Peloton Interactive rival faces copycat allegations

Peloton Interactive Inc. filed a lawsuit claiming NordicTrack maker Icon Health & Fitness Inc. copied its interactive fitness programs and lied in advertising to undercut a more popular rival.

Icon Health has “attempted to free ride off Peloton’s innovative technology” by integrating patented features that make archived classes seem “live” to users and a way to let two people in different locations access the archived class and compete against each other in real time, Peloton claims.

Peloton shares have reached record highs this year as people stuck at home during the pandemic look for ways to stay in shape. Even before going public last year, the company said, there had been a surge in copycats that want to mimic the experience of “live” classes on demand.

In February, Peloton settled a patent-infringement suit it had filed against another rival, Flywheel,

over similar technology.

Officials with Logan, Utah-based Icon couldn’t immediately be reached for comment. Icon Health’s more traditional fitness equipment like stationary bikes and treadmills began offering iFit, which gave the ability to access pre-recorded exercise classes, in 2015, but it wasn’t successful, according to Peloton’s complaint.

In September, the same month as Peloton’s initial public offering, Icon began offering “the iFit leaderboard,” which was “nothing more than the Peloton leaderboard grafted onto an iFit interface.”

“Having discovered just how lucrative it was to mimic Peloton, Icon doubled down on its unlawful scheme,” Peloton said. “In May 2020, Icon set its sights on yet another Peloton innovation — live classes with a real-time leaderboard ... Icon’s introduction of live classes and the leaderboard is calculated to perfect its theft of market share from Peloton.” Bloomberg