"We can sit by and watch competitors steal our patented inventions, or we can do something about it." Those words, spoken by Apple CEO Steve Jobs in early March, are only the latest in a series of verbal and legal skirmishes that are developing in the smartphone industry. Jobs' comments, and a lawsuit filed by Apple, were directed at Taiwan-based HTC, a leading distributor of phones powered by Google's Android operating system. In a March 17 statement, HTC CEO Peter Chou said his company "disagrees with Apple's actions and will fully defend itself."
In February Motorola sued Research in Motion, maker of the BlackBerry, over patent infringements in wireless technology. And Finland-based Nokia , which boasts one of the broadest patent portfolios in the industry, sued Apple late last year over infringements on patents for its Global System for Mobile Communications, Universal Mobile Telecommunications System and wireless local area network standards--only to be hit in December by a countersuit over patent infringement.
The flurry of patent battles playing out in U.S. federal courts and in front of the International Trade Commission--an independent government agency that determines import damages from unfair trade practices and copyright, patent and trademark infringement--is the mark of a young industry with billions of dollars at stake. Companies like Apple are looking to solidify their positions as a front runner and are willing to use their intellectual property as a weapon in their arsenal.
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