Facebook's Oculus facing $500 million bill in copyright case

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  • FILE - In this June 11, 2015, file photo, Oculus founder Palmer Luckey holds up the new Oculus Rift virtual reality headset for photographers following a news conference, in San Francisco. In a verdict reached Wednesday, Feb. 1, 2017, Facebook's virtual-reality subsidiary and two of its founders, Luckey and Brendan Iribe, are facing a sobering reality after a jury hit them with a $500 million bill for infringing on the rights of a video-game maker. (AP Photo/Eric Risberg, File)

    FILE - In this June 11, 2015, file photo, Oculus founder Palmer Luckey holds up the new Oculus Rift virtual reality headset for photographers following a news conference, in San Francisco. In a verdict reached Wednesday, Feb. 1, 2017, Facebook's ... virtual-reality subsidiary and two of its founders, Luckey and Brendan Iribe, are facing a sobering reality after a jury hit them with a $500 million bill for infringing on the rights of a video-game maker. (AP Photo/Eric Risberg, File) (The Associated Press)

  • FILE - In this Thursday, June 11, 2015, file photo, Oculus CEO Brendan Iribe holds up the Rift virtual reality headset during a news conference in San Francisco. In a verdict reached Wednesday, Feb. 1, 2017, Facebook's virtual-reality subsidiary and two of its founders, Iribe and Palmer Luckey, are facing a sobering reality after a jury hit them with a $500 million bill for infringing on the rights of a video-game maker. (AP Photo/Eric Risberg, File)

    FILE - In this Thursday, June 11, 2015, file photo, Oculus CEO Brendan Iribe holds up the Rift virtual reality headset during a news conference in San Francisco. In a verdict reached Wednesday, Feb. 1, 2017, Facebook's virtual-reality subsidiary and ... two of its founders, Iribe and Palmer Luckey, are facing a sobering reality after a jury hit them with a $500 million bill for infringing on the rights of a video-game maker. (AP Photo/Eric Risberg, File) (The Associated Press)

Facebook's virtual-reality subsidiary and two of its founders are facing a sobering reality after a jury hit them with a $500 million bill for infringing on the rights of a video-game maker.

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The verdict reached Wednesday in a Dallas federal court represents about one-fourth of the $2 billion that Facebook paid two years ago to buy Oculus, a developer of virtual-reality gear and software.

The jury concluded that Oculus and co-founders Palmer Luckey and Brandon Iribe infringed on ZeniMax Media's copyrights and trademarks as they built their products.

Oculus is on the hook for $250 million in damages. Iribe is responsible for $150 million, and Luckey is saddled with the remaining $50 million.

Oculus says it will appeal.

ZeniMax's board includes President Donald Trump's younger brother, Robert.