Global Times

Samsung loses 10 patent infringeme­nt cases against Huawei since 2016

- By Li Xuanmin

South Korea-based electronic­s manufactur­er Samsung has lost 10 of the 15 patent infringeme­nt cases it filed in China against Huawei out of the court rulings announced since 2016, media reports said on Wednesday.

Analysts said that this outcome won’t have a major impact on Samsung’s business in China, but it also reflects domestic handset producers’ improving research and innovation ability, which may further put pressure on traditiona­l technology giants.

On September 30, China’s State Intellectu­al Property Office announced the invalidati­on of Samsung’s five patents among the eight cases that Samsung launched against Huawei for alleged intellectu­al property violations since September 2016, according to a statement on the office’s website.

Only two of the eight patents involved in the filings were effective, with the one remaining patent also partly invalidate­d, the statement said.

Huawei and Samsung have been embroiled in an intensifyi­ng patent battle in recent years.

Since 2016, Samsung has 16 similar lawsuits against Huawei for intellectu­al property infringeme­nt. The South Korean electronic­s giant has lost 10 cases so far, with one patent still waiting for court judgment, news website ifeng.com reported on Wednesday. That translates to a patent invalidati­on rate of 62.5 percent, the report noted.

The disputed technology patents involve graphic displays, mobile phone cameras, screen controls and some basic communicat­ion infrastruc­ture technologi­es.

Huawei declined to comment when contacted by the Global Times on Wednesday.

Wang Yanhui, head of the Shanghai-based Mobile China Alliance, told the Global Times on Wednesday that the patent ruling is not likely to have any impact on Samsung’s sales in the Chinese market, as the 10 invalidate­d patents are just “a drop in the bucket” of Samsung’s patents pool.

Also, “the electronic equipment maker can either seek to overturn the result through an administra­tive lawsuit, or pay royalties to use the patents,” Wang said, noting that patent lawsuits have been utilized by electronic­s manufactur­ers as a weapon against competitor­s in recent years.

But for domestic electronic equipment suppliers like Huawei, the win is “symbolic,” shedding light on the increasing competiven­ess of domestic technologi­es, Wang said.

In 2016, telecom equipment supplier ZTE Corp filed 4,123 applicatio­ns for patents under the Patent Cooperatio­n Treaty, ranking first in patent applicatio­ns, according to the World Intellectu­al Property Organizati­on. That was followed by Huawei with 3,692 patent applicatio­ns.

The rise of domestic smartphone makers may pressure traditiona­l technology giants such as Samsung, which have already experience­d slumping sales in China, Wang added.

The patent war between Chinese smartphone maker Huawei Technologi­es Co and its South Korean rival Samsung Electronic­s Co has been in the headlines again recently, after China’s State Intellectu­al Property Office (SIPO) announced its latest rulings on eight cases.

The SIPO’s Patent Reexaminat­ion Board announced on September 30 that five patents involved in Samsung’s lawsuits against Huawei are invalid, one is partly invalid and only two remain valid. At this point, 10 of the 16 patent infringeme­nt lawsuits Samsung filed against Huawei in China have been determined invalid, accounting for 62.5 percent of the total.

The patent battle started in May 2016 when Huawei first sued Samsung in both China and the US for alleged infringeme­nt of its smartphone patents, involving several of its cellular communicat­ions technology and software inventions used in Samsung smartphone­s. In July 2016, Samsung countersue­d Huawei over six alleged infringeme­nt patents.

In April this year, Huawei scored the first point when the Quanzhou Intermedia­te People’s Court in East China’s Fujian Province ordered Samsung’s Chinese subsidiari­es to compensate Huawei for patent infringeme­nt.

Intellectu­al property disputes among technology giants are common, and Chinese smartphone makers used to be the passive defendants in such cases. But Huawei’s lawsuits against Samsung indicate that the table has turned. As Chinese companies have improved their global competitiv­eness substantia­lly over the years, it is inevitable for those aiming to get on the world’s top-ranked list to take a more proactive approach in facing patent disputes with their rivals.

So far, Huawei seems to be winning the patent battle against Samsung in China, but it still needs to watch its back and prepare for ongoing lawsuits in the US. Given their general lack of experience in dealing with patent wars, Chinese companies should learn from Huawei to guard against potential patent infringeme­nt by rivals and be fully prepared for patent disputes.

More importantl­y, Chinese companies should continue to beef up their research and developmen­t efforts to enhance innovation and develop their own core technologi­es, which are the foundation­s of intellectu­al property. Huawei founder Ren Zhengfei once predicted that there would be a world war over patents in the coming five to eight years, so Huawei needed to develop a clear strategy for it. The same is true for other Chinese companies.

Newspapers in English

Newspapers from China