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View Full Version : [Editorial] Now That Samsung Was Found Liable, What are the Potential Ramifications?



dgstorm
08-25-2012, 08:20 AM
http://static.droidblog.net/dgstorm/df/Samsung-vs-Apple-BT1.jpg

Apple vs. Samsung in the U.S. Court System: It was one of the most titanic trials of the decade. A fight between two juggernauts of the mobile industry. Similar battles where being waged around the world, with various outcomes, some of which are still to be determined. In the end, (although the appeals process is just beginning), Samsung lost to Apple. The verdict was paradoxically both shocking and unsurprising. Most of us realized that there was some copying going on (by both sides), but few of us expected the defeat to be so utterly lopsided in Apple's favor. But, what does this defeat mean going forward, for the companies involved, the consumers, and the legal system in general? Here's a brief analysis below culled from multiple sources around the web. Before that here is a defiant statement issued by Samsung in response to the outcome:


Samsung said in a statement, "[This was] a loss for the American consumer. This is not the final word in this case or in battles being waged in courts and tribunals around the world, some of which have already rejected many of Apple's claims."

Regardless, now that Samsung has been defeated by Apple in a U.S. court, we have several things to consider throughout this trial. We will attempt to list just a few of the most important ones (please keep in mind, much of this is simply speculation):

There is now a long appeals process coming, and it is possible we could see some reversals.
During this trial, the publicity of the case actually helped Samsung in world-wide market acceptance and consumer knowledge.
Because of all of this publicity Samsung is now considered an equal to Apple; however, after the verdict, their reputation could go either way. It could bolster their position, or they could be perceived as a copycat.
Even if Samsung is hurt by this, it may not be much. They are still way ahead of Apple in the emerging markets of China, by a factor of over 2 to 1. Plus, this could rally Android fans even further.
Apple will likely now ask for a ban on several Samsung products.
Because the infringement was found to be "willful," Apple could seek Treble damages. That would turn the $1 Billion dollar verdict into $3 Billion. That's almost half the profit they made over the past year.
This could lead to some sort of cross-licensing agreement between Apple and Samsung, in which Samsung pays Apple to make Android phones. Apple could then go after other Android OEMs for the same thing. This would hurt Android in the long run.
Conversely, if Apple decides to pursue bans only, they can now use this case as precedent to go after other Android OEMs, which might hurt Android more (or could force change in the current U.S. Patent system).
If Apple does seek a cross-licensing agreement, it will likely cause the price of all mobile devices to go up, which only hurts the consumer and market competition.
Emboldened by their success, Apple could try to go after the Galaxy S III now.
In the long run, this could actually hurt Apple more than it helps them, because they have effectively forced their competitors to think even further out of the box to remain competitive. Because of this, their competition is likely to change the rules of the game by creating a more disruptive technology. There are signs that this has already happened. Apple is now likely to release an iPad Mini, and an iPhone with a larger display. Both of these are reactive moves designed to keep up with the changes in the market brought on by Android.

As you can see, there are a ton of ways to look at this situation, and we have only covered just a few. There are obviously other factors to consider, and other perspectives on this complex issue. Share some of your ideas in the thread!

gbrinn
08-25-2012, 08:26 AM
As I've said elsewhere, Samsung could tell Apple to climb a tree and find a new company to make screens for the iPhone. Effective immediately. Then see what happens.

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Nemo aeternamn
08-25-2012, 09:08 AM
As I've said elsewhere, Samsung could tell Apple to climb a tree and find a new company to make screens for the iPhone. Effective immediately. Then see what happens.

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ya.. they could do that(i kinda wish they would too.. but).. but in the end game... apple is their single largest customer.. i believe... so that might not be in the best interest... but it'll be interesting to see how things go


post script.. i think i'll just this link to an interesting youtube video... about what apple's really "invented" right here

https://www.youtube.com/watch?v=wFeC25BM9E0&feature=player_embedded#!

GoCliffGo05
08-25-2012, 12:40 PM
The video is great Nemo! You learned me up.

DirtyDroid
08-25-2012, 01:43 PM
Tried to "like" it but can't still on tapa....here :(

tap'd from the Gnex

gbrinn
08-25-2012, 04:47 PM
In case you weren't aware, Apple (until just recently) made/makes enterprise-level stuff. They made/make servers, etc that process computer (a la Pixar) animation, among other things. I found out today that sometime recently, they made the strategic (blunder?) decision to abandon that market and focus exclusively on their mobile market (laptops, iPods, iPads, iPhones, etc). So that puts these lawsuits into a bit of a new perspective. My guess is that with their new "focus", they're on a bit shakier territory with the intense competition from Samsung. Despite being the most "valuable" company in the world at the moment, it could all come crashing down because of a stupid strategic decision and they're lashing out rather than trying to figure it out.

