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Apple sues Atico in patent dispute

WILMINGTON, Delaware (Bloomberg) — Apple Inc., the maker of the iPod media player, sued Atico International USA Inc. claiming it infringed five patents for accessories used with the device.

Apple, based in Cupertino, California, seeks a jury trial and an order to stop Atico from selling infringing products in the US, according to papers filed yesterday in federal court in Wilmington, Delaware. Apple also alleges trademark infringement and unfair competition.

"The iPod's success has spawned an enormous demand for iPod compatible accessories" including docking stations, speakers and cables, Apple said in the complaint. Atico is selling unlicensed versions of the products, costing Apple money and harming its reputation, the company said.

The patents cover accessory designs and a system for transferring information. Apple, with about 21,000 employees and $24 billion in revenue last year, said more than 140 million iPods have been sold since the media player's introduction in 2001. It doesn't break out sales of accessories. The company also makes the Macintosh computer and iPhone handset.