blog/announcing-microsoft-s-own-cdn-
network/?msockid=325270f10c6b61543e3b64490de760b4.
24
Dan Rayburn, “Microsoft Relying More on Third Party CSNs, Limelight Networks Getting More
Business,” Streaming Media Blog (Feb. 17, 2015),
https://www.streamingmediablog.com/2015/02/microsoft-third-party-cdns.html.
25
“Announcing Microsoft’s own Content Delivery Network,” Microsoft Azure Blog (May 7, 2018),
Announcing Microsoft's own Content Delivery Network | Microsoft Azure Blog.
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52. For example, on or about October 1999, when Sandpiper Networks announced its
merger with Digital Island, including merged ownership of the Sandpiper Networks’ patents, shares
of both companies soared. By the close of trade on the day of the announcement, Sandpiper Networks
was valued at over $1 billion, while Digital Island was valued at over $2 billion. Leo Spiegel, then
CEO of Sandpiper Networks who became President of the combined company, estimated that given
the growing need for CDNs, the market opportunity for the merged companies could exceed $20
billion.26
53. In December 2006, Level 3 announced its acquisition of the Savvis CDN business,
including the patents stemming from the inventions of Sandpiper Networks, for $135 million.27
Reports at the time said that there were multiple bidders for these assets.28 Indeed, publicly filed
documents describe Level 3 as “the winning bidder” for these patents.29 The unredacted portions of
a redacted publicly filed document explains that Level 3 and Limelight both bid on these patents,
along with “various third parties,” noting “the substantial interest in the CDN patents shown by a
number of companies” and the existence of “third-party bids.”30 The unredacted portions of another
such document notes the “competition [Level 3] faced in making the purchase [of the patents],” the
“bids and expressions of interest Limelight and other parties made on the entire Savvis CDN
26
Tech Monitor, “Digital Island Merges with Sandpiper Networks” (Oct. 15, 1999),
https://www.techmonitor.ai/hardware/digital_island_merges_with_sandpiper_networks.
27
LUMEN, “SAVVIS Hones Strategic Focus with Sale of CDN Business Services to Level 3
Communications” (Dec. 26, 2006), https://news.lumen.com/SAVVIS-Hones-Strategic-Focus-with-
Sale-of-CDN-Services-Business-to-Level-3-Communications.
28
Gigaom, “Is Savvis CDN Business For Sale?,” aom/is-savvis-cdn-business-for-sale/ (noting
“[t]here have been a few bids from interested parties,” that the “bids … are said to be over $100
million” and that “a majority of its CDN business comes from Microsoft”); see also Data Center
Knowledge, “Report: SAVVIS Shopping Its CDN Network,” (Oct. 23, 2006),
https://www.datacenterknowledge.com/networking/report-savvis-shopping-its-cdn-network).
29
Level 3 Communications, LLC v. Limelight Networks, Inc., 09-589, (hereinafter, “Limelight
Case”), Dkt. 1 (D. Del. Dec. 17, 2007).
30
Limelight Case, Dkt. 269, pp. 6-10.
14
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business,” and that the “Savvis C[DN] patents attracted many suitors when they were put up for
sale.”31 Another such document noted the various “bids and expressions of interest” on these assets,
stating that “[e]ach bidder had different goals, valuations, and levels of interest in the various
assets.”32
54. Further, in 2006 Mr. Andrew Swart, then employed at Savvis as a Vice President
of Engineering, was involved with aspects of the due diligence discussions with various prospective
bidders for the sale of Sandpiper assets discussed above. At that time, there were several competitive
bids for the Sandpiper assets. Mr. Swart travelled to San Francisco to meet with several potential
buyers of the Sandpiper assets as part of those diligence discussions. In these presentations Mr.
Swart gave to potential buyers, the Sandpiper patents were highlighted to the potential buyers.
Around that time, Mr. Swart understood that Microsoft had made an offer to buy the Sandpiper
assets. The Sandpiper assets, as offered for sale and eventually sold, included the Sandpiper patents.
Mr. Swart’s recollection is that in the early stages of this process, bids were in the $20 million range.
Ultimately, the sale to Level 3 was for $135 million (over $223 million in today’s dollars).
55. At the time, Microsoft was by far the largest Savvis CDN customer. One publicly
filed document appears to show Savvis’s “estimated monthly revenue” from its CDN contract with
Microsoft as $1.1 million, with Savvis’s other nine (anonymized) largest CDN customers totaling
$84,100 in monthly revenue.33 As detailed throughout this Amended Complaint, Microsoft was also
clearly evaluating its upcoming anticipated CDN use and exploring the possibility of building its own
31
Limelight case, Dkt. 333, pp.2, 7-8.
32
Limelight Case, Dkt. 355, p. 5.
33
Limelight Case, Dkt. 484-1, p. 6; see also id., p. 2 (“Also note that I separated the IP-related
diligence request - I understand the IP list is comprehensive” and requesting “a complete list of IP
assets”); see also Limelight Case, Dkt. 484-2, p. 4 (appearing to list Savvis’s revenue from
Microsoft as over $22.5 million in 2004, over $14 million in 2005, and over $7.8 million in the first
two quarters of 2006).
15
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CDN to insource much of this traffic. One October 2008 article reports that “Microsoft is building its
own content delivery network (CDN), with Limelight providing software and engineering support.”34
Another report from around that timeframe specifically listed Microsoft as “interested in acquiring a
CDN.”35
56. During this time, several applications to the Asserted Patents had been filed and
made public: (a) the ’112 patent (filed on March 18, 2008, published on Sept.25, 2008); (b) the ’871
patent (filed on Sept. 30, 2002; published on Apr. 3, 2003); and (c) the ’964 patent (filed on Oct. 27,
2007, published on Sept. 4, 2008). On information and belief, at least the combination of Microsoft’s
interest in acquiring a CDN, Savvis’s CDN business being for sale, Microsoft’s bid on those assets
that included the Sandpiper patents as a highlighted asset, and Microsoft being Savvis’s largest CDN
customer, led Microsoft to gain actual knowledge of Sandpiper’s issued patents and pending
applications.
57. Around the time of Level 3’s acquisition, an executive from Level 3 explained that
Level 3 “acquired the business primarily for its intellectual property and architecture.”36 Several other
publications commented on the importance of the Sandpiper CDN intellectual property, which
includes several of the Asserted Patents and/or pending applications, to this sale.37 An executive from
34
https://www.datacenterknowledge.com/hyperscalers/limelight-reworks-software-for-microsoft-
cdn.
35
https://www.streamingmedia.com/Articles/ReadArticle.aspx?ArticleID=65394&pageNum=3.
36
Rich Miller, “Level 3 Readies Launch of CDN Network,” Data Center Knowledge (May 11, 2007),
https://www.datacenterknowledge.com/networking/level-3-readies-launch-of-cdn-network.
