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Samsung & LG Sued by Haier

Posted By Sarthak on 26 Aug 2017

On 25th August, 2017, a lawsuit was filed against Samsung, LG and few other over their monopoly on patents related to the production of televisions with a New York Court, by a Chinese television manufacturer, Haier.

In court, Lawyers of Haier claim that Samsung & LG pay a patent licensing company named MPEG LA too much for royalties for patents required by the US Federal Communications Commission for manufacturing digital TVs.

The royalties for the said patent owned by MPEG LA, are fixed at the price of $7 per digital TV. Lawyers of Haier further claim that this amount makes it unfair for companies like low-end product makers to pay the same amount of royalties.

As per official spokesperson, Haier “Defendants acquired monopoly power in the ATSC standard essential technology market by making false promises to the ATSC and the FCC -- specifically, defendants falsely promised that they would license ATSC essential technology on a fair, reasonable and non-discriminatory basis”.

Haier claims that such a flat structure of royalties damage lower price Television sellers like themselves.

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