ClearOne Defeats Shure’s Meritless Preliminary Injunction Motion

ClearOne (NASDAQ: CLRO), a leading global provider of audio and visual communication solutions, today comments on the Order issued by the Honorable Richard G. Andrews of the U.S. District Court of Delaware adopting a Report and Recommendation denying Shure Incorporated’s (“Shure’s”) motion for a preliminary injunction (“PI Motion”) to stop the sale of ClearOne’s innovative Ceiling Tile Beamforming Mic Array (“BMA CT”) and Huddle-compatible Ceiling Tile Beamforming Array (“BMA CTH”) products.

ClearOne launched its BMA CT product in February 2019. In November 2019, ClearOne announced its COLLABORATE® Versa Pro CT product offering, which combines the BMA CTH with the CONVERGE® Huddle audio DSP to provide superior functionality and audio quality for small- to medium-sized rooms. ClearOne began selling this product offering in December 2019. Then, in February 2020, ClearOne announced the COLLABORATE Versa Room CT and COLLABORATE Versa Lite CT product offerings, which require no external DSP.

In April 2019, Shure filed a motion for a temporary restraining order (“TRO”) to stop sales of ClearOne’s BMA CTH products. The Honorable Christopher J. Burke recommended denial of Shure’s TRO, finding that Shure had failed to show that it would suffer irreparable harm in the absence of injunctive relief and that ClearOne had raised a “substantial question” as to the validity of the patent Shure asserts against ClearOne, D865,723 (the “’723 patent”). Despite that denial, Shure pressed forward with its PI Motion and, in September 2020, Judge Burke heard the parties’ arguments and testimony from both ClearOne and Shure witnesses at a remote hearing.