37
See Gigaom, “Level3 Buys Savvis CDN Business,” https://om.co/gigaom/level3-buys-savvis-
cdn-business/ (noting how “all the intellectual property that comes with this buy” could help Level 3
become a top competitor in the CDN market); Rich Miller, “Level 3 Acquires Savvis CDN Network,”
Data Center Knowledge (Dec. 26, 2006), https://www.datacenterknowledge.com/networking/level-
3-acquires-savvis-cdn-network (“The deal includes network assets, customer contracts, and
intellectual property used in Savvis’ CDN business.”); see also Denise Pappalardo, “Level 3
Completes Acquisition of Savvis’ CDN Business,” NetworkWorld (Jan. 23, 2007),
https://www.networkworld.com/article/838219/lan-wan-level-3-completes-acquisition-of-savvis-
cdn-business.html (“In the cash deal Level 3 picked up network assets, customer contracts and
16
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Microsoft, Microsoft’s then-general manager of Global Foundation Services, also publicly
commented on this acquisition at the time, stating it might benefit Microsoft. Specifically, that
Microsoft executive stated: “As we grow our online services business, stability and control over our
network infrastructure becomes increasingly important to deliver great experiences for our customers,
partners and advertisers. We look forward to a continued relationship with Level 3 as they embark
upon this next phase of their network evolution.”38
58. Just a few months later, in July 2007, Microsoft spent $200 million to end a co-
location agreement with Savvis and become the direct lessee for two data centers. The same Microsoft
executive, Microsoft’s then-general manager of Global Foundation Services, publicly commented on
this business deal, stating: “The acquisition of these assets is an important part of our vision for a
globally scaled data center infrastructure that will keep pace with user demand for innovative online
services.”39
59. Ultimately, Level 3 purchased the Savvis CDN business and Sandpiper patents, and
Microsoft became one of the largest customers of Level 3. On information and belief, Microsoft
remained aware of the Sandpiper patents, including at least specifically the ’112 patent, the ’871
patent, and the ’964 patent, because of Microsoft’s previous interest in acquiring a CDN, Microsoft
having been Savvis’s largest customer, Microsoft’s bid on the Savvis assets including the Sandpiper
patents that were highlighted to potential buyers as part of that process, and Microsoft becoming one
“intellectual property.””); Thomas, “Level 3 Completes Acquisition of SAVVIS Content Delivery
Network,” https://news.thomasnet.com/companystory/level-3-completes-acquisition-of-savvis-
content-delivery-network-505868) (“Pursuant to the definitive agreement, dated December 23, 2006,
Level 3 has paid $132.5 million in cash to acquire certain assets, including network elements,
customer contracts, and intellectual property used in SAVVIS's CDN business.”).
38
Brian Prince, Channel Insider, “Level 3 Communications to Buy SAVVIS CDN Division” (Dec.
27, 2006), https://www.channelinsider.com/news-and-trends/level-3-communications-to-buy-
savvis-cdn-division/.
39
Rich Miller, “Microsoft Assumes Savvis Leases for $200M,” Data Center Knowledge,
https://www.datacenterknowledge.com/hyperscalers/microsoft-assumes-savvis-leases-for-200m.
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of Level 3’s largest CDN customers, and Microsoft remained aware of Level 3’s continued
prosecution of new patents in the portfolio while Microsoft remained a customer, including the ’517
Patent, the ’738 Patent, the ’876 Patent, the ’899 Patent, and the ’066 patent.
60. Over the years, Microsoft has hired several individuals who previously worked at
one of Sandpiper CDN’s predecessor companies at a time when that predecessor owned one or more
of Sandpiper CDN’s foundational CDN patents while operating a CDN. As explained above, these
patents were widely understood to be central to the value of Sandpiper CDN and its predecessors,
such that each of these employees had actual knowledge of those patents, including the Asserted
Patents or at least the applications leading to them. For instance, one current Microsoft executive in
the St. Louis area was recently described on Microsoft’s website (in a web page cited by Sandpiper
in its Microsoft I Complaint that Microsoft has since, it appears, removed) as a “Director” who helps
partners “scale their Azure business,” and Microsoft touted him as “bring[ing] over two decades of
experience in engineering leadership and cloud strategy, including 12 years at CenturyLink (formerly
Savvis), where he served as Director of Engineering for Managed Services.”40 Microsoft, having
acquired through these hirings the knowledge of those individuals, either knew of the Asserted Patents
and the high likelihood that Microsoft’s CDN activities infringe them, or was willfully blind to the
same.
61. Furthermore, Sandpiper has been involved in significant, widely public litigation
regarding infringement of its patents, including three of the Asserted Patents against Microsoft. In
addition to the pending suit against Microsoft, these lawsuits include:
• Sandpiper CDN, LLC v. Google LLC, Case No. 2:24-cv-03951-AB (C.D. Cal. May 10,
40
See Microsoft I, Dkt. 41 (Second Amended Complaint, Oct. 30, 2025) at ¶ 54; compare
https://web.archive.org/web/20250807131523/https://dco.microsoft.com/(S(pzuaqe2d2sj2jxx20sutonh3))/Team.aspx
(August 7, 2025 version of the web page with the language quoted in Sandpiper’s Microsoft I
filing); with https://dco.microsoft.com/Team.aspx (rerouting, today, to https://partner.microsoft.com/en-
US/DCO with no such language).
18
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2024). In May 2024, Sandpiper sued Google in the Central District of California,
asserting patents within the same portfolio as those asserted in this case, including the
’112 and ’517 patents asserted against Microsoft in this case.
• Sandpiper CDN, LLC v. Comcast Cable Comm’s, LLC, Case No. 2:24-cv-00886-JRG
(E.D. Tex. Nov. 1, 2024). In November 2024, Sandpiper sued Comcast in the Eastern
District of Texas, asserting patents within the same portfolio as those asserted in this
case, including the ’876 patent asserted against Microsoft in this case.
• Sandpiper CDN, LLC v. Cox Communications, Inc. et al, Case No. 1:26-cv-03893-ELR
(N.D. Ga., July 11, 2026). In July 2026, Sandpiper sued Cox in the Northern District of
Georgia, asserting patents within the same portfolio as those asserted in this case,
including the ’876 Patent asserted against Microsoft in this case.
62. These lawsuits have received significant press coverage, including through press
releases and articles from RPX.41
63. On information and belief, Microsoft is a member of RPX and receives notices and
updates from RPX on patent litigations. 42
64. On information and belief, as a member of RPX who receives notices and updates on
patent litigations, Microsoft received notices discussing the aforementioned lawsuits from Sandpiper.
65. On information and belief, several of these notices specifically named the U.S. Patent
numbers of the patents asserted in those cases, some of which are also Asserted Patents in this case,
41
See, e.g., Peter Hayes, “Google Hit with Patent Lawsuit Over Content Delivery Network,”
Bloomberg, https://news.bloomberglaw.com/litigation/google-hit-with-patent-lawsuit-over-content-
delivery-network-5.
42
See, e.g., Xockets, Inc. v. NVIDIA Corp. et al, Case No. 6:24-cv-00453-LS, Dkt. 1 at ¶ 201 (W.D.
Tex. Sept. 5, 2024) (“RPX was founded in 2008 and has more than 450 members, including . . .
Microsoft.”); Dkt. 128 at n.3 (discussing an RPX-Microsoft Third Amendment to Membership and
License Agreement).
19
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and give an overview of the infringement allegations in those cases.43
66. Furthermore, on information and belief, Microsoft at least became aware of the
Comcast and Cox cases through monitoring the public filings in those cases, including the
Complaints, claim constructions entered in Comcast, and became aware that Comcast ultimately
settled the lawsuit with Sandpiper. On information and belief, Microsoft also had knowledge of the
settlement agreement and its contents in Comcast before the filing of this lawsuit. As such, Microsoft
at least had actual pre-suit knowledge of the ‘876 patent asserted in Comcast, Cox, and this case,
knew about Sandpiper’s infringement allegations regarding Comcast and Cox’s CDN networks,
understood that Comcast settled its case, and appreciated the risk of its own infringement of at least
the ‘876 patent based on offering its own CDN services.
67. As such, Microsoft was either aware of these lawsuits, including the patents asserted
therein, or willfully blind to them, and never approached Sandpiper about a license prior to this
lawsuit being filed.
