REVEALED: The REAL Winner Apple V Samsung
As the dust settles around the Apple V Samsung verdict, it’s becoming (patently) clear who the real winners are.
The verdict by the 9-panel jury that Samsung infringed all but one of seven of Apple’s patents was clearly a massive win for Apple-based Cupertino, furious at Samsung for getting ahead in the smartphone market, and also protects Apple from other competitors attempting to clone the look of its devices.
But as Samsung was handed down the $1.05 bn “slap on the wrists” for infringing Apple patented designs and technology, is the No. 1 phone maker days on top now over?
Read: Apple V Samsung: Who Judges The Jury?
Hardly, as the $1bn fine may be reduced when Judge Koh makes her final decision after some questionable post-verdict comments by the 9-member jury who made the call to punish Samsung.
Even if the fine is upheld (it may even be trebled depending on Judge Lucy Koh’s final decision), considering Samsung made $5.2bn profit last quarter and predicted to soar even further next qr, one billion quid will hardly break the bank.
Samsung sold 90.4m phones (dumb and smart) last quarter in Q2 says analysts Garter and holds almost 22% of the global smartphone market – ahead of Nokia’s 20% and Apple 6.9% share.
Even as the news comes that Apple are looking to ban a total of eight Samsung smartphone including several version of galaxy S 2 from sale in the US, all on Google Android OS, it affects older models only and its hero phone S3 is safe from harm, as is its Tab devices.
“Samsung won’t be forced out of the US market- they’ve designed around some of the patents already” says Chris Baxter, Baxter IP.
But there’s plenty more trouble to come for Samsung as Apple has filed another lawsuit against to Koreans in respect to eight additional patents it accuses its arch rival of infringing.
“These are far more significant” than the ones at stake in the current case between the tech giants, Baxter points out.
But Samsung’s theory that consumers will be the main losers following the verdict is also “incorrect”, Baxter believes, as the technology such as that introduced by the iPhone is the result of massive investment by Apple.
If companies are allowed the violate each other patents investment of this scale will be discouraged, leaving consumers without the innovations they hold in their hand today.
But the verdict is a ” downside for Android users,” Baxter admits.
|But Google don’t appear too worried, yet.
The patents Samsung is found to have infringed “don’t relate to the core Android operating system” a spokesperson said.
However, is great news for Microsoft, says Baxter, a Sydney based IP expert, as consumers may ditch Google Android in favour of Microsoft, who luckily for them, are just about to launch Windows 8 Phone on Nokia handsets.
The market also appears to be thinking likewise, and Finnish company’s shares rose as much as 9.6% yesterday.
And Microsoft’s, director of Windows Phone marketing comms, Bill Cox, also feels the same, tweeting:
“Windows Phone is looking gooooood right now,” after the anti-Samsung verdict was handed down Friday.
However, the company did not make any formal comment.
Microsoft have a cross licensing arrangement with Apple in play, so are protected from the wrath of Cupertino’s lawyers.
This agreement allows it to tun more iPhone-like smart features without getting a slap on the wrists, unlike Samsung.
More devices makers like HTC, who it involved in its own litigation saga with Apple may also jump to Windows 8 Phone platform more readily, to avoid further issues, and Samsung are also likely to go to Microsoft platform.
However, the Koreans still have some reputational issues to deal with after the hugely publicised case, and may have to go on a Pr offensive to convince tech consumers they are not copycats.
“Samsung has more than enough money to pay $1.05 billion in damages, so that won’t be a major issue for the company,” said Mark Newman, an analyst at Sanford Bernstein told the Wall Street Journal.
“The verdict’s biggest impact on Samsung is the damage to its reputation and brand imageâ€”mainly in the U.S. but also possibly world-wide.”
Late yesterday Samsung shares fell sharply in South Korea, with analysts saying the company’s big loss in its court battle against Apple increases uncertainty over future products.
Samsung dropped as much as 7.7 percent, headed for the biggest decline since October 24, 2008, to 1,177,000 won (A$99) before trading at 1,187,000 won (A$100) on the Korea Exchange.