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Distorted competition?

January 31, 2012

European regulators have opened investigations into Samsung's patent policies to see whether it has distorted competition on the European mobile device market. The firm thus took another blow in its rivalry with Apple.

https://p.dw.com/p/13tgP
A smartphone
The EU wants open access to Samsung's smartphone patentsImage: picture alliance/landov

The European Union's antitrust watchdog said on Tuesday it was investigating whether Samsung had illegally prevented competitors from using key patents on mobile phones.

The European Commission said it suspected the South Korean electronics giant of not giving other companies fair access to patents it held on standardized technology for mobile phones. This goes in particular for Samsung's key patents on 3G wireless technology.

"In order to guarantee undistorted competition and to reap the positive economic effects of standardization it's important that relevant commitments are fully honored by the concerned undertakings," the Commission said in a statement in Brussels.

The probe is to look into whether Samsung failed to honor an irrevocable commitment given in 1998 to the European Telecommunications Standards Institute (ETSI). It obliged the company to license any standard patents relating to European mobile telephony on fair, reasonable and non-discriminatory terms.

Locked in legal battles

Samsung last year sought legal injunctions against other device makers in several EU countries, alleging patent infringement.

"The opening of the probe means that the case will be examined as a matter of priority, but it does not prejudge the outcome of the investigation," the commission added.

Also on Tuesday, a German appeals court upheld a decision prohibiting Samsung from selling two of its tablet computers in Germany. The regional court in Düsseldorf agreed with Apple that Samsung's Galaxy Tab 8.9 and 10.1 too closely resemble the iPad2. The judges found that the two devices from the Asian electronics leader were in violation of fair competition laws.

Tablet computers from Apple and Samsung
Apple says Samsung's tablet are too similar to its ownImage: picture-alliance/dpa

"Samsung wrongly used the enormous reputation and prestige of the iPad," Düsseldorf court Presiding Judge Wilhelm Berneke wrote in his ruling.

But Samsung appeared unfazed by the ruling, calling it a decision of little factual relevance and pointing out that its new Galaxy Tab 10.1 N was not affected.

"Samsung will continue to take all appropriate measures, including legal action, to ensure continued consumer access to our innovative products," the company said in a statement to AP news agency.

Author: Hardy Graupner (AP, AFP, Reuters)
Editor: Michael Lawton