Advisors: Apple Should Drop Patent War, Seek Alliances with Android-Based Phone Makers
December 29, 2011 10:26 AM
comment(s) - last by
Advisory firms say Apple should look into other avenues and settlements in the near future to avoid possibly having to depend on other companies' technology at some point
After a long year of
fighting mobile patent wars
with the likes of Samsung, HTC and Motorola, some are suggesting that Apple seek a different approach and start finding some common ground with the Android-based phone makers for the sake of its shareholders and ultimately its future.
Apple spent much of 2011 suing Android users for infringement, claiming that smartphone and tablet makers like Samsung were copying Apple's design and proprietary software. Apple was successful in a few instances, such as the ban on Samsung's Galaxy 10.1 tablet in both Australia and Germany, but later on, a higher Australian court
overturned the previous ruling
and a German judge made it clear that he wouldn't likely maintain the import ban on the tablet.
Apple's use of patent wars to thwart competitors is working for now, since it's costing rivals millions of dollars and poses as a distraction. Some say Apple shouldn't have to seek any sort of alliance with Android-based phone makers, such as licensing agreements, because it's the "leader."
"Apple has the patents, the money and the expertise to go to war," said Christopher Marlett, chairman and co-founder of investment bank MDB Capital Group. "I just don't see why Apple would seek détente, since they're the clear leader. Until they're hit with an injunction by Google or Samsung, they don't need to get serious about licensing."
However, Kevin Rivette, a managing partner at intellectual property advisory firm 3LP Advisors LLC, said that this approach probably isn't the best way to go. According to Rivette, Apple should look into other avenues and settlements in the near future to avoid possibly having to depend on other companies' technology at some point.
"A scorched-Earth strategy is bad news because it doesn't optimize the value of their patents -- because people will get around them," said Rivette. "It's like a dam. Using their patents to keep rivals out of the market is like putting rocks in a stream. The stream is going to find a way around. Wouldn't it be better to direct where the water goes?
"If I'm Apple, I want divided royalties [from Android licensees]."
Some suggestions for Apple include going after out-of-court settlements while dropping patent claims if Android-based phone makers agree
not to use Apple technology
for six months or even a year. Later, Apple could cut the Android users a deal such as offering Samsung more access to certain Apple technologies.
Also, Apple could attack new competitors in the market, such as Amazon with its Kindle Fire tablet, by allowing competitors like Samsung to use its proprietary iTunes service. This could boost Samsung's sales, make the company more dependent on Apple instead of Google, and thwart Amazon all at the same time.
it's unlikely that Apple will make such a move
anytime soon (if at all), some shareholders and analysts believe that stepping out of the tightly-bound proprietary model would help Apple gain access to rivals' technology while sharing its own under certain conditions. This new method could ensure a longer lifespan for the company's popular devices and software. With $81 billion in cash and investments already, it couldn't hurt the tech giant to branch out a bit.
The Washington Post
This article is over a month old, voting and posting comments is disabled
RE: Subtlely changing history
12/29/2011 3:44:23 PM
Sorry, but menu animation is not 'a technology' and
the fact that a patent was even granted for this non-invention
is the real problem here .
I'm wondering how much of a products price goes to paying
'patent'-lawyers these days ..
"When an individual makes a copy of a song for himself, I suppose we can say he stole a song." -- Sony BMG attorney Jennifer Pariser
Samsung Now Making Apple's Smartphone/Tablet Chips in Texas
December 16, 2011, 1:01 PM
Australian Court Silences Apple's Cries, Allows Samsung Tablet to Launch
December 9, 2011, 1:18 PM
Apple Granted Injunction to Prevent Samsung Galaxy Tab 10.1 Sales in Australia
October 13, 2011, 4:15 AM
Samsung's Australian Peace Offer is Rejected by Apple
October 4, 2011, 10:42 AM
Samsung Continues to Pick on Apple's iPad in Two New Commercials
July 13, 2014, 5:35 PM
Apple Barks Back Against Claims That iOS is a National Security Threat to China
July 13, 2014, 5:04 PM
Amazon Seeks FAA Permission to Test 50 MPH Flying Drones
July 11, 2014, 12:32 PM
Samsung Fails to Launch its Tizen-based Smartphone in Moscow, Unsure of New Launch Date
July 11, 2014, 9:00 AM
China's Top State-run Broadcaster Considers iOS Tracking Feature is a National Security Threat
July 11, 2014, 8:25 AM
Verizon Wireless Offers Up $100* LG G3, Will Be Available July 17
July 10, 2014, 4:21 PM
Most Popular Articles
Apple's iPhone, iPad Update iOS 7.1.2 is Badly Broken for Some
July 8, 2014, 2:00 PM
Buzz Aldrin Says First Astronauts to Set Foot on Mars Should Never Return Home
July 9, 2014, 9:46 AM
Despite Legal Threats Google Begins Posting Warnings of ISP Throttling
July 7, 2014, 5:52 PM
Update: Cadillac ELR Plug-in Hybrid "Sales Fail" Continues, Dealers Offering Up to $19k Off
July 11, 2014, 3:34 PM
Your Uncharged Smartphone, Tablet May Prevent You from Boarding U.S.-bound Flights
July 6, 2014, 11:11 PM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information