GoCliffGo05
08-25-2012, 05:10 PM
They dropped focus from Pixar? What kind of sense does that make?

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gbrinn
08-25-2012, 05:56 PM
They dropped focus from Pixar? What kind of sense does that make?

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Pixar and other animation companies. Plus, there were other companies that purchased Apple servers (why, I don't know) that are now out in the cold. This is a huge blunder, IMO, to focus exclusively on what is basically a fanboy market.

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DroidlynnXDoes
08-25-2012, 10:08 PM
Pixar and other animation companies. Plus, there were other companies that purchased Apple servers (why, I don't know) that are now out in the cold. This is a huge blunder, IMO, to focus exclusively on what is basically a fanboy market.

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Steve Jobs actually worked with Pixar when Apple kicked him out before his big comeback.

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gbrinn
08-27-2012, 07:55 PM
The import ban they are asking for is huge and includes the Galaxy S line, plus all FUTURE devices that MIGHT infringe on Apple's patents according to the news I heard on the radio today.

Seriously, WTF...

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GoCliffGo05
08-27-2012, 08:08 PM
I thought the S3 was ok, it had to do more with earlier S series devices?

gbrinn
08-27-2012, 08:14 PM
The story didn't mention the 3 by name. Just the "Galaxy S series", which is open to interpretation. I know the Galaxy Nexus was originally included before the trial but with the stupid, sweeping verdict, I think they've amended the list. Especially with the "all future devices" bit.

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Goose306
08-27-2012, 08:16 PM
S3 is safe as-is. Only real thing they could take at that would be S-Voice (but really - drop that ayways. Google Voice can do so much better of a job, especially with Google Now on JB - better than any other voice app could dream to be). I'm sure Apple will pursue it after this victory, and after the S3 is now *quickly* on the route to become the greatest selling smartphone of all time... Apple has already lost the market unless iPhone 5 can truly innovate, and everything I have seen so far on the iPhone 5 is just using technology and idea which are already stale and well behind the curve (LTE, NFC for hardware "innovations" (part of Android since Gingerbread/Froyo!) and the passport thing... which is a rip of Google Now, much like the notification bar is a straight rip from Android)


Now the real question - you see the fatty lawsuit Moto dropped on Apple? That thing is swinging some weight behind it. Basically ALL Apple consumer products. Will be waiting to see how they respond to that.

GoCliffGo05
08-27-2012, 08:18 PM
Anyone else hear that Samsungs payout could be more than 300% of what was initially reported because it was determined Samsung "willfully" misused patents etc? Depends on the judge on Sept. 20th. Also i learned that the U.S. is only 4% of the global market for Samsung. That struck me as low.

gbrinn
08-27-2012, 08:28 PM
Apple is on thin ice (see my earlier comments. Lose any of these big cases and/or if any if their patents are found invalid and they could be DONE.

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DroidXFanatic
08-27-2012, 08:43 PM
Apple is sitting on almost $100 billion dollars cash. They aren't worried about being sued & they wont be going anywhere anytime soon. Samsung just needs to continue what there doing with products like the S3 and make it even better and stay ahead of Apple & the consumer will start figuring out that Apple products really aren't that great like there slowly doing now. The other companies Moto/HTC etc need to release a flagship device on all carriers like the S3 and not so many different devices with different carriers.

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DirtyDroid
08-27-2012, 08:46 PM
Yup that^^^ well put

tap'd from the Gnex

gbrinn
09-01-2012, 03:39 PM
Apple has just requested that the S3 be added to the list of banned products Apple-Samsung Lawsuit: Apple Targets 4 Additional Products (http://www.huffingtonpost.com/2012/08/31/apple-targets-more-samsun_n_1848273.html)

GoCliffGo05
09-01-2012, 03:43 PM
Ugh. That's all I have to say anymore.

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Goose306
09-01-2012, 04:08 PM
Apple has just requested that the S3 be added to the list of banned products Apple-Samsung Lawsuit: Apple Targets 4 Additional Products (http://www.huffingtonpost.com/2012/08/31/apple-targets-more-samsun_n_1848273.html)

Banning has to get approval first also Apple had it thrown out of court when they tried to add the S3 to the case earlier so I have a hard time seeing that go through, tbh.

Though of course they'll try. The GSIII is a juggernaut right now.

gbrinn
09-01-2012, 04:24 PM
I think this cartoon says it all: Apple vs Samsung - Slideshows and Picture Stories - NBCNews.com (http://slideshow.msnbc.msn.com/slideshow/news/apple-vs-samsung-48847528/)