WIRELESS PATENT WARS HEAT UP

[Metropolitanjury]

The latest round in the ongoing wireless patent wars has been won by Samsung Electronics against InterDigital in patent proceedings before the U.S. International Trade Commission.

The ITC staff recommendation that favored Samsung was issued this week and it was enough to send InterDigital's stock into a plunge.

In a statement, InterDigital said the U.S. ITC staff recommended that Samsung, the world's No. 2 mobile handset maker, did not engage in unfair
trade practices related to third-generation mobile technology, the Reuters news service reported. The recommendation is nonbinding.

A final initial determination is expected to be issued by an administrative law judge handling the case by Nov. 25. The commission isn't expected to issue a final ruling until next year.

Earlier in the month, InterDigital, which holds more than 3,000 patents, agreed with Nokia to drop their litigation in U.K. courts. InterDigital has argued that its patents are central to the emerging generation of smartphones.

The mobile phone industry has been racked by waves of patent litigation cases, with Qualcomm and InterDigital making the biggest waves.
InterDigital explains its position on its Web site as follows: "Our know-how and inventions reach across virtually all mobile and wireless devices. InterDigital holds over 3,000 U.S. and foreign-issued patents combined. In addition, we have nearly 9,000 patent applications in process. Our success in increasing the pace and breadth of our innovation business reflects our fundamental commitment to remain an industry leader in the creation of pioneering wireless technologies."

The main event -- a showdown between Qualcomm and Nokia -- is scheduled to get under way later this month in Delaware Chancery Court. Qualcomm, which pioneered many developments in the wireless industry, has generally been the litigation instigator, but Nokia maintains that it has developed important intellectual property in recent years.

With a flood of IP litigation clogging up the courts -- and slowing the introduction of innovative products, in the opinion of some -- a group of large high-tech firms has banded together to attempt to find solutions to slow the flow of patent litigation. The group has been led by Cisco, Google, Hewlett-Packard, Motorola, Sun Microsystems, Ericsson, and Verizon Communications.

By Ms.Bobby Aanand, Metropolitan Jury.