SAN JOSE, Calif. – Apple scored a significant but not complete legal victory on Friday in its landmark patent case against Korean rival Samsung, winning damages of $1.049 billion plus a verdict of willful infringement on many counts. The willfulness verdict opens the door to the judge awarding punitive damages of as much as three times the already record amount set by the jury.
Apple sought as much as $2.71 billion in damages from the jury and said it expected to gain at least $500 million if any infringement was found.
The nine-person jury here found that many Samsung phones in question violated most of Apple's two design and three utility patents. However, the jury found that Samsung's tablets do not infringe Apple's iPad design patent.
As a result, Apple is
more likely to press the patents under consideration in this case in
other patent lawsuits as well as in private negotiations with Android
The judge in the case set a Sept. 20 hearing to determine whether to set an injunction against selling in the U.S. any of the products found to be infringing. Those products are generally a set of about 12 Samsung Galaxy S and S II handset models.
Samsung said it will appeal the decision, saying the verdict will lead to "fewer choices, less innovation and potentially higher prices."
The decision validates the strength of at least four Apple patents in the case, the exception being a design patent on the industrial design of the iPad. The jury also found that Samsung violated registered and unregistered trade dress, a reference to product "look and feel," on both the original and 3GS iPhones. The jurors did not buy Apple's argument about the look and feel of the iPad, however.
Apple did not infringe any of the five utility patents Samsung alleged, including two patents Samsung considered part of the 3G cellular standard. However, the jury found that Apple failed to show that the patents were invalid or that Samsung had broken contractual agreements or antitrust law regarding how the Korean company pursued the patents and their licensing.
Apple and Samsung both worked hard to show the other side's patents were invalid, bringing in many examples of what they claimed were prior art along with expert witnesses, including top academics. Ultimately, the jury held that all patents were valid.
you spelled it out correctly. It is a fundamental assumption that Apple is smart enough to get a binding supply contract from samsung on price/quantity/term before starting the process. Any comments without making that assumption is non sense.
This shows complete lack of understanding what it takes to manufacture and qualify a chip like the A5. First and foremost, leading edge capacity in the amount t that sole needs it simply does not exist unless TSMC pisses off their entire customer base or Intel pr GF signs on to be an Apple foundry. Second, the A5 is far from being particularly unique, it is basically and ARM core with some Apple elements. I would not be surprised if it uses substantial physical IP from Samsung. It would take upwards of an year for Apple to secure a second source in the quantities they need. The really interesting question is what their foundry contract with Samsung says. Because I am sure that at least some within Samsung are considering whether the cost of pulling the plug on Apple manufacturing is worth it. Given Apple's aggressiveness in the trial I suspect that they have a firm contract for supply a year out and are hard at work on a transition thereafter. The really interesting piece is that there are probably only two companies that they can go to, Intel and GF. In the past Intel has walked away from non profitable Apple business, and given that Intel wants to push their own mobile chip line I suspect that GF will end up with the business.
At this point I think it is moot.
Samsung has been able to gain some traction with larger screens and a faster move to LTE. So the Korean company is now actually leading in key areas where the iPhone 5 needs to play catch up.