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New lawsuit between Ericsson and Samsung

Wednesday, November 28, 2012

Ericsson has filed a suit against Samsung for patent infringement; it had filed it after the two companies were unable to reach an agreement about renewing patent licensing deals which Samsung had licensed in 2011 and renewed the terms in 2007, but after the license had expired Samsung refused to to renew the licensing agreements for its patents on FRAND terms (fair, reasonable and non-discriminatory), which is standards that aimed at encouraging competitiveness without allowing rights holders to abuse their position, and create a setting for patent holders to receive royalties.

The low suit involves patents owned by Ericsson that are "essential" to several telecommunications and networking standards and it is used in a number of Samsung's products. And the Swedish company – which have over 30,000 worldwide – said that "despite two years of negotiations" they couldn’t reach for a licensing agreement with Samsung, so they decided to take legal action, filing a complaint in the District Court for the Eastern District of Texas.

On Samsung side the company said that: "Samsung has faithfully committed itself to conducting fair and reasonable negotiations with Ericsson over the past two years, but Ericsson has demanded prohibitively higher royalty rates to renew the same patent portfolio,"

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