Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

Apple, Samsung patent dispute 'secrets' leak from court

By | December 5, 2011, 3:45pm PST

Summary: Leaked ‘redacted’ reports from the Samsung and Apple debacle show some interesting behind-the-scenes pre-litigation action by the two companies.

U.S. District Judge Lucy Koh, who this week ruled that while Samsung may not be immune from a wider patent suit, it will not have sales of its products banned in the United States.

But Koh’s ruling accidentally leaked in full, where it had meant to be redacted to prevent ’secrets’ from the court ruling from reaching the outside world — or worse, the companies’ competitors.

Viewers of the document were able to highlight the seemingly redacted version of the ruling, and copy and paste it into a text editor to reveal the blacked out sections.

Whoops.

Reuters managed to obtain a copy of the documents, but sister site CNET points out that the findings are hardly earth-shattering.

The case between Apple and Samsung is expected to go to trial early next year, after the Cupertino giant sued the Korean smartphone maker in April.

Still, the unredacted documents to highlight an interesting state of affairs for both Samsung and Apple. The details mostly include how the smartphone maker is playing out, as well as details as to how Apple works with other companies to license its patented technology.

Included in the unredacted reports:

Apple claimed that Samsung is no threat to its business. Many had wondered that the global patent conflict was Apple signifying at least a half-worry that Samsung’s partnership with Android could dominate the market — which it subsequently has.

Apple also believed that its current customers would be unlikely to switch to a Samsung smartphone. In fact, its studies showed that Samsung would take marketshare away from other manufacturers

Samsung argued that Apple’s supply cannot keep up with the demand that the iPhone presents; in short, selling more than the company can manufacture. Samsung still continues to supply Apple with mobile processors; a partnership it has maintained as a crucial source of revenue for the Korean giant even amidst a global patent conflict.

But the claims made by Samsung were deemed “dubious” by Koh, after Apple presented evidence to show that it had been able to do consistently beforehand.

Court documents also suggest that Apple offered Samsung licensing arrangements in the run-up to litigation, nearly six months before hand, in November 2010. CNET suggests that this was part of Apple’s plan to actively work with Android partners, than move against the growth of the platform.

But a footnote suggested that while Apple brought suits against Samsung for ‘utility’ patents — relating to such items as networking — as well as design patents, “it does not appear” that design patents were discussed during the preceding litigation.

According to the ‘unredacted’ ruling, Apple had already licensed the patent to Nokia and IBM; crucial in how iPads and iPhone scrolled through documents and image.

Though Apple and Nokia publicly announced a settlement to its licensing trouble for an undisclosed amount in June this year, no specifics were given, except that all litigation was hereby resolved. It is thought that Nokia gained $600 million from Apple as part of the agreement.

Apple and Samsung continue to battle in over 20 cases in 10 different jurisdictions, including in the U.S., Germany, and Australia.

Related:

As it happened:

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Zack Whittaker, a criminologist who studied at the University of Kent, Canterbury, is a journalist, writer and broadcaster.

Disclosure

Zack Whittaker

I worked briefly with Microsoft UK in 2006 but no longer have any connection with the company. Regardless, I remain impartial and unbiased in my views.

I don't hold any stock or shares, investments or industrial secrets in any company, but have signed confidentiality agreements with a number of UK and U.S. organisations, whose names I am not at liberty to disclose.

I was involved with Kent Union, the University of Kent's student union, undertaking voluntary, non-salaried, elected positions between early 2009 and mid-2010.

No other company, body, government department, non-governmental organisation or third sector organisation employs me or pays me a salary in any capacity whatsoever.

As a freelance journalist, whenever expenses are given and taken by a company that is not CBS Interactive, these will be disclosed in each relevant post to ensure transparency.

I currently work with a UK law enforcement unit, but this is an entirely separate position which bears no connection to other work.

(Updated: 23rd October 2011)

Biography

Zack Whittaker

Zack Whittaker, criminologist who studied at the University of Kent, UK, is a journalist, writer and broadcaster.

After studying criminology at university, though still in his early-20's, he has already had a series unconventional work and voluntary positions. He has worked with researchers studying neurological illnesses like Tourette's syndrome (which he suffers from), has given lectures on the nature of disabilities in the public community, and occasionally ends up speaking on television and radio discussing the events of the day.

He first had academic work published at the age of 22, then still an undergraduate, and has been cited by a wide range of publications: from CNN, the Huffington Post, AllThingsDigital, The Atlantic Wire and CBS News.

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RE: Apple, Samsung patent dispute 'secrets' leak from court
brad1000 Updated - 6th Dec
@Pete "athynz" Athens
lol carbon copy? I see Apple fans have pulled out their same old tiring arguments they used when Microsoft came out with Windows.
Try actually using an android phone for awhile then come back and say they are carbon copy, good or bad doesn't matter just that they are truly unique of themselves JUST as the Iphone is.

I think there is a real market out there for both, obviously goes without saying. I prefer my Samsung Galaxy II phone and I see why Apple was worried about it - not about the patent disputes, but how powerful it is and what it can do. My wife on other hand wants an Iphone. She is more the type that wants a phone to do all the basic smartphone stuff right out of the box, where I want a phone that can do that and more but in a way that I want it to do and customized to how I want it to work for me.
And to read it here, you would believe Apple never ever ever licences any of its patents. So Samsung picked the battle.
@Bruizer do you know if the offered fair and reasonable licensing? Didn't think so...
0 Votes
+ -
It begs the question though
ego.sum.stig@... 6th Dec
Do you know?
0 Votes
+ -
Do you?
Bruizer 6th Dec
@rtk

Also, not being standards based patents, FRAND was not in play.

Nice try at deflection. FAIL!
@Bruizer

I didn't say it was a standard based patent, nor did I mention FRAND.

If Apple's offer to license was based on unreasonable terms, it might not have been much of an offer.

We don't know.
0 Votes
+ -
Apple should pay the price
Linux Guru Advocate 5th Dec
of messing with android and FOSS. Soon apple will go out ob business like their cousin M$.
0 Votes
+ -
@Linux Guru Advocate Get real Linux Geek Apple offered Samsung licensing options for a product that is a carbon copy of an Apple iPad.
@Pete "athynz" Athens
lol carbon copy? I see Apple fans have pulled out their same old tiring arguments they used when Microsoft came out with Windows.
Try actually using an android phone for awhile then come back and say they are carbon copy, good or bad doesn't matter just that they are truly unique of themselves JUST as the Iphone is.

I think there is a real market out there for both, obviously goes without saying. I prefer my Samsung Galaxy II phone and I see why Apple was worried about it - not about the patent disputes, but how powerful it is and what it can do. My wife on other hand wants an Iphone. She is more the type that wants a phone to do all the basic smartphone stuff right out of the box, where I want a phone that can do that and more but in a way that I want it to do and customized to how I want it to work for me.

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