AU Optronics Asks For US Ban On LG LCD Sales
eldavojohn writes "After a lengthy patent case, complete with countersuits, AU Optronics has asked for an injunction against all LCD products made by LG. While this may not sound serious, LG is the number one manufacturer of LCDs used in LCD TVs, laptop PCs and desktop monitors. A quarter of global LCDs shipped in March were LG brand. The bizarre part of the story is that LG Display struck first against AU Optronics way back in 2006 with a patent suit to the tune of $690 million, and in 2009, when the case finally went to court, AUO filed counter-claims of patent infringement that are now coming to fruition. So before you call AUO a patent troll, keep in mind that LGD shot first."
It seems the 'tech' companies have shifted their focus on making money by suing others rather than selling things.
And of course - when litigious bastards like Apple are hailed as Jesus Christ, you wonder if we have moved into a different era now.
Quite honestly, it is time to eliminate patents. As we've seen from countries with lax IP enforcement (AKA China), if you have a quality product, the knock-offs can't compete. The entire point of patents is to add to public knowledge, but that isn't happening. So really, we need shorter patent protection times, or just eliminate it all together.
Taxation is legalized theft, no more, no less.
A claim asked is not a claim received.
"The court concludes that AUO has established by preponderance of the evidence that LGD literally infringes the patents asserted by AUO in this action, and that LGD has not established by clear and convincing evidence that the asserted patents are invalid," wrote Judge Joseph J. Farnan Jr., in a 77-page verdict.
If you're LG that is not what you want to hear.
Might make sure that people aren't drawing attention to themselves, if LG hadn't started the fight, perhaps AUoptics might not have stepped in to finish it. Perhaps this will have a bit of a chilling effect in 'throw the first punch' lawsuits where it's not entirely sure where their own patent portfolios stand.
They spend millions upon millions fighting in a broken system that for each side amounts to a crap shoot, endless appeals, and slowing down the entire production cycle with needless approvals and cross-checking to attempt to deflect or marginalize the risks, raising the cost of entry into the market, and do you know who pays for all of this?
You.
This isn't bad news for Optronics, or LG -- it's bad news for us. The consumers. Because regardless of who wins, there'll still be LCD displays being produced, and they'll be just that much more expensive now to cover the costs of the elephant mating going on between these two massive corporations. That's why the system needs reform -- not because arguments that are pro- or anti-intellectual property have any validity, but because the way it's setup now costs too damn much.
#fuckbeta #iamslashdot #dicemustdie
May not look serious? What the Hell does that mean? Why would this NOT sound serious? :-)
Personally, I think sales injunctions under *most* situations are merely a "dick" move to shut down competition. What company wouldn't jump at the chance to disable any portion of sales by their competitor?
I think a more sophisticated way to deal with this is levy royalties, retroactive if need be, and enjoy your opponent's success.
Fact: Everything I say is fiction.
if there's even an outside chance that they might bring back CRTs because of this because they can't sell LCDs, I'm all for it!
I can't even watch an LCD, period. Even the best, highest-quality ones seem to blur and tear with any motion, and they're all overly bright making colors look horrible.
Please bring back CRTs if you cannot fix these issues.
Posting anonymously because everyone's going to think this is a troll, even though it's the 100% honest truth.
A "patent troll" is pejorative language for "non practicing entity" -- a company which doesn't actually build anything. As world's third-largest LCD panel maker, AUO couldn't possibly qualify as an NPE.
Everyone knows Han shot first!
Donte Alistair Anderson Roberts - hi son!
Karma: Chameleon
So before you call AUO a patent troll, keep in mind that LGD shot first
Who shot first doesn't matter. Patent trolling, in my opinion, concerns using patents to suppress other innovations, particularly when the plaintiff isn't using the patents for any product or active research at the time; the mere presence of an IP-based lawsuit isn't worthy of calling someone a troll.
Which company is actually using a smaller proportion of the patents they sued over, and which of them has the most patents at issue working in products and current research? The first one would be more of a troll, the second more like an ordinary company fighting for its legal rights. I know we on slashdot don't agree much with patents, but they're not 100% useless and not every single person or business who likes patents, holds patents, or uses them in litigation amounts to some hobgoblin suppressing innovation for the sole purpose of lining their pockets.
Until I read it to the end:
SOURCE AU Optronics Corp.
I'm not disputing the facts, but I'm damn sure a press release from AUO is not the best place to get an impartial view...
(And no, I'm not an LG sockpuppet).
Whoever ever bought LG 60Hz LCD TV or LCD monitor knows about panel lottery in which LG sells AOU, CHI-MEI, even Sharp panels as their own
(for example, see comments on this page http://www.avsforum.com/avs-vb/showthread.php?t=1132241&page=12
Come buy your LCD displays in Canada, eh?
