Creative Realities Denies Patent Infringement Allegations, Defends Its Digital Signage Solutions

Creative Realities denies patent infringement allegations by Alpha Modus, a subsidiary of Alpha Modus Holdings. The lawsuit claims that CRI's digital signage solutions infringe on AMOD's patented technologies. CRI believes the allegations are part of AMOD's tactic to distract from its financial position and lack of revenue-generating activities. CRI will vigorously defend itself and continue to develop product solutions for its customers.

Alpha Modus, Corp., a subsidiary of Alpha Modus Holdings Inc. (NASDAQ: AMOD), has filed a patent infringement lawsuit against Creative Realities, Inc. (NASDAQ: CREX) in the United States District Court for the Eastern District of Texas, Marshall Division. The lawsuit alleges that CRI's digital signage platforms, including Clarity™, ReflectView™, Reflect Spark™, Reflect Xperience™, and AdLogic™, infringe on Alpha Modus's patented technologies for real-time consumer behavior analysis, targeted marketing, digital engagement, inventory management, and AI-driven retail personalization [1][2].

The complaint asserts infringement of five of Alpha Modus's foundational patents: U.S. Patent Nos. 10,360,571; 10,853,825; 10,977,672; 11,042,890; and 11,301,880. Alpha Modus, through its CEO William Alessi, expressed confidence in both the strength of its patents and the merits of its cases, while also preferring to resolve the matter quickly and amicably [1][2].

Creative Realities has announced its intention to vigorously defend against the lawsuit. The company's CEO, Rick Mills, strongly denies the allegations, noting that Alpha Modus has filed similar lawsuits against multiple companies since 2024. Mills pointed out that Alpha Modus, which reported a working capital deficit of $9.38 million as of June 30, 2025, and has no reported revenues, may be using these lawsuits as a tactic to distract from its financial position [3].

CRI emphasizes its continued commitment to developing digital signage solutions through its Clarity™, ReflectView™, and iShowroom™ platforms, serving various markets including retail, automotive, and digital-out-of-home advertising networks. The company believes that the lawsuit is part of a pattern of predatory litigation by Alpha Modus, which has filed similar patent infringement claims against at least nine other companies since early 2024 [3].

This lawsuit exemplifies non-practicing entity (NPE) litigation, where a company that does not produce products asserts patents against operating businesses. The context of Alpha Modus' financial distress and litigation pattern raises questions about the legitimacy of its patent enforcement strategy. Creative Realities appears confident in its non-infringement position and intends to fight the lawsuit rather than settle [3].

References:
[1] https://finance.yahoo.com/news/alpha-modus-files-patent-infringement-120000120.html
[2] https://www.marketscreener.com/news/alpha-modus-files-patent-infringement-lawsuit-against-creative-realities-inc-reinforcing-its-lead-ce7d59d9db8cfe25
[3] https://www.stocktitan.net/news/CREX/creative-realities-denies-patent-infringement-and-vows-resolute-nna705l6se1t.html