Google-Owned Motorola Slammed By EU Over Attitude To Apple

Written by David Richards     07/05/2013 | 08:16 | Category: MOBILE

Google-owned Motorola Mobility who have been slashing jobs in Australia, including the position of CEO, has been accused of abusing its position in Europe when it filed a patent injunction against Apple, EU officials have said.

Google-Owned Motorola Slammed By EU Over Attitude To Apple

Motorola won an injunction in Germany over Apple products that used patents relating to data transmission technology in February 2012.

The EU Competition Commission claim that Motorola sought an injunction despite Apple's apparent willingness to enter talks and reach an agreement with the US owned company.

Apple offered to pay Motorola a licence fee for using the patents - but the two companies could not agree on a price.

Apple products, including the iPhone, were taken off sale during the dispute.

Several models of the smartphone, and the iPad, were removed from sale on Apple's German website - but were still available in other stores in the country.

In a statement, the commission said: "while recourse to injunctions is a possible remedy for patent infringements, such conduct may be abusive where standard-essential patents are concerned and the potential licensee is willing to enter into a licence on fair, reasonable and non-discriminatory terms."

'Consumer choice'
EU Competition Commissioner Joaquin Almunia added: "The protection of intellectual property is a cornerstone of innovation and growth. But so is competition.

"I think that companies should spend their time innovating and competing on the merits of the products they offer - not misusing their intellectual property rights to hold up competitors to the detriment of innovation and consumer choice."

Data patents
The BBC said that the dispute revolves around the use of what are known as standard-essential patents (SEPs) - patents that are deemed essential to the operation of standards such as mobile phone signal.

In this case Motorola's innovation is deemed crucial to the GPRS data transmission standard used by GSM cellular networks across the world.

Holders of SEPs are obliged to licence the patent's use to competitors in return for a fee on so-called fair, reasonable and non-discriminatory (Frand) terms. In simpler terms - a fair price.

The commission's stance forms part of its "preliminary view" on the case. Motorola is able to defend its position ahead of the final decision.

Motorola spokeswoman Katie Dove told AFP: "We agree with the European Commission that injunctions should only be sought against unwilling licensees and, in this case, Motorola Mobility followed the procedure established.

"Apple had to make six offers before the court recognised them as a willing licensee."

Breaking News

  • Microsoft's Revenues Neutered By Nokia

    Microsoft's Revenues Neutered By Nokia
    Microsoft has taken a massive US $700M hit on operating profits due in part to its $7B acquisition of Nokia, this may explain why Microsoft will soon sack 18,000 staff.

  • Dolby Atmos Now In Denon Products

    Dolby Atmos Now In Denon Products
    Denon has launched two new X Series Network AV Receivers enhanced with Dolby Atmos for the ultimate cinema-quality sound in your own home theatre.

  • Can High-Res Audio Reboot Sony Walkman Sales?

    Can High-Res Audio Reboot Sony Walkman Sales?
    It's 2014 and Sony has bought the Walkman back this time as a 24Bit High Res Audio Player but the big question is this the "killer" portable play for High Res Audio going forward.