The complaint

The case is Nokia Technologies Oy v. Aylo Holdings S.à r.l., No. 2:26-cv-00882 (E.D. Tex.), filed in the Marshall Division. The complaint names as defendants Aylo Holdings S.à r.l. of Luxembourg; Aylo Group Ltd., Aylo Freesites, Ltd., and Aylo Premium, Ltd. of Cyprus; and 9219-1568 Quebec Inc. of Montreal, Canada. The complaint says Aylo Freesites operates sites including Pornhub and Aylo Premium operates sites including Brazzers. It defines the Accused Services as backend processes, including encoding, and alleges that Aylo encodes videos into H.264-compliant formats in the United States.

The seven asserted patents, with the titles the complaint gives, are U.S. Patent 7,532,808, Method for Coding Motion in a Video Sequence; U.S. Patent 6,950,469, Method for Sub-Pixel Value Interpolation; U.S. Patent 8,175,148, Method and Device for Indicating Quantizer Parameters in a Video Coding System; U.S. Patent 8,050,321, Grouping of Image Frames in Video Coding; U.S. Patent 7,289,674, Spatial Prediction Based Intra Coding; U.S. Patent 6,968,005, Video Coding; and U.S. Patent 8,107,744, Picture Buffering for Prediction References and Display. Exhibits to the complaint chart claim 1 of six of the patents and claim 12 of the '744 patent against the Accused Services. Each of the seven infringement counts, Counts I through VII, pleads direct infringement and inducement, alleging that Aylo instructs content partners and advertisers to encode video into H.264-compliant formats.

The letters and the RAND count

According to the complaint, Nokia wrote to Aylo on August 21, 2025 and December 3, 2025 asking to discuss a license, and on March 27, 2026 stating that Aylo and its sub-brands used Nokia's patented technology without a license and requesting a meeting; Aylo's chief legal officer signed for the first and third letters, and Aylo did not respond to any of them. For knowledge of the patents, the complaint points to Nokia's publicized enforcement against companies including Warner Bros. Entertainment, Paramount Skydance, ASUSTeK, Acer, Hisense, Lenovo, HP, and Amazon, pleads willful blindness, and alleges knowledge no later than the filing of the complaint.

The complaint says Nokia has committed to license, on RAND terms under the ITU Common Patent Policy, its claims essential to the H.264 standard for decoding, and that its encoding claims are not essential to the standard and so are not RAND-encumbered. Count VIII asks for a declaration that the asserted encoding claims are not subject to the ITU Common Patent Policy or its RAND commitment, alleging a live dispute because Aylo has not conceded the point and did not answer Nokia's letters.

Venue and relief

The complaint pleads venue under 28 U.S.C. 1391(c)(3) because none of the defendants resides in the United States. For personal jurisdiction it alleges that the defendants use the Accused Services to place encoded video into commerce knowing they are used to offer videos in Texas, track metrics on Texas users, and work with Texas residents who upload videos through their Content Partner Program and Model Program. Because the asserted claims are method claims, the complaint says the marking requirement of 35 U.S.C. 287 does not apply, and it seeks damages going back six years from the complaint, the period 35 U.S.C. 286 allows. It also asks for a willfulness finding, enhanced damages under 35 U.S.C. 284, an exceptional-case finding and fees under 35 U.S.C. 285, and the RAND declaration. The prayer does not expressly ask for a permanent injunction; its last item asks for such other relief, "including equitable relief," as Nokia may request and be entitled to.

What to watch next

Watch for service on the foreign defendants, Aylo's response to the infringement counts and to the RAND declaratory count, and any petitions for inter partes review. The case can end at any time by license, settlement, or dismissal.