History disagrees with you. There are a large number of lawsuits brought by small companies against existing products of larger companies. I see different flaws than most. Most think getting rid of patents solves the problem but it will make it harder to develop new products and make the investment very risky. The real problems are that a large number potentially involve reinventing the wheel. Two companies come up with the same thing. Company "A" comes up with it in the 90s but doesn't produce a product. Company "B" comes up with the same thing in 2001 and sells it for 10 years then gets sued by company "A". Often times they wait until the damages are enough to make it a big payday. The flaws in the scenario are the re-invention was not done in malice and there was no stealing of ideas and company "A" never intended to develop a product so the spirit of the law was not broken. Company "A: should not be able to sue company "B". The other issue is companies waiting for the fat payday. Letting company "B" sell products for 10 years then hit them with a 100 million dollar lawsuit is unfair to company "B" who was not aware of the patent. Like other lawsuits there needs to be a window. If they miss the window they can produce their own version since they have the rights. If they already had a product and wasn't aware of the competing product possibly they could halt the sale of the item but expecting 10 years of profits makes for abuse. We need sensible laws not no law.
Every patent issued effectively blocks off a segment of a market to competitors, creating a micro-monopoly. We are rapidly approaching a time where, due to patent trading large corporations are coming close to total ownership of a particular market.
America is the major culprit in all this patent absurdity. Behind the friendly face of enterprise and free capitalism lies a very different reality. Corporations with vast resources and political lobbying power apply for patents shotgun-style to prevent any form of competition, so that they can profit by driving down production costs giving consumers overpriced, low-quality products.
From the abuse of patent law comes state-sanctioned monopolies, which is reminiscient of Soviet communist economic practice.
China, a formerly Communist nation is far more capitalist than America these days.
Posting from the UK.
Aren't most LCD displays bigger than LG these days, at least XLG or 2XLG? What does that work out to in inches or cm anyway?
This would be all well and good, if not for the problem that in another month it will cost an American twice as much to buy Canadian.
Patents in the US last for 20 years from earliest filing date, or 17 years from date of issue, whichever is longer. Extension are granted, but only to allow for delays in granting patents, and only for the amount of the delay.
Which is still far too long, especially these days - 5-7 years should be about the limit.
The patent system was originally designed to protect the small inventor from a large business entity...
That's a nice little piece of half truth there. The patent system was not designed with just that in mind. It protects ANY inventor from the free rider problem. Size can be a factor but it is a second order effect. The patent system is designed to promote innovation - it wasn't designed to protect any individual or corporation regardless of size.
We don't need to eliminate patents and copyright; We need to restore them to their proper place and purpose, which is to protect individuals from corporations
Patents and copyright are not fundamentally about protecting either individuals OR corporations. It is about protecting incentives to innovate regardless of who is doing the innovating. I'll agree that the patent system needs a serious improvement but misplaced populism really doesn't help.
I can't imagine any court would grant an injunction. The undue hardship upon OEMs and end-users makes it almost certain not to be granted. MS was sued a few years ago for violating a product activation patent, which I think was found to be an infringement, but the court refused to grant an injunction, as it would do great harm to the consumer. Although the court did seem a bit ignorant of technology, and utilized an argument that a months long total rewrite of Office was required, instead of just slipstreaming a minor update disabling product activation. The court could have given MS a reasonable amount of time to fix it, then granted an injunction. I think it ended up being a damages linked to royalties award.
Slashdot: Playing Favorites Since 1997
Quite honestly, it is time to eliminate patents.
No problem. Just come up with a solution to the free rider problem and we won't need patents or copyright. A Nobel prize in economics awaits your brilliance.
As we've seen from countries with lax IP enforcement (AKA China), if you have a quality product, the knock-offs can't compete.
Knockoffs compete just fine. Ask any drug manufacturer if generics (a knock off even though a legal one) hurt their business.
The entire point of patents is to add to public knowledge, but that isn't happening. So really, we need shorter patent protection times, or just eliminate it all together.
Sure it is. The laws and patent system just have loop holes and faults that are creating unintended problems. The problem isn't with the idea of patents it's with the implementation.
What again is the point of patents? Regardless of the original intent for protection of the little guy, all it seems to have ever done is line the pockets of the attorneys, funded by higher product prices.
---- Booth was a patriot ----
Or they knew it would happen and it was a preemptive strike?
---- Booth was a patriot ----
Until I read it to the end:
SOURCE AU Optronics Corp.
I'm not disputing the facts, but I'm damn sure a press release from AUO is not the best place to get an impartial view...
