After four years of court hearings and plenty of controversy, Apple and cyber startup Corellium are settling a copyright lawsuit. Terms have not been disclosed.
Court announces a settlement after a protracted legal dispute in which Apple tried to shut down Corellium’s virtual iPhone software, which is largely used by security researchers.
The suit was filed in 2019, with Apple claiming that Corellium had illegally replicated iOS by creating software that created virtual versions of iPhones so they could be probed by security researchers and app developers. Apple alleged Corellium had breached the Digital Millennium Copyright Act (DMCA) too by breaking the law’s “anti-circumvention” provision that makes it “unlawful to circumvent technological measures used to prevent unauthorized access to copyrighted works.” The tech giant demanded that Corellium cease selling its software and that it pay Apple for any profits lost as a result of the copies being made.
Critics, including the Electronic Frontier Foundation, said Apple’s claims were “dangerous” to valid security research, which Apple denied.
The case had a number of surprises, with Corellium’s lawyers revealing that Apple had attempted to buy the startup for $23 million in 2018. In an unusual move, the tech giant also subpoenaed defense giant L3Harris so it could demonstrate how it was using Corellium’s technology.
Apple later dropped the DMCA allegations and had the original copyright claim thrown out. But it appealed in 2021, only to be told in April this year that it didn’t have a case because Corellium had created versions of iOS that fell under the U.S. copyright doctrine of fair use; the judge’s argument was that Corellium was helping researchers carry out important tests of iPhone security, so its software wasn’t violating copyright.
That wasn’t the end of the case, however, as the case went back to a district court in Florida to decide whether or not Corellium infringed copyrights of Apple’s branding or wallpapers, or if it had breached the copyright of third parties running software on iOS.
But on Thursday, the court announced that a settlement had been reached. “The parties reached a full and complete settlement of all remaining causes of action and issues in this case,” a note on the docket read. “The court congratulates the parties and their counsel on reaching an amicable settlement in this case.”
Neither Apple nor Corellium had commented on the case at the time of publication.
Founded by CEO Amanda Gorton and longtime iPhone security expert Chris Wade, Corellium has continued to do business, raising $25 million to date and going from six employees in 2019 to 60 staff today. It’s also expanded to creating virtual Android phones and in-car software.
