Netflix sued Broadcom in California federal court on Monday, accusing the chipmaker's cloud computing subsidiary VMware of violating its patent rights in "virtual machines" that run another computer's operating software on a host computer.

Video streaming giant Netflix Inc. is suing Broadcom Inc. over virtual machine patents owned by the company’s subsidiary VMware Inc. According to the lawsuit filed with a California federal court by Netflix Monday, the company said VMware’s cloud software infringes on five patents related to virtual machines.

Netflix (NFLX) is suing Broadcom (AVGO) claiming the company’s cloud computing subsidiary VMware violated its patent rights in ‘virtual machines’ that run another computer’s operating software on a host computer,

Netflix claims Broadcom's subsidiary VMware is in violation of five patents It claims VMware knew it was violating patents for more than a decade Netflix is now demanding VMware pays for damages caused Video streaming behemoth Netflix is suing Broadcom over virtual machine (VM) patents.

Shares of Broadcom Inc. rose over 2% in premarket trading on Tuesday, even as Netflix filed a lawsuit against Broadcom’s subsidiary, VMware, alleging patent infringement. Netflix claims that VMware improperly utilized its patented technology for “virtual machines,

Netflix is suing Broadcom over patent infringement a few years after Broadcom sued Netflix for similar reasons.

Netflix sues Broadcom's cloud computing subsidiary VMware for patent infringement. Broadcom had previously filed a patent dispute against Netflix in 2018.