Well, I submitted the article. I guess I don't know what to do about the second link. The first link is by IDG and should be unbiased. Every single article I could find about that ruling linked back to AOU's news service. Granted I didn't search the entire internet but everyone's spewing the same thing. I couldn't find anything about this on LG Display's site. I couldn't find any court records from the super awesome District of Delaware's web site (holy sh*t, 1993 called and wants your site back).
... if you had offered a better link I wouldn't even be responding to this but I came up empty. I guess next time I submit a PR from a company I should put a disclaimer in the summary? It was meant to augment the first link, not be the focus. That was the only link where the patents were named. Any suggestions on how to make submissions better are welcomed. Suppose it's time I installed RECAP on all my home machines.
I don't know what to say
(And no, I'm not an LG sockpuppet).
I also certainly hope I didn't come off as an AUO sockpuppet ... apologies if I did/do. They do hold 16-17% of the LCD display market so I think they may be justified in this patent and counter patent suit action. It's not like they're a non-practicing entity patent troll.
My work here is dung.
I'm hoping this will accelerate the already progresssing state of OLEDs.
http://www.oled-display.net/lg-display-invest-2257-million-dollars-to-triple-oled-capacity
Who cares anymore? Fix the damn system before the system permanently fixes all of us!
I wonder what could be the short term effect on prices of LG panels. Hey, if there would be more of them outside the US...
One that hath name thou can not otter
No-one or someone subservient to them can hold more than 3 active patents.
This would include all companies and companies owned by said companies.
As an inventor if you have 'better' ideas than your 3 current active ones, sign off to de-activate (release to the public) one of your old ideas and use your new one.
Problem solved, sure there will be some court cases saying roger is holding patent X for Paul,, etc etc.. but the huge corporate welfare that patents provide will be gone, and inventors will be able to patent their ideas without getting rick-rolled by large corporations into selling their idea for pennies because that idea is unworkable without also crossing one of their 500,000 patents you have never heard of until they sue you.
Any sane system like this would be good. K Thanks
LG started this by threatening Optronics. I am presuming in a somewhat vague way.
/. a few years back) with attached letter by a business owner who used to be a patent attorney is just priceless. It shows that when you scrap just under the surface of these initial IP letters that would send the average person into a tailspin, this guy hits back. I presume just as Optronics did.
While perhaps this could be modded redundant, this story(which appeared on
In post Patriot Act America, the library books scan you.
It sounds like you're suggesting a Statute of Limitations for patent infringement. I think there is a sound theory there. If you're unaware that you're patent is being infringed, then you're probably not losing sales. It's something to think about (not that either of us can enact it).
I won't join Slashcott. OTOH, If Beta goes live, I just won't be back until it's fixed. Sorry Dice.
Rather than Communism, a more descriptive term would be a Corruptocracy formed by an alliance between politicians, bureaucrats, and megacorporations, but it doesn't matter what it's called. You're right. It has become a self perpetuating, self serving, anti-human abomination. And it is EVIL. Pretty funny that the people who took on King George's power have now gradually saddled themselves with an opression at least as great.
The patent troll reference in the parent article is irrelevant. Patent trolls are, in legal parlance, non-practicing entities. AUO is one of the big four makers of LCDs, with about $14B a year in LCD revenues. It has its own labs, does its own research, spends billions on fabs. Not sure why the first /. responses are ranting about the failure of the patent system - building an LCD fab is a huge financial risk, and finding a firm that is violating your IP and thus undercutting your market is a major challenge.
and you are gonna get burned.
I don't think these are software patents. Slashdotters, are you against all patents or something?
You're mistaken. AU Optronics is a Taiwanese company. And even if you're a stubborn, nationalistic Chinese citizen, you still have to cede that the Republic of China (Taiwan) adheres to international law significantly better than the People's Republic of China (China); Taiwan is at the very least as respectable in the technology field as South Korea, if not more so.
Han Solo shot first!
This isn't a free rider problem, unless you consider companies to own potential profits. In reality, knock-off products are produced with a person's own materials.
Free riders in this case are getting the research for free. Invention costs money. If you spend the money to develop a drug (expensive!) and I can simply look at your hard work and copy it, I can undercut you on price because I have no research costs to recoup. No rational businessman is going to make that investment if they can immediately be undercut by an identical copy.
Patents exist to protect the economic incentive to invent. Despite all their flaws patents have been wildly successful at doing this.
The free-rider problem only exists when there is some scarce resource involved.
Invention is not free nor is the capital required to conduct invention. In many cases it is extremely expensive. Explain to me how you came to the (ridiculous) conclusion that capital for R&D is not a scarce resource.