Thursday, July 15, 2010

Netac, shake hands suspense Huaqi

In the case of a duel 4 eventually to "vague" way of ending the reconciliation. July 8, Netac and Huaqi This "enemy" choose "equal reconciliation" approach curtain call, in Qingdao, China International Consumer Electronics Show announced on joint "reconciliation." Both sides indicated that they had reached a consensus on core issues, the future will be "unanimously." The two sides did not disclose the terms of settlement and agreement of the content. Although the shake hands, but the left is a series of questions.

Undoubtedly, such a result not only unexpected, it is expected. "Accident" is the legal stalemate for 4 years and was known as the IT industry, intellectual property rights outside the first case, but it was finally this "hasty end" approach end; "expected" is that patent litigation will be both reconciliation and an end, after all, who do not want to fight a protracted war, but Netac and Huaqi confrontation lasted too long, the two sides have dragged exhausted. So, Netac and Huaqi what is the way how the settlement? This may be a temporary frozen secret.

Netac and Huaqi the case dates back to 2002, the year Netac to the courts that such companies Huaqi flash drive products infringe its "flash for data processing systems and electronic devices outside the storage method "patent. In 2004, the Court of First Instance ruling in favor of Netac company, the defendant was sentenced to compensate Netac Huaqi companies and to stop selling the company one million yuan flash drive products. Then to the State Intellectual Property Office Huaqi review board of the "patent is invalid" application, the tug of war between the two sides entered a long waiting period.

Alleged that the company's settlement Netac Huaqi and will not involve any compensation costs and patent costs. Future Huaqi and other enterprises do not need to flash drive patent royalties paid to Netac, Netac Huaqi recognition based flash drive and flash MP3 patents, "only by inter-firm team to carry out international", the next two company with this situation, the joint more mobile storage companies, and jointly promote the mobile storage industry's sustained and healthy development. Obviously, this in itself becomes a contradiction, Huaqi Netac's patent recognition, but do not need to pay licensing fees, which seems to become more strange to the outside world, and Is Netac also simply to gain a " reputation? " Clearly, the results will not be as simple as announced.

Throughout, this last 4 years into the lawsuit involves too many third party. Review committee from the State Intellectual Property Office, Intermediate People's Court of Guangdong Province, Guangdong Province and other people's court to the Ministry of Information Industry of China Electronic Chamber of Commerce to discuss a peaceful settlement seems to be a third-party participant in any task. After numerous times in the middle of mediation, Netac and Huaqi litigation between the doomed fate of a negotiated settlement. But what is certain is that both sides may not be as simple as that shake hands. Speculated that the normal rules, Netac and Huaqi may reach a private peace treaty, but not easily disclosed.

Huaqi can finally relax. Huaqi CEO Feng Jun said that the flash drive after 4 years of patent disputes, and finally reached a settlement, is the China Electronic Chamber of Commerce, as well as Netac, aigo portable storage vendors to work together with all the results. Although the period experienced some ups and downs, but by friction with the adjustments, and these problems no longer exist.

The Netac president Deng Guoshun said, Netac "patent strategy has entered the third phase - the operational phase of the patent, the next step the use of international patent strategy." Words can be seen as a signal, in the "Chinese do not fight Chinese "mind, the Netac and Huaqi reconciliation is a war of attrition as far as possible, to target international companies. In the construction of "innovative country" macro-policy environment, the only way of reconciliation seems to be one.

Next, the story of how Netac interpretation of patent rights protection, the outside world need to wait and see. It is understood that the present lawsuit against the Japanese companies such as Sony and PNY U.S. patent infringement lawsuit in progress.

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