NEW YORK–(BUSINESS WIRE)–IEX today filed a motion in the U.S. District Court for the District of New Jersey seeking to dismiss Nasdaq’s patent infringement claims. In its motion, IEX contends that Nasdaq’s lawsuit is baseless and that Nasdaq’s patents claim unpatentable abstract ideas. IEX further contends that Nasdaq fails to identify where or how key elements of its alleged inventions appear in IEX’s exchange, or to allege specific facts supporting its claims of indirect and willful infringement.
“We built our own technology with the explicit purpose of being a fundamentally different kind of exchange,” said Sophia Lee, General Counsel at IEX. “As we emphasize in our motion to dismiss, IEX is a threat to Nasdaq’s conflicted and lucrative sale of systemic data and technology advantages to high-speed trading firms. The timing of Nasdaq’s claims also coincides with IEX’s approval and announced intention to launch a corporate listing business, a business in which Nasdaq has enjoyed a 40+ year duopoly. This lawsuit is just the latest in a series of baseless attempts by Nasdaq to stop the march of progress toward a fairer and more transparent market for companies, investors, and brokers.”
IEX was founded to provide a fairer and more transparent trading experience for long-term investors and their brokers, who were underserved by the existing exchanges. To do this, IEX pioneered groundbreaking technology, such as its “speed bump,” a 38-mile fiber optic coil that is designed to negate the high-speed data and technology advantages exploited by predatory traders on Nasdaq and other exchanges for profit. IEX provides its members with market data and the technology to connect to its exchange for free, while Nasdaq charges significant fees for market data and connectivity.
IEX intends to vigorously defend against Nasdaq’s patent infringement claims and will continue to offer long-term investors, brokers, and public companies an alternative to the conflicted business models employed by Nasdaq and other exchanges.
The full motion to dismiss is on record with the U.S. District Court for the District of New Jersey, Civil Action No.: 3:18-cv-03014-BRM-DEA.
IEX is on a mission to build fairer markets. Founded in 2012 and headquartered in New York City, IEX introduced its first trading venue in 2013 and launched as a U.S. stock exchange in 2016. IEX is the stock exchange that believes that exchanges should put the interests of companies and long-term investors front and center. As the only independent U.S. stock exchange seeded by the buyside, IEX uses technology to protect investors and is the only exchange operating without the conflicts of rebates and co-location revenue. Learn more at: iextrading.com
Sara Forster, 646-343-2131