Samsung Buys Epson Display Patents, Plans License-or-Sue LCD Patent Campaign
May 27, 2013 11:00 AM
comment(s) - last by
Company defends its actions, pointing to Microsoft and Apple's strategy: buy other companies' IP; sue with it
Today Samsung Electronics Comp., Ltd.'s (
are threatened with bans
thanks to Apple, Inc.'s (
) ambiguous patents from a decade ago. And Samsung pays
an estimated $15 USD per handset
to Microsoft Corp. (
) for its war chest of patents. In other words, the world's best-selling smartphone maker has received a cold hard crash course on the twisted state of the U.S. intellectual property system.
Now it's looking to apply those hard-earned lessons and do some patent harassment of its own.
sister-firm Samsung Display
announced this week that in March it spent $25M USD to buy up patents on LCD, LED, and OLED display technologies from
Japan's struggling Seiko Epson
) and launch a shell company, Intellectual Keystone Technology (IKT).
Based out of Washington, D.C., the new firm isn't exactly bashful about its objectiveness, which are the same as those of most shell companies: find corporate targets, demand they license, and sue if they don't comply.
Samsung Display is looking to play the patent litigation game. [Image Source: Flickr]
An unnamed Samsung spokesperson
The Korea Times
, "Companies should be paying licensing fees for patents. We are paying to platform providers such as Microsoft in return for using their patents. IKT will be tasked to find out which patents are helpful and valued for Samsung."
Samsung Display was the world's largest LCD TV shipper in Q1 2013
The patents from Epson include a number of patents on
organic light-emitting diodes (OLEDs)
, a new form of display technology that's expected to dominate the television and mobile device display industry over the next few years. The patents also cover ultra-high definition display technologies, such as the
"4K" display format
that debuted commercially this year.
In other words, the Samsung Group -- having played the victim in the U.S. -- appears to be embracing the patent industry's dark side, with lots of juicy targets to sue.
The Korea Times
This article is over a month old, voting and posting comments is disabled
Good for legal departments.
5/27/2013 12:16:06 PM
Yay! Let's spend more money on our legal depts by suing one another, than what we spend on R&D! Heaven forbid developing products, and IP, to generate a profit.
RE: Good for legal departments.
5/27/2013 3:46:15 PM
Ultimately, it's the legal system which is to blame. If suing for patent infringement is more lucrative than spending money on R&D, then that's where companies will spend money.
That's what everyone's been saying about patents (and copyrights) in a roundabout fashion. But the judges, lawyers, and lawmakers have a stick up their collective *sses thinking that adherence to the letter of the law is more important than making sure those laws are written and interpreted in a manner which a net positive for the economy.
The fundamental premise behind IP is that the benefit to the IP holder is greater than the harm to everyone else. That way if (theoretically) everyone were an IP holder, it would be a net gain for society. But the instant the harm to others becomes greater than the benefit to the IP holder, the rationale for IP ceases to exist. If suing over IP is more lucrative than investing in R&D, that's a pretty good sign we've crossed that threshold.
RE: Good for legal departments.
5/31/2013 5:03:04 PM
The USPTO needs to share blame in this. For some reason, it started granting what is basically software patents. Software patents should never have been allowed, but its now snowballing where even the legal system can't deal with it nor can it do it consistently as every judge has a different opinion on it.
The USPTO left it up to the courts to determine the validity of the patents it granted.
"It seems as though my state-funded math degree has failed me. Let the lashings commence." -- DailyTech Editor-in-Chief Kristopher Kubicki
Apples Tries to Use Decade-Old Patents to Ban Samsung Galaxy S IV
May 22, 2013, 3:00 PM
Apple Eyes 4K Desktop Displays With Next Generation Thunderbolt
April 9, 2013, 4:48 PM
Samsung Display to Apple: I Want a Divorce
October 22, 2012, 1:53 PM
Samsung to Invest ~$42B USD in 2012 -- Mostly on Chipmaking, OLED TVs
January 17, 2012, 8:34 PM
Samsung to Pay Microsoft Royalties for All Android Phones It Sells
September 28, 2011, 3:35 PM
Retiree Sues Apple For $7,500 for Wiping Honeymoon Photos From His iPhone
November 30, 2015, 10:23 AM
iPhone 7 May Pack 3-4 GB Memory, More Storage; 4-Inch Comeback is Rumored
November 20, 2015, 10:12 PM
OnePlus One, OnePlus 2 Will Receive Android Marshmallow in Q1 2016
November 16, 2015, 9:58 AM
Lenovo Whoa: Motorola Droid MAXX 2 and Turbo 2 Break Cover in Leaks
October 26, 2015, 3:12 PM
Leak: Apple Preps for First Real Android App Foray With New Apple Music App
October 24, 2015, 1:59 PM
Pepsi Smartphone? Empty Calories Coming Soon to the Midrange
October 12, 2015, 11:41 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2016 DailyTech LLC. -
Terms, Conditions & Privacy Information