68. In June 2025, Sandpiper CDN sued Microsoft in the Eastern District of Texas,
asserting patents sharing a common owner as those asserted in this case. In October 2025 Sandpiper
CDN filed a First Amended Complaint in Microsoft I showing the history of these two companies
43
RPX, May 12, 2024 “It’s Not Every Patent Complaint That Name Checks ‘The Starr Report’ and
Big Bad Voodoo Daddy,” https://insight.rpxcorp.com/news/80905-it-s-not-every-patent-complaint-
that-name-checks-the-starr-report-and-big-bad-voodoo-daddy (naming “the six patents (8,595,778;
8,645,517; 8,719,886; 9,021,112; 10,924,573) now in suit against Google”);
https://insight.rpxcorp.com/litigation_documents/15685653 (RPX website hosting Sandpiper v
Google Complaint, listing U.S. patent number of ‘112 Patent asserted in this case and containing
Sandpiper CDN’s infringement allegations in that case);
https://insight.rpxcorp.com/litigation/txedce-233870-sandpiper-cdn-v-comcast-cable-
communications-llc-d-b-a-xfinity#overview (RPX website hosting docket for Sandpiper CDN v
Comcast case, with a clickable “Patents-in-Suit” tab indicating “5 Patents-in-Suit” and a “View
Complaint” button); https://insight.rpxcorp.com/litigation/cacdce-925901-sandpiper-cdn-v-google
(RPX website hosting docket for Sandpiper v. Google case, with a clickable “Patents-in-Suit” tab
indicating “5 Patents-in-Suit” and a “View Complaint” button).
20
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and of Microsoft’s intense interest in acquiring rights to Sandpiper CDN’s patents. Further, a now-
public document apparently provided by Savvis in the 2006 timeframe to potential bidders on
Savvis’s patents (such as Microsoft), titled “Savvis Content Delivery Related Patents and Published
Patent Applications,” specifically listed as a separate item: “ITM Published U.S. Patent Application:
US 2003-0065762 A1.”44 That published application issued as the ’871 patent asserted in this case.
Moreover, the ’964 Patent, the ’738 Patent, and the ’517 Patent each claim priority to the same
application and provisional for the ’871 Patent. Thus, even if Microsoft were somehow not aware
in 2006 of that patent application, its inclusion in the “ITM” family, or its importance to “Content
Delivery” networks like the one Microsoft was planning in 2006 and operates now, Microsoft was
certainly aware of all of this information in October 2025 when it received Sandpiper’s Second
Amended Complaint.
69. Level 3, after paying $135 million for the patents now owned by Sandpiper CDN,
operated its own ITM service, explaining that “Intelligent Traffic Manager (ITM) is a DNS-based,
web administered, global load balancing service,” and that Level 3 practices ITM patents in
providing its services.45
70. But at least by 2017 Microsoft decided to release its own “Intelligent Traffic
Manager,” explaining “Azure Traffic Manager is a global load balancer” that “uses the Domain
44
See Microsoft I, Dkt. 41, p. 12 n.26 (citing Level 3 Communications, LLC v. Limelight Networks,
Inc., 09-589, Dkt. 484-2 (D. Del. Feb. 18, 2009). This was the published application for patent
application 10/259,497, and was granted in 2010 as U.S. Patent No. 7,822,871.
45
See Intelligent Traffic Manager (ITM) Global Load Balancing Service
https://assets.lumen.com/is/content/Lumen/Service-Guide-ITM-Services-
20140423pdf?Creativeid=f6f344ff-d8df-4717-8323-8a2039ac51fa (“CenturyLink provides ITM
Service using the ITM infrastructure of Level 3 Communications.”); see also Level 3, “Legal,”
https://web.archive.org/web/20141012113846/http://www.level3.com/en/legal/ (“Certain Level 3
content delivery services are provisioned using systems, methods, and/or functionality covered by
one or more of the following U.S. Patents: … 7,822,871”).
21
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Name System (DNS) protocol.”46
71. To this day, Microsoft still refers to its Azure Traffic Manager as an “Intelligent
Traffic Manager” in public-facing documents. For example, in response to a CDN outage Microsoft
faced just a few months ago, it described: “We have a highly distributed resilient architecture, which
protects against failures at the server, rack, site and even at the regional level. This resiliency is
achieved by the use of our intelligent traffic management layer which monitors failures and load
balances traffic at server, rack or edge sites level within the primary ring, supplemented by a
secondary-fallback ring which accepts traffic in case of primary traffic overflow or broad regional
failures.” 47 Microsoft further graphically depicted its ITM system in this document. 48
46
See “Microsoft CEO Mentions Containers and Serverless Computing in Keynote,” Sept. 25, 2017,
https://www.sdxcentral.com/news/microsoft-ceo-mentions-containers-and-serverless-computing-in-
keynote/ (“As for serverless computing, Microsoft last month added an intelligent traffic manager to
its plans with the unveiling of its Azure Event Grid routing service.”); “Architecture best practices
for Azure Traffic Manager,” https://learn.microsoft.com/en-us/azure/well-architected/service-
guides/azure-traffic-manager (“Azure Traffic Manager is a global load balancer that can distribute
traffic across multiple Azure regions, zones within a region, or datacenters within those zones. It uses
the Domain Name System (DNS) protocol to establish a communication path between a client and
your workload’s endpoints.”).
47
See “Azure Front Door: Implementing lessons learned following October outages” Dec. 18, 2025
https://techcommunity.microsoft.com/blog/azurenetworkingblog/azure-front-door-implementing-
lessons-learned-following-october-outages/4479416.
48
See id.
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72. Microsoft was also aware of the ’871 patent at least as of 2008 because Microsoft
cited the published application of the ’871 patent during the prosecution of Microsoft’s own patent:
U.S. Patent No. 7,467,203, which issued in December 2008. Microsoft also cited that published
application in prosecuting Microsoft’s U.S. Patent no. 8,236,980 (issued in December 2012) and
8,577,892 (issued in November 2013), and 10,127,295 (issued in Nov. 2018), and 10,855,596 (issued
in Dec. 2020, and titled “Load Balancing Among Multiple Endpoint Computing Systems of a
Domain”).
73. Furthermore, in Microsoft I, Microsoft moved to dismiss Sandpiper CDN’s
allegations of willful patent infringement but the Court denied the motion, noting, among other things,
that “the Court finds plausible Plaintiff’s pleadings that Defendant intended to infringe.” Microsoft I,
Dkt. 56, p. 5, adopted at Dkt. 104.
74. As demonstrated by the above, and on information and belief, in the 2006 timeframe
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Microsoft was looking to build its own CDN to transition away from the services it received from
Savvis, and would later receive from Level 3, and knew it needed to own, or obtain a license to, the
Sandpiper patents in order to avoid patent infringement. Microsoft thus conducted appropriate
diligence on and bid on the Sandpiper assets, including the Sandpiper patents highlighted in those
offers (and specifically including two then-existing patent applications that were granted as patents
asserted in this case) but ultimately was unwilling to pay what was necessary to avoid infringement,
and decided to willfully infringe the Sandpiper patents anyway. In the years after 2006, as Microsoft
continued to purchase CDN services from Level 3 while building out its own CDN, Microsoft still
never obtained a license to any Sandpiper patents, even though Microsoft continued to receive more
information about the granted Sandpiper patents asserted in this lawsuit, and demonstrated its
knowledge of these patents at least by its own patent prosecution efforts.
75. Based at least on the foregoing, Microsoft’s infringement of the Asserted Patents has
been, is, and continues to be willful.
SANDPIPER CDN
76. Named after the company that originally pioneered and developed CDN technologies
in the 1990s, Sandpiper CDN brings this suit to address Microsoft's ongoing and continued
infringement of the patented technology claimed by the Asserted Patents.
77. The Asserted Patents are valid and enforceable, and the inventions claimed in the
Asserted Patents are enabled, novel, non-obvious, unconventional, and non-routine as of their
respective filing dates.
ASSERTED PATENTS
78. U.S. Patent No. 9,021,112 (“the ’112 Patent”) is entitled “Content Request Routing
and Load Balancing for Content Distribution Networks,” and it claims priority to U.S. Patent
Application No. 09/982,721, filed on October 18, 2001. See Ex. A.
