Sunday, January 1, 2012

Apple May Hurt Shareholders with Patent War

Steve Jobs, the co-founder of Apple, told his biographer that he'd rather wage "thermonuclear war" with Google than make deals to share its technology with the maker of the Android operating system.

That was no empty threat. In the 18 months before Jobs died on October 5, Apple sued HTC, Samsung Electronics and Motorola Mobility, the three largest Android users. It alleged that the phone makers stole Apple's technology and asked courts to make them stop.

Now, as rulings start coming in, it might be time for a détente that helps Apple maximise the value of its patents, said Kevin Rivette, a managing partner at 3LP Advisors, a firm that advises on intellectual property. When courts side with Apple and impose bans on infringing products, competitors can often devise workarounds; in cases where Apple doesn't win import restrictions, it would be better off striking settlements that ensure access to a competitor's innovation, he said

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