Alpha Modus Files Patent Infringement Lawsuit Against A2Z Cust2Mate Solutions Corp., Defending Core AI Retail Innovations
Rhea-AI Summary
Alpha Modus (NASDAQ: AMOD) has filed a patent infringement lawsuit against A2Z Cust2Mate Solutions Corp. in the U.S. District Court for the Eastern District of Texas on August 25, 2025. The lawsuit alleges infringement of five key patents related to AI-powered retail technology.
The patents cover essential technologies including real-time inventory management, customer assistance, AI-powered retail inventory management, store layout optimization, and seamless checkout systems. Alpha Modus claims Cust2Mate's smart cart products directly infringe these patents through features like item tracking, consumer behavior analysis, in-cart payments, and personalized promotions.
The company seeks damages and injunctive relief, emphasizing the patents' broader implications for retailers and technology companies implementing cashierless checkout and AI-driven retail solutions.
Positive
- Strong intellectual property portfolio with 5 core patents in AI retail technology
- Patents cover broad applications beyond smart carts, extending to major retail innovations
- Potential for licensing revenue from other companies using the technology
Negative
- Legal costs and resources required for patent litigation
- Uncertainty of lawsuit outcome and timeline
- Potential competitive response from other market players
News Market Reaction – AMOD
On the day this news was published, AMOD gained 1.87%, reflecting a mild positive market reaction. Our momentum scanner triggered 2 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $824K to the company's valuation, bringing the market cap to $45M at that time.
Data tracked by StockTitan Argus on the day of publication.
CORNELIUS, N.C., Aug. 27, 2025 (GLOBE NEWSWIRE) -- Alpha Modus, Corp., a wholly-owned subsidiary of Alpha Modus Holdings Inc. (NASDAQ: AMOD), today announced that it filed a patent infringement lawsuit on August 25, 2025, in the U.S. District Court for the Eastern District of Texas against A2Z Cust2Mate Solutions Corp., a Canadian-based provider of AI-powered “smart shopping carts.”
The complaint alleges Cust2Mate has infringed five Alpha Modus patents that represent the backbone of next-generation retail technology:
- U.S. Patent No. 10,977,672 – Real-time inventory management, marketing, and advertising
- U.S. Patent No. 11,042,890 – Customer assistance through real-time monitoring and engagement
- U.S. Patent No. 11,301,880 – AI-powered retail inventory management
- U.S. Patent No. 11,049,120 – Intelligent store layout optimization (AI-driven planograms)
- U.S. Patent No. 12,354,121 – Seamless in-store shopping and checkout systems
Alpha Modus asserts that Cust2Mate’s smart cart products directly infringe these patents by tracking items in carts, analyzing consumer behavior, enabling in-cart payments, and delivering personalized promotions—all core functionalities protected by Alpha Modus’ intellectual property.
Wider Industry Implications
The patents at issue extend far beyond smart carts. They cover essential technologies now being tested and deployed by the largest retailers and technology companies worldwide, and global grocers experimenting with cashierless checkout and AI-driven planogram optimization.
“This action reinforces our role as a leader and protector of AI-driven retail innovation,” said William Alessi, CEO of Alpha Modus Holdings Inc. “Cust2Mate, and others racing to deploy smart cart and AI in-store systems, are leveraging core technologies invented and patented by Alpha Modus. We will continue to defend our intellectual property and ensure that companies either license our technology or face accountability in court.”
By filing this lawsuit, Alpha Modus seeks damages, injunctive relief, and enforcement of its intellectual property rights to ensure fair competition in the rapidly evolving AI retail technology sector.
For more information, visit: www.alphamodus.com
About Alpha Modus Holdings Inc.
Alpha Modus Holdings Inc. (NASDAQ: AMOD) is redefining the retail experience through its patented AI technologies, intelligent kiosks, and targeted consumer engagement tools. By integrating innovation with infrastructure, Alpha Modus is unlocking new monetization pathways for retailers and fintech providers alike.
For more information and to access Alpha Modus’ press room, visit: https://alphamodus.com/press-room/
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Alpha Modus’s actual results may differ from their expectations, estimates, and projections, and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements, but are not the exclusive means of identifying these statements. These forward-looking statements include, without limitation, Alpha Modus’s expectations with respect to future performance.
Alpha Modus cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Alpha Modus does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.
Contact Information
Investor Relations
Alpha Modus Holdings, Inc.
Email: ir@alphamodus.com
Website: www.alphamodus.com
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FAQ
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