Apple and Google Bury the Hatchet

Apple and Google settled all smartphone patent litigation between last week, dismissing their cases before the U.S. Court of Appeals for the Federal Circuit. Interestingly, the settlement does not include a typical cross license of respective patents. Steve Jobs once called Android a "stolen product." Apple was unable to slow Android's growth to the majority of new mobile phones sold. In 2010, Motorola preemptively accused Apple of infringing several patents, including one essential to how cellphones operate on a 3G network, while Apple said Motorola violated its patents to certain smartphone features in 2011. U.S. District Judge Richard Posner dismissed that case in 2012 shortly before trial, saying neither company had sufficient evidence to prove its case. Last month, the appeals court gave Apple another chance to win a sales ban against Motorola. Google acquired Motorola Mobility in 2012 and recently agreed to sell its handset business to Lenovo, while keeping the vast majority of the patents. Google may have been encouraged to settle with Apple after regulators in the U.S. and Europe criticized the company for the legal strategy it employed with Motorola's patents. Motorola had pursued injunctions against Apple products based on patents that regulators said it was required to license to Apple. Apple's incentive to keep fighting the Motorola suit may have been diminished by the pending sale to Lenovo. See stories here-- http://on.wsj.com/1pbg90S and http://reut.rs/1p0pjgL and cases 2012-1528 & 2012-1549 at http://www.cafc.uscourts.gov

Apple and HTC bury handset hatchet, will others?

Apple and HTC this week announced a broad ten-year licensing agreement that settles all lawsuits between the smartphone makers. Last spring, a Delaware court ordered Apple and HTC to meet before Labor Day in the hopes that they could shake hands and put an end to an escalating legal battle through mediation. Apple's CEO, Tim Cook, while reportedly not a fan of lawsuits, did take the Samsung patent case to trial this year. HTC of Taiwan was eager to eliminate handset shipping delays stemming from Apple's court wins. The global settlement to their patent battle includes current and future patents held by both companies. HTC agreed to pay Apple $6 to $8 in licensing fees for each Android phone it sells, estimated at as much as $280 million to be paid to Apple annually from HTC's expected shipments. Apple first sued HTC for infringing on patents related to the iPhone in 2010, as part of the war against Google Android phones and its manufacturing partners declared by Apple’s founder Steve Jobs. Apple and HTC have since fought in courts around the world, with Apple winning multiple decisions. Industry experts comment that the terms of this agreement could be used as a blueprint for future settlements with other Android manufacturers, including Samsung and Motorola. See more at http://on.mash.to/Tuu42k and http://engt.co/JjLjlm

Apple and Samsung CEOs to mediate Patents

CEOs of Apple and Samsung are set to mediate at a San Francisco federal courthouse tomorrow in the U.S. Northern District of California case of Apple, Inc. v. Samsung Electronics Co., Ltd. The U.S. Court of Appeals for the Federal Circuit found last Monday that the district court erred in deciding that Apple failed to show that it was likely to succeed on the merits, which means Apple may yet press for an injunction to block the sale of Samsung tablets. While the trial court considers the claims, Apple's Tim Cook and Samsung's Choi Gee-sung have been directed by a federal judge to appear for a court-supervised mediation. Apple and Samsung are bitter rivals in the electronics marketplace. While Samsung's smartphones and tablets run Android and compete with Apple's iOS products, Samsung is also a key component supplier to Apple. Apple has accused Samsung of infringing on the iPhone and iPad through products that run on Google's operating system, and Samsung has counter-sued on claims that Apple infringed its patents. The case is set for trial this summer. Magistrate Judge Joseph Spero will preside over the high-stakes IP mediation. I blogged about this case last fall, when Steve Jobs died. I still believe that a face to face meeting of the ultimate decision makers can benefit these companies and allow them to move on together in the mobile marketplace. See articles - http://trib.in/K7ETUJ and http://reut.rs/JBQJ8N

"Imported from Detroit" Mediation

In a countersuit of sorts stemming from clothing company Pure Detroit's use of "Imported from Detroit," the T-shirt maker in Michigan sued Chrysler, claiming that Chrysler's campaign amounts to false advertising since the featured vehicles are built elsewhere. U.S. Magistrate Judge Hluchaniuk has given the parties until April 3rd to report on whether a mediation session is successful. Apparently, the Chrysler 200, 300 and Town & Country aren't built in Detroit. The automaker sued the T-shirt company last year over its use of the phrase first used to promote Chrysler 200 during Super Bowl in an ad featuring Eminem. Chrysler has a website to sell clothing and other products with the "Imported From Detroit" logo and that merchandise isn't being made in Detroit, either. Chrysler says it donated proceeds of its sales of the merchandise to several Detroit charities. U.S. District Judge Tarnow previously refused to grant a preliminary injunction blocking the sale of the shirts by Pure Detroit. Often the outcome of early motions for injunctive relief can prompt mediation. It seems likely this case will go away, given the lack of serious justiciable issues. See story here- http://bit.ly/GBaEEr