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Samsung to Seek Sales Ban on iPhone 5

 
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hurricanemaxi
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PostPosted: Mon Sep 19, 2011 2:53 pm    Post subject: Samsung to Seek Sales Ban on iPhone 5 Reply with quote

An unnamed Samsung Electronics Comp., Ltd.'s (SEO 005930) senior executive was quoted in The Korea Times as stating that "his" company planned to go on the offensive in its legal battle against Apple, Inc. (AAPL), suing in multiple regions to try to ban sales of Apple's upcoming iPhone 5.

I. Samsung Goes on the Offensive

The report quotes the male senior executive as saying, "Just after the arrival of the iPhone 5 here, Samsung plans to take Apple to court here [in S. Korea] for its violation of Samsung’s wireless technology related patents. For as long as Apple does not drop mobile telecommunications functions, it would be impossible for it to sell its i-branded products without using our patents. We will stick to a strong stance against Apple during the lingering legal fights."

It was Apple who launched the patent war, by suing to ban Samsung sales in the U.S., one of the world's most lucrative phone markets. But it was Samsung who escalated the patent dispute, suing Apple in Germany, Japan, and South Korea.

The report in The Korea Times largely ignores this distinction, inferring that Samsung is changing gears from a defensive to an offensive role. It quotes the executive as saying; "We are taking different tactics since we are quite confident."

More correctly, Samsung indeed may be altering its strategy, but it's likely instead trying to push for faster rulings. For example its case in Germany was filed before Apple's, but still is yet to be resolved, while the Apple one wrapped up last week. With the iPhone 5, Samsung likely wants to sue Apple before it can be hit with new lawsuits regarding the Galaxy S II.

II. From Friends to Enemies

The Android phone maker enjoys a complicated relationship with Apple, Inc. (AAPL), much like Android OS-creator Google Inc.'s (GOOG) relationship with Apple. In addition to its discrete devices units, Samsung is also one of the largest component producers, making memory, CPUs, and screens for small portable devices.

Apple has long been one of its largest clients. Samsung is Apple's primary supplier of NAND flash memory, the storage chips found inside the iPad and iPhone products. Samsung also has manufactured Apple's CPUs. Early iPhone contained CPUs designed directly by Samsung. In recent models, Samsung's role as chip designer has blurred as Apple has begun branding its chips and contributing substantially to the final design -- though Samsung is still thought to be playing a key role in design.
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