Sony Ordered to Stop PlayStation Sales

Sony said Monday that a court has upheld an earlier ruling by a California jury and ordered the company to halt sales of its PlayStation videogame console.

The intellectual property lawsuit brought by Immersion Corp. covers technology used to make a controller to vibrate during game play, which Immersion claims Sony copied without permission.

According to a company representative, Sony will still be able to sell the game consoles while it attempts to appeal the ruling. The company will also start paying Immersion royalties as ordered.

A California jury in 2004 ordered Sony to pay Immersion $82 million to settle the case, as well as halt sales of its gaming consoles until royalties were paid. Sony appealed the ruling, but lost it in a higher court and an additional $8 million was added to the judgment for interest.

The gaming business has become a bright spot in Sony's portfolio, as it has been fairly immune to the pricing declines that have plagued its other divisions. Nearly half of the company's profit comes from games.

Sony maintains that it did not infringe on patents owned by Immersion and has vowed to appeal the ruling.

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