The big news doing the rounds is that Apple is in the courts again, this time on the wrong end of the stick. HTC is currently suing Apple in court claiming copyright infringement over patents related to LTE Technology. The Taiwan based manufacturer was the first to introduce LTE technology to the United States and HTC considers patents related to LTE “critical” to the proper functioning of its trademark 4G technology. HTC America’s vice president, Martin Fichter, pointed out the company’s prominent 4G strategy, saying “LTE products were particularly important to our strategy in 2011. We’re a pioneer in that field.”
With the global smartphone market expanding exponentially, customers are demanding even faster downloads of music, movies and other media, considerably increasing expectations every single time, so carriers such as AT&T are shifting to faster LTE technology.
HTC last obtained the IP from ADC Telecommunications for $75 million way back in April 2011. Apple, however, wants the court to rule that the patents are invalid because of the intent with which HTC bought them, and that, according to Apple, is just to use them aggressively in court. But Judge Thomas Fender was quick to shoot down these allegations :
“I don’t care if they bought these patents to sue you or not. They are a property right. Clear and convincing means something to me. I have to be pretty darn certain a U.S. patent is invalid.”
Apple, however, can still look for a low rent exit. Because the patents could possibly qualify for FRAND pricing, Apple could look to license them at a fair price.
The California based manufacturer will have to be careful though, as plenty could be at stake here. If HTC does win the case, they would have the right to ban the import of the Apple iPhone if it comes with LTE connectivity, besides the import of the LTE enabled model of the Apple iPad. So Apple probably might not get as aggressive in court as it did with Samsung.
There was also a light moment in court when Judge Fender was talking to Apple lawyer Michael McKeon, when he enquired about the release of the iPhone 5 the following week. McKeon replied that he wasn’t privy to that information. Judge Pender then asked, “It will be thinner and the screen bigger?” and McKeon responded, “That’s what the blogs are saying.”
