IP War Among Smartphone
Players
Abhishek Saxena
HTC Corporation
Taiwan
The
art of war is simple enough. Find out where your enemy is. Get at him as soon
as you can. Strike him as hard as you can, and keep moving on - Ulysses S. Grant
Telecom
companies have been battling for the lead in the Smartphone market since 2001.
This year alone has seen almost every major Smartphone Company sued for
infringing patents.
In
2001, NTP sued BlackBerry maker, Research in Motion (RIM) for allegedly
infringing at least five of its
To
avoid such situations, companies are required to sign a contract to buy or
share the IP before they use other's IP. Sharing of IP between the companies is
possible only if both the companies have strong patent profile. Like Qualcomm
leads the 3G and now 4G patents. Samsung spots 2nd position in 4G
patents but is having a lower rank in 3G patents. So, Samsung has to pay an unforeseen
amount to Qualcomm while developing 3G phones but in 4G Qualcomm will
inevitably have a less powerful grip than it did in 3G.
Now
every Smartphone player has its own patent list and if sued they reply with
counter-sue to settle the dispute.
In October 2009, Nokia filed a
suit against Apple, accusing the company of hitching a "free-ride" on its
intellectual property. In December 2009, Apple filed a searing countersuit
accusing Nokia of the same thing. Apple denies infringement and asserts that
Nokia attempted to copy the iPhone and infringed 13 Apple patents in the
process. The company seeks dismissal of Nokia's complaint in its entirety, with
prejudice, damages for Nokia's alleged infringements, interest and legal fees.
Recently HTC Corporation filed a
complaint with the United States International Trade Commission (ITC) to halt
the importation and sale of the iPhone, iPad and iPod in the
These IP related disputes have the
potential to affect the consumers adversely sooner or later. The lawsuit that
Apple filed against HTC, for eg., opens up a lot of questions about the future
of Android phones like the Nexus One and the cell phone market, in general. But
specifically, what about the consumers who have purchased HTC Android phones since
Apple wants HTC to shutdown these models.
Consumers will also end up paying more for the same phone due to some trivial
patents occupied by other company. It seems the concerned authorities will have
to intervene to avoid the consumers from directly being affected by such
disputes in future.