Apple To Pay $60 Million Over iPad Trademark Dispute
tekgoblin writes "Today a Chinese court has stated Apple, Inc. has agreed to pay a Chinese company $60 Million dollars to settle their infamous iPad name dispute. In 2006 Apple purchased the Taiwanese rights to the name 'iPad' from the company Proview Electronics. In China however, the trademarked name was still owned by Proview Technologies, a Shenzhen based subsidiary of Proview Electronics. Since 2011, Proview Technologies has battled Apple in the Xicheng district court and in 2012 the Santa Clara Superior Court. Both cases are still ongoing."
China protects its companies (many of which are at least partially state owned). The US does not. One of the reasons so much manufacturing is done in China is because that's the only way to sell there. China puts high import taxes on goods made elsewhere, while the US does not. So if a company wants to sell their product in China they can only do so in a cost effective way by making said product there. If the US matches Chinas tarifs things would be very different.
"Have you ever thought about just turning off the TV, sitting down with your kids, and hitting them?"
In 2006 Apple purchased the Taiwanese rights to the name 'iPad' from the company Proview Electronics. In China however, the trademarked name was still owned by Proview Technologies, a Shenzhen based subsidiary of Proview Electronics.
According to Proview's creditors. There's plenty of evidence to the contrary.
If they licensed the name from the parent corp then how can a subsidiary company make a claim on it? Surely a license from the parent by implication means a license from all the parts of the corporation? Or is chinese law just wierd?
This I think reflects more the failure of laissez faire capitalism. Capitalism without controls or government intervention only works if everybody plays fair. And it's not just tariffs. China's labor laws are less strictly enforced than in most First World countries. Of course these two reasons by themselves cannot account for China's popularity over, say, India as a manufacturing hub. I suspect China's advantage is that it's easier for a corporation to do business with what is effectively another large corporation.