Sunday, December 18, 2011

Samsung Vs. Apple

Samsung Electronics filed a lawsuit against Apple just fifteen hours after Apple released the new iPhone 4s. Samsung took a quick legal move in courts of France and Italy after being on the defensive as European courts have banned the sale of its products over design-related patent rights, and this represents Samsung's aggressive approach by ensuing legal battle with Apple. Also, both Samsung and Apple are struggling over patent rights relating to the two firms' smartphone and tablet products.


Samsung was holding passive response in the legal dispute with Apple until recently because Apple is a major buyer of Samsung's memory chips and displays. Sony took up 4.4% of Samsung Electronics' sales in 2010 whereas Apple followed close behind at 4%. In the first half of 2011, Apple bought $7.8 billion of Samsung supplies and outpaced Sony's $6 billion. Although this business relations seem to satisfy all the companies, Samsung is worried about the fast growing advancement of Apple, so it's taking a more intense legal dispute.

The suit Samsung filed on patent rights is issued on WCDMA or Wideband Code Division Multiple Accessthe. It is the third generation mobile communications technology, and Samsung explained how Apple violated two patents on the WCDMA communication standard. Banning on the sale of Apple smartphones is requested and Samsung complained to the local courts that the patents in the question involve a key technology indispensable to smartphones. Alos, Samsung declared that Apple took enough free ride on Samsung's patent rights and that it will consider filling suits in more countries and in South Korea.

Conversely, Apple's lawsuit against Samsung is concerned with the product design. Samsung's move is expected to have wider repercussions as the case involves the key 3G network technology WCDMA. Samsung can always redesign and launch a new phone, but without owning patents on the 3G network, manufacturing smartphones is not possible.


As this lawsuit goes on, Apple co-founder Steve Jobs died due to his severe illness. Jobs had connections with all three generation of the Samsung leadership: Samsung founder Lee Byungchul, Samsung Chairman Lee Kunhee, and his son Lee Jaeyong. Samsung paid sincere condolences but tried to maintain Jobs' death unrelated to the legal dispute.

Source:
"Samsung-Apple Legal Battle." KBS World (9 Oct. 2011). Http://world.kbs.co.kr/english/news
/news_hotissue_detail.htm?No=30727. Web.