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Photo=Samsung Display |
[Alpha Biz= Kim Jisun] Samsung Display has won a patent infringement lawsuit against the Chinese display company BOE at the U.S. International Trade Commission (ITC). This victory is seen as a successful defense against attempts to expand market share through technology theft, as Chinese companies are rapidly catching up to domestic firms in the display market.
According to industry sources on Thursday, the ITC concluded on March 19 (local time) that BOE had illegally used three of Samsung Display's patents and four additional patents from U.S. component wholesalers. This ruling echoed the preliminary decision made in November of last year, which acknowledged BOE's patent infringement.
This decision comes more than two years after Samsung Display filed the patent infringement case with the ITC in December 2022. The ITC did not impose a ban on the import and sale of BOE products in the U.S., as it determined that the patent infringement by BOE did not have a negative impact on the U.S. display industry.
Industry insiders consider the ruling significant because it recognizes the patent infringement by a Chinese company. Domestic companies are already under pressure in the LCD market due to Chinese companies' aggressive low-cost strategies, and they are now facing similar threats in the OLED market as Chinese companies rapidly close the gap.
According to market research firm UBI Research, in the small OLED market for smartphones and other devices, Chinese panel makers such as TCL CSOT, Tianma, Visionox, and Everdisplay saw their shipments increase by more than 50% last year compared to the previous year. Chinese display companies are also accelerating the construction of next-generation 8.6-generation OLED production lines for tablets and other IT devices.
Given these circumstances, there is a strong push to maintain leadership in next-generation display technologies, including OLED, to protect premium technologies. Since the competition with BOE over OLED technology intensified in 2022, Samsung Display has been filing a significant number of display-related patents in China to protect its technological assets. As of the end of last year, Samsung Display had registered 21,300 patents in China, a 30.7% increase from the 16,300 patents it registered in 2022.
Meanwhile, there are expectations that this ruling will positively affect the remaining lawsuits between Samsung Display and BOE. Both companies are awaiting the results of patent infringement lawsuits in the U.S. Eastern District Court of Texas and patent invalidation trials at the Patent Trial and Appeal Board.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
