In a surprising twist of events, Samsung has filed an invalidation lawsuit against LG Displays, one of the world’s top two makers of LCD displays. The lawsuit filed with a South Korean IP tribunal to invalidate seven of LG’s OLED smartphone and tablet patents is based on the claim that LG lacked ‘innovation’.
The two tech giants have been butting heads ever since September this year when LG filed a patent infringement suit against Samsung. The suit claimed that Samsung had violated LG’s seven OLED patents with the Samsung Galaxy S II, Samsung Galaxy S II HD, Samsung Galaxy S III, Samsung Galaxy Tab 7.7 and the Samsung Galaxy Note, requesting a permanent ban on the sales of these devices in South Korea. The suit was filed following Samsung’s accusations, earlier that year, of LG of stealing Samsung’s display technology and charging six of LG’s employees. Samsung had also charged eleven people, accusing them of stealing Samsung’s old OLED technology and business secrets, of which two were former Samsung Mobile employees and six employed by LG.
What makes OLED panels special is the fact that unlike regular LED panels and LCD displays, there is no backlight required and as a result the displays are much thinner and provide more vivid images. These have been used extensively by Samsung for their Galaxy handsets and tablets and LG for their televisions. Samsung has decided to fight LG’s lawsuits with a great deal of aggression and legal force, primarily because the potential costs incurred by Samsung, if they lose the September (regarding Apple) lawsuit, will be monumental. If LG were to win their lawsuit regarding the seven patents on Samsung’s Galaxy S-series, Samsung would be forced to either put a halt to the sales of these devices or put a halt to the usage of OLED technology in all future Samsung handsets, delivering a huge blow to their business in South Korea.
LG Displays is closely affiliated to LG Electronics, one of the two largest mobile phone makers next to Samsung Electronics, and has a great deal to benefit from a win in their legal battles with Samsung Electronics, potentially resulting in a licensing agreement. Samsung, which is already struggling resiliently against Apple’s lawsuits against it, has a lot at stake as company’s phones are quite popular for their Super AMOLED displays.
