Apple vs samsung - the patent war

The topic deals with business as well legal isuess. Apple and Samsung are famous

technological firms indulged in developing modern gadgets for modern society. The 2war.

companies are very successful in their business in all over the world, are now indulged in a patent.
Apple has filled innumerable suits against Samsung in 30 countries (except

south korea, because it is the home country of Samsung) for infringing its patent rights by copying
the designs of its Iphone and Tablets and developed in the names of Samsung galaxy phones and
tablets. Samsung has also accused apple of copying its 3g and video configuration technology. Apple
won the suits in Germany and Netherlands, while the results in other countries are yet to be declared.
But it is losing its grip in the case, because now Samsung has become more powerful from the time,
when the suit filed by apple in US federal court was rejected supporting the claims of Samsung. As
Samsung argued that Tablets designs can match as it is not possible to invent a new designs. In
response to this argument apple suggested Samsung some weird designs and Samsung                
applied those suggestions and developed a new galaxy series of the same features as suggested by
Apple. Before briefly introducing about the topic, I would like to define Patent. Patent is a form of 

intellectual property granted as a recognition to the developer to encourage more creative
development. Patent gives a developer a soul right to develop a product. No one else can develop the
same product, and if others want to do so they need to take permission of the original developer,
give him his commission and sell the product on the name of the actual developer. Patents are
granted generally for 20 years from the date of filling of application.

Intruduction:-

Apple:-

Apple established in the year 1976, by Steve jobs and Steve wozniack. It is based in Cupertino, California, US. It is a NASDAQ registered company which develops, computer software, compute devices, innovative technology, modern gadgets etc. It has build up its repuatation by developing Ipad(tablet computer, which was similar in look to kindle which is amazon’s reading tablet but had additional features of a computer or laptop in the same price tag). Ipad proved as a blessing in disguise. Ipad became successful and apple achieved success by further developing Iphone, and I pod. It facilitated new technology in a low price. Then it launched a mac series of Apple. On January 10, 2006, the new Mac Book Pro and iMac became the first Apple computers to use Intel's Core Duo CPU. By August 7, 2006 Apple had transitioned the entire Mac product line to Intel chips, over one year sooner than announced.The Power Mac, iBook, and PowerBook brands were retired during the transition; the Mac Pro, MacBook, and MacBook Pro became their respective successors. On April 29, 2009, The Wall Street Journal reported that Apple was building its own team of engineers to design microchips. Apple also introduced Boot Camp to help users install Windows XP or Windows Vista on their Intel Macs alongside Mac OS X. Apple's success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple's stock increased more than tenfold, from around $6 per share (split-adjusted) to over $80. In January 2006, Apple's market cap surpassed that of Dell. Nine years prior, Dell's CEO Michael Dell said that if he ran Apple he would "shut it down and give the money back to the shareholders. Although Apple's market share in computers had grown, it remained far behind competitors using Microsoft Windows, with only about 8% of desktops and laptops in the U.S. Samsung:- Samsung is based in seoul, south korea and is multinational conglomerate company. Founded by lee byung chull in the year 1938. It comprises numerous international affiliated businesses, most of them united under the Samsung brand. Samsung Group produces around a fifth of South Korea's total exports^] and its revenues are larger than many countries' GDP; in 2006, it would have been the world's 35th-largest economy. In many South Korean industries Samsung Group enjoys a monopoly position. The company has a powerful influence on South Korea's economic development, politics, media and culture. Many businesses today use Samsung's international success as a role model. Brief introduction about Apple vs Samsung patent war:-

2011 hadn’t been good for Apple and Samsung, who were involved in a series of legal battles against each other. Violation of patent rights isn’t anything new thing, but this one gained worldwide attention after the news blasted the cyberspace by The Economist.

The court battle

The patent war between Apple and Samsung is in courts of 10 countries including Italy, France, Australia, UK, South Korea, Germany, Japan, Netherlands and United States of America (District of California). Started in April 2011, when Apple filed for patent contravention, alleging Samsung for copying Apple iPad and iPhone designs. Courts of all 10 counties started hearing on the subject with some of them ordering to boot-up preliminary investigation against some Samsung products, primarily Galaxy Tab 10.1. This means – Samsung Galaxy series must be packed back to the shelves till its cleared by the courts.

Main events

1. Despite repeated knocking on the doors, US court denied Apple’s appeal to ban four products of Samsung that includes Galaxy S 4G, Infuse 4G, Droid Charge, and Galaxy Tab 10.1. Apple claims that these products violates its patent and hence shouldn’t be in the US market.
2. On 9 Aug 11′, Apple successfully prevented the entrance of Samsung Galaxy Tab 10.1 in European countries including Germany, the biggest market within Europe. Hence, Samsung lost a big battle against the arch rival, consequently mobile sales were banned after the court issued injunction on the sales of Samsung products.
3. More bad news for Samsung, the lower Australian court forbidden the sales of Samsung smartphones such as Galaxy S and Galaxy S II. Here again, the cause of pain was Apple.
4. In Netherlands, the Galaxy phones were banned due to the photo flicking infringement, a separate case.
5. In Japan and Australia, Samsung hit back at Apple by suing it for iPhone 4S and iPad2 which supposedly violates some patents. In Australia, the case would be taken in hand in the coming March 2012.