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79. As Internet use has increased, website owners must address ever-increasing
bandwidth needs, dynamic changes in load, and performance issues relating to browsing clients,
including clients in remote or distant locations.49 When a server with website content, such as an edge
server in a content delivery network, receives multiple requests for website content, delivery of that
content can be slow.
80. The inventions claimed by the ’112 Patent provide concrete solutions to technical
problems facing computer networks. In certain embodiments of the ’112 Patent, methods are provided
for directing Internet users to the geographically nearest content delivery node using anycast
addressing applied specifically and deliberately at the DNS tier, not the content delivery tier.50 The
’112 Patent claims are directed to a technical solution to a problem that existed in CDN architectures
prior to the invention: anycast addressing could not be applied directly to content servers because
doing so caused TCP session fragmentation, as packets within a single session could be routed to
different physical machines sharing the same anycast address.51 The ’112 Patent’s inventors
recognized that anycast addressing was uniquely compatible with DNS resolution which uses
stateless UDP packets, and built a specific two-tier DNS resolution architecture around that
compatibility. The patent claims concrete methods in which CDN DNS servers share a common
anycast address, use BGP to advertise that address to the surrounding network, and in some
embodiments cause the BGP routing infrastructure itself to perform geographic selection by routing
each DNS resolution request to the nearest CDN DNS node based on shortest-path metrics.
81. Additionally, in one specific embodiment, the ’112 patent provides a specific two-
phase resolution sequence with defined roles for each participant: first, an ISP DNS server resolves
49
’112 Patent, 1:36-41.
50
’112 Patent, 1:63-2:8.
51
’112 Patent at 8:27-45.
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the subscriber's hostname to the CDN's shared anycast address, a process that does not require any
modification of the ISP's infrastructure; and second, one of the CDN DNS servers, selected by the
BGP routing fabric based on network proximity, resolves that hostname to the IP address of the
content server at its specific node.52
82. According to one claimed solution in the ’112 Patent, the CDN DNS server is
associated with a respective plurality of content servers at its node, and requests for content are
resolved to the DNS server, and then resolved to an IP address for one of the associated content
servers.53 That route advertisement to the DNS server can be used as a dynamic load-balancing and
failover mechanism: when a node becomes overloaded, the advertisement is withdrawn,
automatically redirecting subsequent DNS resolution requests to the another node.54 These are
concrete, specific implementations rooted in the technical realities of BGP routing, UDP-based DNS,
and the incompatibility of anycast with TCP sessions, and not a generic instruction to use a content
delivery network for a desirable result.
83. U.S. Patent No. 7,822,871 (the ’871 Patent) is entitled “Configurable Adaptive
Global Traffic Control and Management” and it claims priority to U.S. Patent Application No.
10/259,497, filed on September 30, 2002, which is a continuation of U.S. Patent Application No.
60/325,177, filed on September 28, 2001. See Ex. B.
84. The inventions claimed by the ’871 Patent provide concrete solutions to these
technical problems facing computer networks. In one embodiment, the ’871 Patent provides a means
to distribute network traffic according to a configurable set of rules that take into account key factors
such as server availability, specific requirements of content providers deploying the invention,
52
’112 Patent at 8:49-65.
53
’112 Patent at 9:3-21.
54
’112 Patent at 9:3-21.
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including distribution based upon geography, position in IP address space, and load share, and the
state of the network at any given moment, including measures of network latency.55
85. For example, in one claimed embodiment of the ’871 Patent, there are three distinct,
concrete steps of (1) maintaining a traffic distribution policy used by a domain name server in an
adaptive traffic control (ATC) name server network to determine the IP address of a server in response
to a request from a client to resolve a hostname, (2) monitoring the operational status of the ATC
name server network through a specific event-processing pipeline, and (3) maintaining and
broadcasting those processed operation events to domain name servers in the ATC name server
network.56 These are specific, concrete operational steps that constitute a technical improvement to
how distributed DNS infrastructure is managed, and not a generic instruction to monitor or administer
a network.
86. U.S. Patent No. 7,860,964 (the ’964 Patent) is entitled “Policy-Based Content
Delivery Network Selection,” and it is a continuation-in-part claiming priority to U.S. Patent
Application No. 10/259,497, filed on September 30, 2002, which is a continuation of U.S. Patent
Application No. 60/325,177, filed on September 28, 2001. See Ex. C.
87. The ’964 Patent relates to network traffic management, and more specifically to
configurable, adaptive, global traffic control and management in networks such as the Internet.57 As
content delivery networks grew in commercial importance, content providers increasingly contracted
with multiple CDN operators simultaneously, providing redundancy, cost competition, and
geographic coverage. Prior DNS-based traffic management, however, could direct a client to only a
single CDN provider at a time, through a statically-configured DNS record pointing to that CDN's
55
’871 Patent at 1:43-52.
56
’871 Patent, 27:39-63.
57
’964 Patent, 1:24-27.
27
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namespace. The invention is described in a scenario in which DNS service is provided by a third party
on behalf of a content or applications provider.58
88. The inventions claimed by the ’964 Patent provide concrete solutions to these
technical problems facing computer networks. In one embodiment, the ’964 Patent describes a
subscriber maintaining an even load across all subscriber servers by setting a load share value, with
traffic shedding to an overflow server defined by a CName for a CDN when all servers near
capacity.59 In another embodiment, the specification describes a concrete multi-CDN configuration
in which an ATC is configured to return the domain name of one CDN 1.5 times as often as it returns
the domain name of a second CDN, thereby implementing a 1.5-to-1 load share ratio between two
distinct CDN providers entirely at the DNS layer.60
89. One claimed embodiment of the ’964 Patent is directed to a “method operable in a
framework wherein resources of a content provider are delivered to clients from one of a plurality of
distinct content delivery network (CDN) domains distinct from a content provider domain.” The
claim requires “obtaining one or more content provider policies relating to delivery of said resources,
at least one of said policies relating to a relative load share for each of said plurality of CDN
domains.”61 The load share policy requirement is technically specific: the policy must quantify the
relative fraction of traffic that each distinct CDN domain is to receive, making it a machine-
enforceable distribution rule. The claim further requires “selecting, based at least in part on said one
or more content provider policies, one of said plurality of CDN domains.”62 And when a CDN domain
is selected, the claim requires “providing the client with a domain name associated with the selected
58
’964 Patent, 3:4-8.
59
’964 Patent, 27:8-15.
60
’964 Patent 28:7-32.
61
’964 Patent, Claim 19.
62
’964 Patent, Claim 19.
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CDN.”63 The requirement to provide a domain name is a technically significant and specific
implementation choice: by returning a domain name in the CDN’s own namespace, the method directs
the client’s DNS resolver to continue resolution within the selected CDN’s own infrastructure,
enabling that CDN to apply its own geographic and load-based edge selection for the final resolution
step.
90. U.S. Patent No. 9,660,876 (the ’876 Patent) is entitled “Collector Mechanism In
Content Delivery Network” and it claims priority to U.S. Application No. 13/802,440, filed March
13, 2013, which in turn claims priority from U.S. Provisional Application No. 61/737,072, filed
December 13, 2012. See Ex. D.
91. As CDN technology developed, the type of the content served and delivered by
CDNs evolved. As a result, CDNs—originally configured to treat requests for all content the same—
experienced issues as they started receiving different requests for different types of content, such as
video, images, written work, or other multimedia content. Further compounding the issue was the
challenge in configuring CDNs to account for different types of parameters associated with delivering
content, including responsibilities, security, quality, and the like.
92. The inventors of the ’876 Patent identified these technical problems and invented
specific and technical solutions to address them. In particular, the inventors developed, inter alia, a
specific and technical solution whereby “state data are used to inform a peering policy of a set of
caches,” where a collector system “produce[s] state data relating to and based on information
represented in said event data of said multiple event streams.”64 The inventors also discovered that
using the state data relating to the event streams to inform a peering policy empowered the
customization of computing components in a CDN, which improves computational efficiency of the
63
’964 Patent, Claim 19.
