Xiaomi sales ban in India for infringing on Ericsson patents

Xiaomi

Once confirming that Chinese handset manufacturer Xiaomi was infringing on select Ericsson patent licenses, the Delhi High Court has issued a directive against the vendor, which restricts Xiaomi from selling, manufacturing or importing devices in the nation. The ban is situated to be essentially in any event until February 5, 2015.

In an official articulation, Ericsson specified that Xiaomi infringed on eight patent licenses identified with 3G, EDGE and AMR technologies:

Ericsson’s commitment to the global support of technology and innovation is undisputed. It is unfair for Xiaomi to benefit from our substantial R&D investment without paying a reasonable licensee fee for our technology.

After more than 3 years of attempts to engage in a licensing conversation in good faith, for products compliant with the GSM, EDGE, and UMTS/WCDMA standards Xiaomi continues to refuse to respond in any way regarding a fair license to Ericsson’s intellectual property on fair, reasonable and non-discriminatory (FRAND) terms. Ericsson, as a last resort, had to take legal action.

To continue investing in research and enabling the development of new ideas, new standards and new platforms to the industry, we must obtain a fair return on our R&D investments. We look forward to working with Xiaomi to reach a mutually fair and reasonable conclusion, just as we do with all of our licensees.

The Indian court has ordered Flipkart and Xiaomi to give details on devices it sold that utilize the previously stated technologies, and the revenue generated from its sales. As far as concerns its, Xiaomi is by all accounts eager about resolving the matter, as confirm by an statement gave by Indian head Manu Jain:

While we haven’t received an official notice from the Delhi High Court, our legal team is currently evaluating the situation based on the information we have. India is a very important market for Xiaomi and we will respond promptly as needed and in full compliance with Indian laws. Moreover, we are open to working with Ericsson to resolve this matter amicably.

This isn’t the first run through Ericsson sued a Chinese handset manufacturer sales in India. Recently, Micromax was ordered by the Delhi High Court to pay royalties of up to 1 percent of a device’s sales cost to Ericsson for utilizing the Swedish company’s patent licenses as a part of using the technology for its products.

We’ll screen how the circumstances pans out with Xiaomi, yet the ban is a tremendous road obstruction to the vendor’s plans in India, where Xiaomi has been doing so well recently. The seller has sold in over 800,000 devices in the nation since its introduction early this year, and has as of late released its third handset, the Redmi Note, to much ballyhoo.

Economic Times

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