Recent turn of events

In Australia, Samsung Electronics justified its designs and won a historical war in Patent lawsuit against Apple. On 1st Dec ’11, the juries of Australian federal court turned down Apple’s claim due to lack of proper justification and logical debate. The court also overturned its first ruling barring Samsung from marketing its products in Australia. Now, the Samsung can continue selling its Tab in the country. Sources from the Samsung said that the time has now come when they will show the world that they were right and confident in winning the case. The company will start selling its products from mid-December and promised to offer more innovative products on Christmas.

On other hand, sources from Apple have obviously cleared the environment by stating that they are not satisfied with the ruling, and within a few weeks they will appeal to the highest court of Australia to further lengthen the injunction. Late reports suggest there is an extension of ban on Samsung till 9Dec ’11, we’ll update article as soon as we receive new inputs.

No out-of-court settlements, but why; repercussions awaiting?

It isn’t a matter of few hundred dollars, this is patent violation that’s equivalent to marrying someone else’s wife. The final outcome eventually decides how the smartphone market shape-up in future. Samsung is No. 1 while Apple is placed second; there is no margin for leniency.

The allegations, might be true but one can’t deny the fact that both smartphone companies aren’t in mood to play professionally and are fighting for small things that can be avoided or settled out of court. There is a business of more than 5 billion between these two companies which is bound to get stained after this. It would also broaden the gorge between western electronic market and the booming Asian market. 

Is patent, the only problem?

Well, its upto the court to decide, but lets try to find out what Apple would succeed if sales of Samsung Galaxy Tab gets banned.

1. Samsung, for sure is killing iPad sales and Apple doesn’t want to prevent such thing to happen.
2. Apple product comes with iOS, operating system by Apple. One the other hand, Samsung is powered by Android, an operating system by Google and something that’s selling like cheese-burgers. Combination of Samsung and Google is volcanic, undoubtedly.

Copied Design, really?

Some days ago, I had my hands on Samsung Galaxy Tab and when I compared it with an iPad, I found a few interesting things.Apple says Samsung copied the design of iPad, lets find if this is the case,

One thing is for sure, an ultra-thin gadget with rectangular/square shape is the best possible size.

If a company starts getting patents on shapes, sizes and designs then you might see a circular tablet one day. Allegations for patent violation is a fine way of suppressing better technology from hitting the market.

  Legal issues involved:-

1. Apple alleges Samsung violating or infringing the patent of Apple.
2. Samsung has made allegations against apple for using 3g configuration and software developed by Samsung.
3. The matter is waiting for judgement in 30 countries across 4 continents.
4. Samsung appears to be pressuring the courts
5. Samsung Electronics is seeking a complete ban on the sales of the upcoming Apple iPhone 5 in Korea, in apparent retaliation to its U.S. rival’s continual patent suits against it in global markets.
6. Both of the companies required to disclose their confidential information before court hearing the judgement. This can cause gain to other companies which came to know about their trade secrets.
7. After getting the Galaxy Tab 10.1 sales ban in Australia lifted last week, Samsung has been celebrating its victory in the local newspapers. First, it told the Sydney Morning Herald that the lawsuit actually helped the Galaxy Tab become a "household name," and now it's advertising it as "the tablet Apple tried to stop" in the Sun Herald. We suppose it's difficult to argue that point, and after all, they do say that no publicity is bad publicity. You'd think that getting sued by a corporate monolith the size of Apple would be firmly in the "bad" column when rounding up your year, but Samsung seems to be making the most of it. 

Conclusion:- (1) Apple took Samsung to task over perceived intellectual property infringement, particularly with regards to the Galaxy range of smartphone/tablets, plus TouchWiz, and did so in the public arena.

(2) Samsung assumed (from that Korean news article) that Apple were posturing and weren't going to follow through, and therefore were wrong-footed when Apple launched the injunction actions.

(3) I don't think Apple expected to the injunction to last as briefly as it did, because of that haphazardly put together comparison of iPad/GT10.1, and most likely assumed that the proceedings would drag on for longer than they would, with a settlement being reached behind closed doors.

(4) Now, it seems their tactic has backfired, and the Android manufacturers are trying to turn up the heat on Apple. I don't know that they'd realistically expect to actually stop Apple from selling iPhones/iPads, but by pushing back just as hard, they're more likely to force a settlement on equal terms.

So that's most likely the reason for the threat of multiple counter-patent actions. They're probably aiming for a cross-licensing agreement, so everyone can go back to selling their devices.

Now before someone tells me that I don't know what Apple or the Android manufacturers are thinking, I'll say it now: I'm speculating based on what's happened so far.

So now that we have moved passed this, frankly I can agree that both companies do in fact "steal" from others. However, I fail to see any "stealing more than the other". But this stealing is more than just a blatant copy. No, these companies actually build on it, and improve it.

Source:-

1. http://law.justia.com/cases/federal/district-courts/california/candce/5:2011cv01846/239768/131/
2. http://www.theglobeandmail.com/news/technology/business-technology/secret-patent-war-apple-vs-samsung-case-kept-under-seal/article2258460/
3. http://www.ibtimes.com/articles/269312/20111219/samsung-apple-patent-war-germany-infringements-3g.htm
4. http://thelegaltrain.blogspot.com/2011/12/copyrightthelegaltrain-selfish.html

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