Alpha Modus, a developer of AI‑driven retail technologies, filed an amended complaint on November 12 2025 that expands its original claim from eight to nine patents. The new filing adds U.S. Patent 10,853,825 and the recently issued U.S. Patent 12,423,718, and alleges that Kroger’s nationwide use of AI and computer‑vision systems infringes the company’s patented methods for real‑time consumer analytics, inventory management, and personalized marketing.
The complaint names eight Kroger AI systems as infringing, including Barrows Connected Store, BlueZoo, Everseen Visual AI, 84.51° analytics, Kroger Precision Marketing, EDGE smart shelving, KroGO smart carts, and KASpR optimization systems. These systems cover a broad spectrum of in‑store and online operations, from dynamic pricing and shopper engagement to automated inventory control and cart‑tracking technology.
Alpha Modus CEO William Alessi said the lawsuit demonstrates that “enforcement and collaboration can coexist.” He noted that the company’s prior settlement with Kroger over Cooler Screens technology did not grant Kroger a free pass to use the broader portfolio, and that Kroger must face the fact that it is infringing directly on Alpha Modus’s technology. Alessi added that Alpha Modus will not accept anything less than proper licensing and full compensation for the infringed patents.
Kroger has invested heavily in AI to improve operational efficiency and customer experience, with initiatives such as dynamic batching for pickup, online marketplace optimization, shrink reduction, and inventory management. The lawsuit threatens to disrupt these efforts by potentially limiting the use of the named AI platforms and imposing legal costs that could divert resources from future AI development. An injunction could also force Kroger to halt or modify the use of the systems, impacting both in‑store operations and digital services.
The legal action could result in substantial litigation expenses and the risk of injunctions that would restrict Kroger’s AI capabilities. If the court finds infringement, Kroger may face damages, licensing fees, and the cost of redesigning or replacing the affected systems. The outcome will influence Kroger’s future AI strategy and its competitive positioning against rivals that rely on similar technologies.
Alpha Modus has been pursuing patent infringement lawsuits across the retail technology sector, targeting companies such as RetailNext, Sensormatic, Johnson Controls, Navori, meldCX, 7‑Eleven, and Lowe’s. The lawsuit against Kroger is part of a broader strategy to enforce its intellectual property rights and protect its innovations in in‑store AI and shopper analytics. The case underscores the growing intensity of IP battles in the rapidly evolving AI retail space.
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