64
’876 Patent, claim 1.
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CDN through specialization. Moreover, the disclosed inventions of the as the inventors explained to
the Patent Office, ’876 Patent are not abstract ideas, but are “applicable and limited by the claims to
content delivery networks and provide[] a concrete way to support efficient and scalable content
delivery in such networks . . . [and] ‘[are] necessarily rooted in computer technology in order to
overcome a problem specifically arising in the realm of computer networks.’”65 The technical solution
of the ’876 Patent provides CDNs with the infrastructure and logic to handle specific requests for
specific users in a more computationally efficient manner that was more scalable than other existing
systems.
93. Indeed, the claims of the ’876 Patent include specific and technical solutions, using
specific structures, that were not conventional at the time, and the ’876 Patent describes how the
solutions are implemented, as recited in the method of independent claim 1. First, using the claimed
state data relating to the event streams to inform a peering policy allows for the customization of
computing components in a CDN to improve computational efficiency of the CDN through
specialization. Second, using the claimed state data to inform a peering policy for a set of peer caches
improves fault tolerance within a CDN to reduce outages. Third, certain CDNs implementing
embodiments claimed by the are able to account for the ordering receiving multiple event ’876 Patent
of the event streams to improve efficiency in configuring the CDNs by streams, each comprising a
timestamp for the event.
94. U.S. Patent No. 9,647,899 (the ’899 Patent) is entitled “Framework Supporting
Content Delivery with Content Delivery Services,” and it was filed December 14, 2012, claiming
priority to U.S. Provisional Application No. 61/737,072, filed December 13, 2012. See Ex. E.
65
See Applicant Arguments/Remarks Made in an Amendment dated June 2, 2016, p. 12
(successfully traversing a Patent Office rejection under 35 U.S.C. § 101 to establish that the patent
application for the ’876 patent is directed to patent eligible subject matter) (citing DDR Holdings,
LLC v. Hotels.Com, L.P., 7773 F.3d 1245, 1257 (Fed. Cir. 2014)).
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95. Content delivery networks are composed of multiple distinct distributed services
operating concurrently, for example collector services for monitoring, analytics, and popularity;
reducer services for logging, monitoring, and alarming; control services for control resource
distribution and localized feedback; configuration services for configuration validation and resource
generation; and primary delivery services including rendezvous and caching.66 A technical problem
in CDN design was that these services operated in relative isolation, where each generated its own
operational events and maintained its own state, but there was no systematic mechanism by which
the operational event data produced by one service would flow as input into other services, be
aggregated into CDN-wide state information, and be used to automatically reconfigure how those
services were interconnected.
96. The inventions claimed by the ’899 Patent provide concrete solutions to this problem
through a specific framework in which event output, state, and service configuration information are
systematically connected. As part of the operation of each service or kind of service, a service may
produce event information corresponding to events relating to that service, and may obtain state
information from other CDN services or components and may generate state information for use by
other CDN services or components.67 In one embodiment, a minimal CD service is both an event
source and a control sink, meaning that all CDN services consume control information and generate
events.68 This mutual interconnection enables a specific technical improvement: a closed feedback
loop where each service generates events and receives control, and the resulting events and state flow
continuously through the network.
97. Claim 1 requires that some CD services in the CDN “produce event output relating
66
’899 Patent at col. 11:52-12:9.
67
’899 Patent at col. 8:18-49.
68
’899 Patent, 9:41-53.
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to their respective operation, wherein at least some of said event output from at least some of said CD
services is provided to at least some of said CD services as event input.”69 This cross-service event
flow is the foundation of a claimed feedback architecture. Claim 1 also requires specific technical
processes based on those interconnected event outputs, requiring the services to “maintain service
configuration information specifying associations between CD service instances,” “obtain state
information from said CD services,” and “modify said service configuration information to produce
modified service configuration information based at least on the state information.”70 The “service
configuration information specifying associations between CD service instances” is a technically
specific data structure and the claim requires that this configuration be modified based on the state
information derived from event flows.
98. U.S. Patent No. 10,116,738 (the ’738 Patent) is entitled “Detecting anomalous
conditions in a name server network,” and it was filed November 30, 2015, claiming priority to U.S.
Provisional Application No. 60/325,177, filed September 28, 2001. See Ex. F.
99. The ’738 patent is generally directed to network traffic management and configurable
traffic control and management. As the volume of Internet traffic grows, content and application
providers increasingly need to deliver content from multiple servers at widely separated locations to
sustain a good end-user experience under high traffic loads. This creates several challenges, including
guaranteeing fault tolerance in the face of individual server or name server failures and maintaining
high performance as network conditions change, particularly since the state of the network can shift
at any given moment.
100. The inventions claimed by the ’738 Patent provide concrete solutions to addresses
these challenges with a system that lets a subscriber define, through a web-based graphical user
69
’899 Patent, claim 1.
70
’899 Patent, claim 1.
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interface, policies governing how service requests are distributed among the subscriber's servers,
while a network of name servers responsible for resolving hostnames to those servers is continuously
monitored for its own operational health.
101. Claim 1 requires receiving policies for distribution of service requests to one or more
servers in a subscriber server network. The method further requires monitoring the operational status
of name servers in a name server network that provides hostname resolution services for the servers
in the subscriber server network. When monitoring detects an error or anomalous condition at a
particular name server, the system automatically creates a policy reflecting that name server's status,
so that subsequent hostname resolution decisions across the name server network take the condition
into account. The subscriber is also proactively notified of the detected condition through the same
web-based graphical user interface used to configure policies, closing the loop between real-time
network monitoring, adaptive policy management, and subscriber visibility. This combination allows
the traffic-management system to respond dynamically to name server failures or anomalies without
manual intervention, while keeping the subscriber informed so they can take further action if needed.
102. U.S. Patent No. 8,156,066 (the ’066 Patent) titled “Rule-Based Content Request
Handling,” issued on April 10, 2012, from an application claiming priority to an April 9, 2008
provisional application. See Ex. G.
103. The inventions claimed in the ’066 Patent address a specific technical problem
facing content delivery networks: how a shared distribution infrastructure serving many
independent content providers could apply each provider’s own, independently configured access
and handling rules to incoming content requests, at scale, without requiring every provider to build
and operate separate request-handling infrastructure. The ’066 Patent’s solution involves deriving
attribute values not directly supplied by the requester from attribute values already present in an
incoming content request, such as deriving the requester’s likely geographic region from the
33
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requester'’s Internet Protocol address. Both the originally supplied and the newly derived attribute
values are evaluated against a hierarchy of decision nodes, arranged so that a request is resolved
only after propagating through different levels of specific logic culminating in a single decision that
dictates whether the request is allowed, denied, or redirected.
104. Claim 14 of the ’066 Patent recite an architecture including: (a) receiving a content
request that includes a first set of attribute values; (b) using at least one attribute value from that first
set to determine a second, distinct set of attribute values; (c) traversing a hierarchy of decision nodes,
each implementing logic based on an attribute value from either set; and (d) yielding, from the last
node reached in that hierarchy, a decision dictating how the request is to be answered. Claim 14
requires that the request-disposition decision be reached only through a specific implementation
mechanism: deriving a second, distinct set of attribute values from the request’s original attributes
and then routing evaluation through a defined multi-node hierarchy that connects its logic to one of
those two attribute generations. This defines specific technical implementation and does not simply
recite a desired result of deciding whether to allow, deny, or route a request based on the requester's
characteristics. Claim 14’s steps thus describe a specific data-transformation and control-flow
architecture that a computer must implement to reach the claimed decision, not merely a functional
goal that architecture achieves.
105. U.S. Patent No. 8,645,517 (the “’517 Patent) is entitled “Policy-Based Content
Delivery Network Selection.” The ’517 Patent claims priority to U.S. Patent Application Number
10/259,497, filed on September 20, 2002. See Ex. H.
