HTC developing 'alternative plans' following patent case loss to Nokia
CNATAIPEI -- Taiwan's HTC Corp. said Tuesday that after losing the first round of a patent dispute with Finnish handset vendor Nokia Oyj, it is working on alternative plans to minimize the case's potential effect on its business.
September 25, 2013, 12:08 am TWN
In a notice published Monday, Judge Thomas Pender of the United States International Trade Commission (ITC) said HTC had infringed two of the three wireless patents-in-suit claimed by Nokia.
Nokia, which filed the complaint in May 2012, had asked the U.S. trade agency to impose a sales ban on certain HTC Android-based phones and tablets. A final ruling is scheduled for Jan. 23 next year after the judge's findings are reviewed by the six-member panel.
“We are pleased to have a partial victory from the Administrative Law Judge's initial determination today, and we look forward to a final determination by the Commission in favor of HTC on this matter,” HTC said in a statement.
“In the meantime, HTC will keep its alternative plans ready to ensure no business disruption,” the Taoyuan-based manufacturer said.
Nokia spokesman Mark Durrant said the Finnish company was pleased with the two infringement findings and will reserve further comment until it studies the judgment in detail, Bloomberg News reported.
Other Windows Phone 8-based Devices Likely to Be Affected
According to Nokia's complaint filed with the ITC, the HTC products that allegedly violated the patents include the Amaze 4G, Inspire 4G, Radar 4G, Rezound, Sensation 4G, One S, Rhyme and Vivid smartphones, as well as the Flyer and Jetstream tablet computers.
The two infringed patents, however, are not seen as being essential to meeting specific technical standards, which means they should be easier for HTC to get around.
One — U.S. Patent No. 6,393,260 — describes a “method for attenuating spurious signals and receiver,” and the other — U.S. Patent No. 7,415,247 — describes a “method and arrangement for transmitting and receiving RF signals through various radio interfaces of communication systems.”
The initial determination came weeks after Nokia announced on Sept. 3 that it had agreed to sell its devices and services business and license its patents to Microsoft for 5.44 billion euros (US$7.2 billion). The deal is expected to be completed in the first quarter of 2014.
Analysts said the deal is likely to alienate other phone makers that currently sell Windows Phone 8-based devices, such as HTC and Samsung Electronics Co.
HTC shares gained 0.72 percent to NT$140 yesterday in Taipei. The stock has lost more than 50 percent of its value this year because of declining sales.