California based technology giant Apple is probably going to have a tough time proving that the patents held by HTC, the Taiwanese smartphone manufacturer are invalid in a trial with the International Trade Commission (ITC). The patents are related to data transmission technology that is quite fast as compared to conventional methods and forms the basis for 4G LTE technology that is going to be featured on Apple’s new iPhone 5. If the patents are not invalidated, it could lead to a ban against the import of the iPad and the new iPhone.
The judge who will be sitting on the trial, Thomas Pender of the ITC said that a patent can be invalidated only if it is clear that it shouldn’t have been granted. HTC is accusing Apple of infringing on two of its patents which deal with transmitting large amounts of data reliably through 4G technology which enables faster downloads on mobile phones. If HTC wins the trial, it would help it in securing an import ban on Apple’s LTE enabled devices i.e. the iPad 3 and the upcoming iPhone 5. Even without a judgment from the court, the entire issue can help HTC in squeezing out a settlement from Apple which has filed its own patent infringement suit against HTC. The case comes in at the right time as demand for faster data on mobile devices is increasing and analyst firms are expecting the volume to increase by 18 times by 2016.
HTC, which was once very popular in the smartphone market because of its innovative designs has lost a significant number of customers to Apple and Samsung and watched its market share drop and stock value plummet. By piling up LTE patents, it hopes to introduce more 4G devices in the market, something that is still not very common with the exception of a few devices from Samsung. This will help the company gain a unique identity in the Android community and perhaps it can regain some of the lost glory.
The patents that HTC now owns were bought as part of a portfolio from ADC Telecommunications for around $75million. According to the judge, it doesn’t matter what the intention behind purchasing the patents was as long as they still stand. Apple’s attorneys refused to reveal any aspects of the new iPhone when questioned by the judge probably to avoid admitting to the rumors that it does feature LTE technology.
