Copycats Beware, As Apple vs. Samsung Ruling Sets Precedence

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Apple Inc. (NASDAQ:AAPL) has been awarded with approximately $1 billion for damages against Samsung,  over the long battle between the two technology giants in patents infringements.

Copycats Beware, As Apple vs. Samsung Ruling Sets Precedence

The Ruling

According to a Carolinian jury, Samsung intentionally infringed three Apple software patents with its patents, and two with its smartphones.

The infringed patents included the appearance and features of the iPhone, especially its “rubberbanding”, sleek glass front, scrolling, and grid of colorful, round-cornered apps.

Additionally, Apple Inc. (NASDAQ:AAPL) was also awarded in favor with the verdict concerning its claims that Samsung had also violated the so-called trade dress, that is, how a product looks like.

Samsung’s Reaction

Samsung on the other hand, responded to the ruling by expressing that it will seek an overturn of the verdict, failure to which, it will appeal against the ruling.

The company’s statement highlighted dissatisfaction in the manner in which the case was conducted, claiming that it was unfair to typically grant one company a monopoly in a certain market.

It identified the issue with rounded corners, and software designs as baseless, claiming that other companies were using the same and continuously improving on the designs.

Apple Seeks Injunction

Consequently, Apple Inc. (NASDAQ:AAPL) has moved forward with its endeavors in making sure that Samsung products that infringed its patents are no longer available in the U.S markets.

This likely to give it an advantage over its closest competitor in the tablets/smartphones industry, thereby increasing its market share, albeit marginally. The ban will however, have no impact on the latest Samsung smartphone, Samsung Galaxy SIII.

Apple, Samsung Way Forward

This ruling, sets precedence to many that are bound to come if companies do not learn from it. Nonetheless, there is but one way; every company must make sure that its design is differentiated from the competitors’.

This should spark a wave of innovation in the tablets/smartphones industry, and Samsung will be looking to tap on this strategy in order to sell its patent infringing products within the U.S market.

Meanwhile, Apple’s request for an injunction on supply of Samsung products within the U.S markets has been scheduled for a hearing on September 20th, 2012.

Consequently, other companies deemed to have infringed Apple patents will be on the lookout to settle, before getting to such a stage, as in Samsung’s scenario. Notably, Android is expected to settle up sooner, as competition in software design for smartphones and tablets is expected to take center stage going forward, “No more Copycats”.

Finally, Gene Munster of Piper Jaffray & Co. believes that the Apple, Samsung Lawsuit will amount to nothing more than the monetary value of the amount changing hands.

He claims that this will not interrupt the competition between Apple and Samsung on a global scale, to the extent of changing the current outlook.

Additionally, he maintains that Apple Inc. (NASDAQ:AAPL)’s market share will increase to 32% globally by 2015, as compared to the estimated, 20% in 2012.

The idea behind the maintenance of the status-quo, in terms of trend, is mainly because companies are expected to focus on differentiating their designs from competitors’, and whenever patent infringements occur, it is expected that the resultant impact would be insignificant.

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