Asus has filed a lawsuit against Samsung for allegedly infringing upon many of its wireless communication patents, namely those related to the Galaxy 4G, 5G, and Galaxy Z Flip 5. A year and a half ago, it was reported that Asus approached Samsung to request licensing fees to utilize what it claims is its patented technology, but it didn’t turn out well as the two firms were unable to come to an agreement. It’s the huge patent portfolio that made Asus compete with Samsung even after facing complexity in the smartphone industry. The company’s patents are owned by Asus Technology Leasing and Innovative Sonic Limited, which was recently established.
For several years, Asus has been a stable investor in mobile technology, accumulating a sizable patent portfolio despite its troubles in the smartphone industry, which has led the firm to focus on the narrow market sector of gaming devices. As per RPX Insight, all these companies designated Celerity IP LLC, a division of litigation finance company GLS Capital, as their sole licensee for the management of two portfolios. Afterward, the business sued Samsung in the Eastern District of Texas for the violation of a single wireless communications patent (U.S. Patent No. 10,187,878).
The issued patent covers 4G and 5G devices and is characterized as a “method and apparatus for improving a transmission using a configured resource in a wireless communication system.” Since its 2003 debut, Asustek has failed to establish itself as a major force in the smartphone market. Also claimed by DigiTimes, the business expects sales of its ROG Phone and Zenfone series to be in the neighborhood of 600,000 devices in the current year. Speaking of Samsung, it single-handedly delivered around 260 million smartphones in the previous year.
Asus’s intellectual property is still a powerful weapon in its arsenal, allowing it to compete head-on with industry heavyweights even if Samsung may have a far larger market presence. Even if the court orders Samsung to pay Asus for its intellectual property, it won’t likely result in the smartphone maker’s business being lucrative because litigation involving standard essential patents can last years. Instead, a cross-license arrangement may be negotiated between Samsung and Asustek. However, it should be noted that the procedure might take years to work its way through the courts, as is the case with any litigation.
Thanks to “Digitimes“