106. When using CDN technology, challenges arise related to network traffic associated
with requests for content. For example, companies that want to provide their content to end users
using a CDN face issues regarding directing network traffic to serve end users’ requests. As one
example, issues arise when trying to deliver content from multiple servers at geographically-separated
34
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location with suitable end-user experiences under high traffic loads.
107. The inventors of the ’517 Patent understood these challenges faced by CDN
providers and their customers relating to directing network traffic and end-user requests for content.
The inventors devised solutions utilizing Domain name Server (DNS) technology and allowing for
the resolution of requests to multiple CDNs based on various policies. Embodiments of the disclosed
invention solve network traffic issues such as server failure, and controlling the distribution of
requests according to economic or contractual parameters, by providing a network distribution
infrastructure that can be configured with network traffic rules. These rules can account for factors
like server availability, geolocation, load, and latency. The ’517 Patent addresses specific needs in
the art via specific combinations, which were not conventional at the time of the invention of the ’517
Patent, and the ’517 Patent describes how specific technical solutions are achieved. For instance,
content providers must address how to handle requests from end users, in some cases in accordance
with policy constraints faced by the content providers, even as network conditions affecting the
Internet are subject to change. The inventors of the ’517 Patent developed methods to address these
issues, including methods in which a server network implements policy-based traffic direction. For
example, embodiments of the invention in the ’517 Patent provide a specific graphical user interface
for obtaining at least one policy for the direction of network traffic, such as using a decision tree with
resource and branch nodes. The various criteria that can be used may relate to IP addresses or
geographic zones, with answers consisting of IP addresses and CNAMEs, for example.
THE ACCUSED MICROSOFT FUNCTIONALITIES
108. Microsoft’s Azure is a cloud computing platform offering a range of cloud services
for businesses and developers.71 Core service categories include cloud computing, cloud storage,
databases, networking, application hosting and development, and security. Microsoft additionally
71
https://azure.microsoft.com/en-us/resources/cloud-computing-dictionary/what-is-azure/
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offers content delivery infrastructure and services through its Azure CDN products, as well as
leveraging these products to deliver its own internal content, updates, and other services for Microsoft
products. These Azure CDN products include Azure CDN Standard from Microsoft, Azure CDN
Standard from Edgio, Azure CDN Premium from Edgio, and Azure Front Door Standard and
Premium.72
https://learn.microsoft.com/en-us/azure/cdn/cdn-features
109. Microsoft’s Azure CDN products offer global coverage through distributed points of
presence (PoPs) including throughout North America.73 Microsoft’s Azure CDN products utilize
repeater servers (e.g., EdgeNodes or Endpoints) for replicating (e.g., caching) content from origin
servers.74 Azure CDN products include various performance features and optimizations including
acceleration, delivery optimization, video streaming optimization, asset pre-loading, caching rules,
customizable rules for content delivery, URL redirect/rewrite, custom DNS support, DDoS
protection, authentication, and analytics.75 Azure CDN was announced May 7, 2018 as a public
preview.76
110. Azure Front Door is Microsoft’s “modern” CDN product featuring similar content
replication and delivery functionality with added scalability and performance.77 Azure Front Door
72
https://learn.microsoft.com/en-us/azure/cdn/cdn-overview; https://learn.microsoft.com/en-
us/azure/frontdoor/front-door-overview.
73
https://azure.microsoft.com/en-us/products/cdn; https://learn.microsoft.com/en-us/azure/cdn/cdn-
pop-locations.
74
https://learn.microsoft.com/en-us/azure/cdn/cdn-overview
75
https://learn.microsoft.com/en-us/azure/cdn/cdn-features
76
https://azure.microsoft.com/en-us/blog/announcing-microsoft-s-own-cdn-network/
77
https://learn.microsoft.com/en-us/azure/frontdoor/front-door-overview
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provides autoscaling and global traffic distribution with load balancing to ensure high availability.78
https://learn.microsoft.com/en-us/training/modules/intro-to-azure-front-door/2-what-is-azure-front-
door
111. Microsoft further offers Azure Policy, enabling organizations to create, assign, and
manage policies to enforce compliance and security across their cloud resources.79 Core features of
Azure Policy include resource consistency ensuring uniform configuration across environments as
well as security enhancement enforcing restrictions on resource configurations and services.80
112. Microsoft further offers Azure Resource Manager, providing infrastructure
management and access control functionality in a unified management platform.81 Azure Resource
Manager was introduced in 2014.82
113. Microsoft further offers Azure Traffic Manager, a DNS-based traffic load balancer
that distributes traffic to public-facing applications across global Azure regions, providing public
endpoints with high availability and quick responsiveness.83 Traffic Manager uses DNS to direct
clients to specific service endpoints based on configured routing methods and provides distribution
78
https://learn.microsoft.com/en-us/azure/frontdoor/front-door-faq
79
https://learn.microsoft.com/en-us/azure/governance/policy/overview
80
https://sonraisecurity.com/blog/what-is-azure-policy-all-you-need-to-know/
81
https://learn.microsoft.com/en-us/azure/azure-resource-manager/management/overview
82
https://web.archive.org/web/20161029053752/https://azure.microsoft.com/en-
us/documentation/articles/resource-manager-deployment-model/
83
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
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of traffic according to one of several routing methods, as well as continuous monitoring of endpoint
health with automatic failover when endpoints fail. Traffic Manager caches DNS responses through
configurable time-to-live (TTL) values which are configurable.84
114. Microsoft further offers Azure Monitor, a unified observability service for collecting,
analyzing, and acting on telemetry data from cloud and hybrid environments, enabling users to
understand the health, performance, and reliability of Azure applications and infrastructure resources
by bringing together metrics, logs, traces, and events into a single user experience.85
https://learn.microsoft.com/en-us/azure/azure-monitor/fundamentals/overview
Azure Monitor collects logs and metrics from all resources across Azure services and integrates this
monitoring into the Azure portal for each service. Azure Monitor also proactively notifies
subscribers when issues are identified in collected data.
115. Microsoft further offers Azure Peering Service, a networking service that enhances
connectivity to Microsoft cloud services such as Microsoft 365, Dynamics 365, SaaS services, Azure,
and others. Through Azure Peering service, Microsoft partners with internet service providers
(“ISPs”) to provide reliable and high-performing public connectivity through optimal routing from
84
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
85
https://learn.microsoft.com/en-us/azure/azure-monitor/fundamentals/overview
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and to the Microsoft network.86
https://learn.microsoft.com/en-us/azure/peering-service/about
Through Azure Peering Service, Microsoft ensures traffic stays on its own high-capacity, low-latency,
and high-reliability Microsoft global network until traffic is as close to its destination as possible.
Azure Peering Service further provides geo-redundancy by interconnecting Microsoft’s network with
service providers at multiple metro locations, such that is one Azure Edge has degraded performance,
traffic routes via alternative sites.87
116. On information and belief, Microsoft operates its CDNs for both Microsoft’s internal
use (e.g., Windows updates, its Xbox gaming ecosystem, cloud gaming, third-party gaming, Office
365 tools, Copilot, Teams and Skype videoconferencing, Azure content delivery, delivery of apps,
games, and software through the online Microsoft Store, video streaming like Linkedin Learning, and
web services like Microsoft Edge and Bing), and for external use, with Microsoft leasing its Azure
CDN network to third parties.
117. The aforementioned products and services are collectively the “Accused Microsoft
Functionalities.”
