Facebook loses Oculus VR tech case

Facebook-owned Oculus has been ordered to pay $500m (£394m) to games company ZeniMax due to a failure to comply with a non-disclosure agreement.

Facebook loses Oculus VR tech case

ZeniMax sued Oculus, months after it was acquired by Facebook in 2014. The game maker accused Oculus of improperly using code from ZeniMax to build its Rift VR headset.

As jury in the US also found that Oculus committed copyright infringement and for false designation. However, the jury decided that Oculus has not stolen trade secrets, as alleged by ZeniMax.

"The heart of this case was about whether Oculus stole ZeniMax’s trade secrets, and the jury found decisively in our favour," an Oculus spokeswoman said in a statement.

Both Oculus founder Palmer Luckey and former chief executive, Brandan Iribe are being held accountable, and are ordered to pay $50m and $150m respectively.

Oculus plans to appeal the decision. A spokeswoman said: "The heart of this case was about whether Oculus stole ZeniMax's trade secrets, and the jury found decisively in our favour. 

"We're obviously disappointed by a few other aspects of today's verdict, but we are undeterred. Oculus products are built with Oculus technology. Our commitment to the long-term success of VR remains the same, and the entire team will continue the work they've done since day one – developing VR technology that will transform the way people interact and communicate.  We look forward to filing our appeal and eventually putting this litigation behind us."