It’s a David and Goliath match for the ages as Sonos (NASDAQ:SONO) has been facing Google (NASDAQ:GOOG) (NASDAQ:GOOGL) in court for a while now. Google got a bit of good news today in that case, though it wasn’t enough to help it much with investors. It was down a bit earlier today but has recovered into positive territory, though only fractionally.
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So what development was sufficient to put Google in the red, if only temporarily? Sonos’ lawsuit alleges patent infringement against Google over Sonos’ previously-created wireless speaker systems and streaming music functions. But U.S. District Judge William Alsup hindered Sonos’ case just a bit, declaring that one of Sonos’ patents was actually invalid in the case. That’s the second patent Sonos has lost for use in this case. However, Google didn’t get off lightly, as Alsup denied Google’s motion to remove two other patents from the case, which means they’re likely able to stand.
Google also got a bit of a reprieve from Alsup, as he immediately declared that one of the surviving patents was not infringed upon “willfully.” That means any damages Sonos could recoup would be reduced accordingly. That leaves just one patent left, and in the biggest hit to Google, Alsup declared that that patent would go to trial.
Alphabet, Google’s parent company, remains a hit with analysts. With seven Buy ratings, analyst consensus calls Alphabet stock a Strong Buy. Furthermore, with an average price target of $126, it offers 15.94% upside potential.