86
https://learn.microsoft.com/en-us/azure/peering-service/about
87
https://learn.microsoft.com/en-us/azure/peering-service/about
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COUNT I: INFRINGEMENT OF THE ’112 PATENT
118. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
119. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 1 of the ’112 Patent through one or more of the Accused Microsoft
Functionalities. For instance, Microsoft Front Door CDN comprises a network through which
Microsoft provides a plurality of Domain Name System servers associated with a Content Delivery
Network that share a common anycast address, and where each CDN DNS server is associated with
a respective plurality of content servers.
https://learn.microsoft.com/en-us/azure/route-server/anycast
120. Microsoft causes said plurality of CDN DNS servers to be authoritative for a
hostname associated with a content provider by causing said common anycast address to be associated
with said hostname.
40
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https://learn.microsoft.com/en-us/azure/dns/dns-domain-delegation
https://learn.microsoft.com/en-us/azure/dns/dns-domain-delegation
41
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https://ipinfo.io/13.107.236.4?lookup_source=search-bar
121. Microsoft, responsive to a request for content associated with the content provider
and issued by a client, said request including at least said hostname, causes said hostname to be
resolved to said common anycast address by an Internet Service Provider DNS server, and then by
one of said plurality of CDN DNS servers, resolves said hostname to identify an IP address for use
by the client to retrieve the content from a content server. For example, Microsoft causes an ISP DNS
server to resolve office.com to the anycast IP address of Azure DNS servers at 150.171.21.5, which
then in turn resolve a hostname to an Azure Front Door IP address at 13.107.6.156.
42
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COUNT II: INFRINGEMENT OF THE ’871 PATENT
122. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
123. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 44 of the ’871 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Microsoft Azure Traffic Manager operates global DNS name
servers in connection to Azure Resource Manager, Azure Portal, Azure Monitor, and related control
plane management interfaces to perform a method of an adaptive traffic control framework.
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
124. Microsoft Azure features a server network comprising hardware in combination with
software. For instance, Microsoft cloud datacenters include server hardware with Azure service
software operating on this hardware.
43
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https://azure.microsoft.com/en-us/blog/the-anatomy-of-a-datacenter-how-microsofts-datacenter-hardware-
powers-the-microsoft-cloud/
125. Microsoft further maintains at least one policy used by at least one domain name server in
an adaptive traffic control (ATC) name server network to determine the IP address of a server in a server
network in response to a request from a client to resolve a hostname. For instance, Traffic Manager name
servers for trafficmanager.net receive DNS requests and return endpoints based on configured endpoint state,
health, and routing method.
44
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-how-it-works
126. Microsoft monitors the operational status of the ATC name server network comprising
receiving, by an ATC network monitoring mechanism in the ATC administrative framework, events sent from
at least one monitoring mechanism of the at least one domain name server. For instance, Azure Monitor
monitors operational status of name servers in the network.
45
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
46
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/dns/monitor-dns
127. As an additional example, Microsoft monitors the operational status of its DNS servers, for
instance through the Azure Service Health service.
https://learn.microsoft.com/en-us/azure/service-health/service-health-notifications-properties
47
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128. Microsoft consolidates the events to form consolidated events, and processes the
consolidated events. For instance, Azure Monitor collects activity logs, resource logs, metrics, and
other telemetry which can be routed to a Log Analytics workspace to be queried, correlated,
aggregated, filtered, and transformed.
https://learn.microsoft.com/en-us/azure/azure-monitor/platform/activity-log
129. Further, Microsoft Sentinel allows Windows DNS server logs to be streamed and
filtered via the Azure Monitor Agent.
48
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https://learn.microsoft.com/en-us/azure/sentinel/dns-ama-fields
49
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https://learn.microsoft.com/en-us/azure/sentinel/dns-ama-fields
130. In maintaining the at least one policy, Microsoft receives, by an adaptive traffic
control (ATC) policy management mechanism of an administrative master agent (AMA) in the ATC
administrative framework, the at least one policy from at least one source. For instance, Azure Traffic
Manager provides adaptive policy-based domain name service (DNS) using Traffic Manager routing
methods, which are policies that determine how DNS queries are answered.
50
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
131. Traffic Manager routing methods are defined using the Azure Portal.
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-manage-profiles
132. In maintaining the at least one policy, Microsoft further broadcasts the received at least one
policy to the at least one domain name server in the ATC name server network.
COUNT III: INFRINGEMENT OF THE ’964 Patent
133. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
51
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paragraphs as though fully set forth herein, and further alleges as follows.
134. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 19 of the ’964 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Azure Front Door and/or CDN, and Azure Traffic Manager
perform a method operable in a framework wherein resources of a content provider are delivered to
clients from one of a plurality of distinct content delivery network domains distinct from a content
provider domain.
https://learn.microsoft.com/en-us/azure/architecture/guide/networking/global-web-applications/mission-
critical-content-delivery
52
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
https://learn.microsoft.com/en-us/azure/architecture/guide/networking/global-web-applications/mission-
critical-content-delivery
135. Further, Microsoft obtains content provider policies relating to delivery of resources
53
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where those policies relate to a relative load share for each of the plurality of CDN domains.
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
136. Microsoft further selects one of the plurality of CDN domains based on the content
provider policies, and provides clients with a domain name associated with the selected CDN.
54
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
https://learn.microsoft.com/en-us/azure/architecture/guide/networking/global-web-applications/mission-
critical-content-delivery
COUNT IV: INFRINGEMENT OF THE ’899 PATENT
137. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
138. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 1 of the ’899 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Azure Front Door and/or CDN provides content delivery
systems with a plurality of computers configured to run CD services.
55
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https://azure.microsoft.com/en-us/products/cdn
https://azure.microsoft.com/en-us/products/cdn
https://azure.microsoft.com/en-us/products/cdn
https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
56
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https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
57
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https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
139. These CD services produce event output relating to their respective operations, and
that output is provided to CD services. Microsoft’s Azure Front Door and/or CDN also obtains event
input from CD services, and produces, as respective state output, state information based on the event
input from the CD services.
58
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https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
https://learn.microsoft.com/en-us/azure/cdn/monitoring-and-access-log
140. Further, Microsoft’s Azure Front Door and/or CDN maintains service configuration
information specifying associations between CD service instances, obtains state information from
said CD service instances, and modifies said service configuration information to produce modified
service configuration information based on the state information.
59
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/azure-monitor/overview
60
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/azure-monitor/overview
61
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COUNT V: INFRINGEMENT OF THE ’876 PATENT
141. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
142. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 1 of the ’876 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Microsoft Azure Front Door and/or CDN, Azure Monitor,
Azure Peering Service comprise a CDN with multiple CD services with a collector system.
https://azure.microsoft.com/en-us/products/cdn
https://azure.microsoft.com/en-us/products/cdn
https://azure.microsoft.com/en-us/products/cdn
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https://learn.microsoft.com/en-us/azure/peering-service/about
https://learn.microsoft.com/en-us/azure/peering-service/about
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https://learn.microsoft.com/en-us/azure/peering-service/about
143. Azure Front Door and/or CDN, Azure Monitor, Azure Peering Service further
receive multiple event streams of event data, said multiple event streams comprising event data from
a plurality of CD services in the CDN, and said plurality of CDN services including a first CD
services, each event of said event stream comprising a timestamp for said event and information
relating to said event.
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https://learn.microsoft.com/en-us/azure/internet-peering/walkthrough-monitoring-telemetry
https://learn.microsoft.com/en-us/azure/internet-peering/walkthrough-monitoring-telemetry
144. Microsoft further produces state data relating to and based information represented
in said event data of the multiple event streams, and asynchronously responds to queries relating to
said state data.
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https://learn.microsoft.com/en-us/azure/internet-peering/walkthrough-monitoring-telemetry
66
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https://learn.microsoft.com/en-us/azure/internet-peering/walkthrough-monitoring-telemetry
https://learn.microsoft.com/en-us/azure/azure-monitor/fundamentals/data-platform
145. Microsoft further, in response to queries from CD services relating to said state data,
provides said state data to said first CD service, wherein said state data are used to inform a peering
policy of a set of peer caches.
https://learn.microsoft.com/en-us/azure/peering-service/about
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https://learn.microsoft.com/en-us/azure/peering-service/about
https://learn.microsoft.com/en-us/azure/frontdoor/front-door-routing-architecture
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https://learn.microsoft.com/en-us/azure/frontdoor/front-door-overview
COUNT VI: INFRINGEMENT OF THE ’066 PATENT
146. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
147. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 14 of the ’066 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Azure Web Application Firewall (“WAF”) functionality is
implemented in software running on Microsoft’s global edge network and evaluates incoming
requests against configured rules. For instance, Web Application Firewall receives content requests
including first sets of attribute values and uses at least one of the attribute values from the first set of
attribute values to determine a second set of attribute values.
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https://learn.microsoft.com/en-us/azure/web-application-firewall/overview
https://learn.microsoft.com/en-us/azure/web-application-firewall/overview
70
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https://learn.microsoft.com/en-us/azure/frontdoor/front-door-rules-engine
https://learn.microsoft.com/en-us/azure/web-application-firewall/afds/waf-front-door-custom-rules
https://learn.microsoft.com/en-us/azure/frontdoor/rules-match-conditions
https://learn.microsoft.com/en-us/azure/frontdoor/rule-set-server-variables
148. Web Application Firewall further traverses a hierarchy of decision nodes, where each
decision node implements business logic based on one of the attribute values from the first set of
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attribute values or the second set of attribute values; and yields a decision from a last node in the
hierarchy, wherein the decision dictates how to respond to the content request.
https://learn.microsoft.com/en-us/azure/web-application-firewall/afds/waf-front-door-custom-rules
https://learn.microsoft.com/en-us/azure/web-application-firewall/afds/waf-front-door-tuning
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COUNT VII: INFRINGEMENT OF THE ’738 PATENT
149. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
150. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 1 of the ’738 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Azure Traffic Manager, Azure Monitor, and Azure Service
Health receive from subscribers, via a web-based graphical user interface, one or more policies for
distribution of service requests to one or more servers in a subscriber server network.
https://learn.microsoft.com/en-us/azure/azure-monitor/overview
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/azure-monitor/overview
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
151. Azure Traffic Manager, Azure Monitor, and Azure Service Health further monitor
operational statuses of some of a plurality of name servers in a name server network that provide
hostname resolution service for the one more server in the subscriber server network. Azure further,
based on said monitoring, when an error or anomalous condition is detected at a particular name
server of the name server network, creates policies to indicate the status of the particular name server,
wherein the policy is taken into account when resolving hostnames using the name server network.
75
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/azure-monitor/overview
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https://learn.microsoft.com/en-us/azure/dns/monitor-dns
https://learn.microsoft.com/en-us/azure/firewall/monitor-firewall
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https://learn.microsoft.com/en-us/azure/service-health/service-health-notifications-properties
152. Azure Traffic manager further sends alerts regarding the error or anomalous
condition detected at a particular name server to the subscriber via the web-based graphical user
interface.
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https://learn.microsoft.com/en-us/azure/azure-monitor/overview
https://learn.microsoft.com/en-us/azure/azure-monitor/alerts/alerts-overview
79
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https://azure.status.microsoft/status/history/?trackingId=PSM0-BQ8
COUNT VIII: INFRINGEMENT OF THE ’517 PATENT
153. Plaintiff hereby incorporates by reference each of the allegations in the foregoing
paragraphs as though fully set forth herein, and further alleges as follows.
154. Microsoft directly infringes, either individually or jointly through the direction and
control of others, at least claim 1 of the ’517 Patent through operation of one or more of the Accused
Microsoft Functionalities. For instance, Azure Front Door and Azure CDN, and Azure Traffic
Manager provide an adaptive traffic control network.
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https://azure.microsoft.com/en-us/products/cdn
https://azure.microsoft.com/en-us/products/cdn
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-overview
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
155. Azure Front Door/CDN and Traffic Manager performs a method in which an
adaptive traffic control name server network implements policy-based traffic direction, where Azure
Front Door/CDN and Traffic Manager provides a graphical user interface (GUI) and uses said GUI
to obtain at least one policy for direction of network traffic, wherein the GUI supports the setting of
said at least one policy using a decision tree representing rules.
https://azure.microsoft.com/en-us/get-started/azure-portal
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https://azure.microsoft.com/en-us/get-started/azure-portal
https://azure.microsoft.com/en-us/get-started/azure-portal
https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
83
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https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
84
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https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
156. Azure Front Door/CDN and Traffic Manager further provides said at least one policy
to the name server network, wherein the decision tree comprises one or more resource nodes, and one
or more branch nodes, wherein the one or more resource nodes specify one or more answers to be
provided in response to a Domain Name Service (DNS) request, and wherein the one or more branch
nodes specify one or more decision criteria to be applied, and wherein the GUI supports the
specification of: (i) one or more answers for the one or more resource nodes, and (ii) one or more
decision criteria for the one or more branch nodes, wherein the one or more criteria are selected from
criteria related to: world zones, countries, states, time zones, and blocks of Internet Protocol (IP)
addresses, and wherein the one or more resource nodes are selected from: IP addresses, canonical
name (CNAME) records, mail exchange (MX) records, name server (NS) records, and load sharing
server sets; and wherein the answers are selected from: IP addresses and CNAMEs.
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https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
86
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https://learn.microsoft.com/en-us/azure/traffic-manager/quickstart-create-traffic-manager-profile
https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
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https://learn.microsoft.com/en-us/azure/traffic-manager/traffic-manager-routing-methods
PRAYER FOR RELIEF
Wherefore, Plaintiff requests entry of judgment in its favor and against Microsoft as
follows:
A. Judgment that Microsoft has directly infringed one or more claims of each of
the Asserted Patents pursuant to 35 U.S.C. § 271;
B. An award of lost profits and/or reasonable royalty damages to compensate
Plaintiff for Microsoft’s infringement, including damages pursuant to 35
U.S.C. § 284, as well as prejudgment and post-judgment interest;
C. An award of costs and expenses in this action, including an award of
Plaintiff’s reasonable attorneys’ fees pursuant to 35 U.S.C. § 285;
D. A permanent injunction restraining and enjoining Microsoft, and its
respective officers, agents, servants, employees, attorneys, and those
persons in active concert or participation with Microsoft who receive actual
notice of the order by personal service or otherwise, from any further sales
or use of their infringing products and/or services and any other
infringement of the Asserted Patents;
E. A finding that Microsoft has willfully infringed one or more claims of the
Asserted Patents;
F. A finding that this is an exceptional case, and awarding treble damages due
to Microsoft’s deliberate and willful conduct, and ordering Microsoft to pay
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Plaintiff’s costs of suit and attorneys’ fees; and
G. Any such other and further relief as the Court may deem just, proper, and
equitable under the circumstances.
JURY DEMAND
Plaintiff respectfully demands a trial by jury on all claims and issues so triable.
Dated: August 11, 2026 Respectfully submitted,
/s/ Ryan D. Dykal
Ryan D. Dykal (MO State Bar No. 60905)
Jordan T. Bergsten (DC Bar No. 90032105)
Mark D. Schafer (pro hac vice forthcoming)
Philip Eckert (pro hac vice forthcoming)
Anita Liu (TX State Bar No. 24134054)
BOIES SCHILLER FLEXNER LLP
1401 New York Ave, NW
Washington, DC 20005
(t): 202-274-1109
rdykal@bsfllp.com
jbergsten@bsfllp.com
mschafer@bsfllp.com
peckert@bsfllp.com
aliu@bsfllp.com
Carolyn Drell (pro hac vice forthcoming)
BOIES SCHILLER FLEXNER LLP
333 Main Street
Armonk, NY 10504
(t): 914-749-8200
cdrell@bsfllp.com
Counsel for Plaintiff
Sandpiper CDN, LLC
89