Toshiba Sues Memorex, Daewoo, jWin, Others for DVD Patent Infringement
By Chris Boylan
You ever wonder how some no-name (and even some brand name) manufacturers are able to make and sell DVD players and recorders for next to nothing? Well if the allegations in a lawsuit by Toshiba Corporation are true, it's probably got a lot to do with seventeen companies in the U.S., China and Hong Kong who have been manufacturing and distributing DVD players without formally licensing the DVD technology from Toshiba.
Apparently Toshiba holds many of the basic patents involved in creating the DVD format. In order to make a DVD player, a manufacturer is supposed to pay a royalty to patent holders - a licensing fee to utilize the technology. Toshiba alleges that 17 companies, notably Memcorp (owners of the Memorex brand), jWin, and Daewoo in the United States as well as several companies and subsidiaries in China and Hong Kong, have ben manufacturing and selling so-called "DVD players" without a license to do so.
So before you pick up that ultra-cheap DVD player or recorder at your local Target, why not consider a Sony, Pioneer, or dare I say, a Toshiba, instead?
Full Press Release included below.
Toshiba Seeks Remedies for Infringement of Essential DVD Patents in U.S. Through Complaints to the ITC and in Federal District Court
TOKYO--Toshiba Corporation announced today that on April 6, 2007, Toshiba and Toshiba America Consumer Products, L.L.C. filed a formal complaint with the International Trade Commission (ITC) against 17 manufacturers and importers of DVD players, DVD recorders and other DVD-related products, as a means to halt infringement of Toshiba's DVD patents. Toshiba's filing requests that the ITC prohibit the importation into the United States of DVD players, DVD recorders and other DVD-related products by the companies named in the complaint. In a related move, Toshiba also filed suit in the United States District Court for the Northern District of California on the same day, seeking damages resulting from infringement of Toshiba's DVD patents by the same 17 companies.
Toshiba licenses patents essential for meeting DVD format specifications.1 The 17 companies named in the complaint and the lawsuit do not have license agreements with Toshiba or the DVD6C Licensing Group2, and have engaged in the importation and sale of DVD products without permission. The infringement of Toshiba's patents by these companies has damaged Toshiba's DVD-related business, and also caused damage to the legitimate and licensed DVD product manufacturing and distribution business as a whole. Through the filing of the ITC complaint and the district court lawsuit, Toshiba seeks to exclude infringing imports, recover monetary damages, and secure agreements to respect Toshiba's intellectual property rights in the future.
1 DVD format specifications are standards adopted by the DVD Forum.
2 The DVD6C Licensing Group (DVD6C) is an industry body representing nine leading developers of DVD technology and formats that licenses essential DVD patents. For further information on the DVD6C Licensing Group, please see http://www.dvd6cla.com/.
Complaint to the ITC
1. Date of filing: April 6, 2007
2. Filed with: United States International Trade Commission
3. Filed by: Toshiba Corporation and Toshiba America Consumer Products, L.L.C.
4. Filed against 17 companies, as follow:
Daewoo Electronics America, Inc. (U.S.), Dongguan GVG Digital Technology Ltd. (China), Dongguan Tonic Electronics Co., Ltd. (China), Dongguan Xin Lian Digital Technology Co. Ltd. (China), GVG Digital Technology Holdings Ltd. (HK), jWIN Electronics Corporation (U.S.), Memcorp Inc. (U.S.), Star Light Electronics Co. Ltd. (Hong Kong), Starlight International Holdings Limited (Hong Kong), Starlight Marketing (HK) Ltd. (Hong Kong), Tonic Digital Products Limited (Hong Kong), Tonic DVB Marketing Ltd. (China), Tonic Electronics Limited (Hong Kong), Tonic Industries Holdings Limited (Hong Kong), Tonic Technology (HK) Limited (Hong Kong), Tonic Technology (Shenzhen) Ltd. (China), Tonic Trading Development Ltd. (Hong Kong)
5. Products: DVD players, DVD recorders, other DVD-related products
6. Scope of Complaint: To prohibit importation to the United States of the named products and to prevent distribution of such products imported previously.
Lawsuit for the infringement of Toshiba's DVD patents
1. Date of filing: April 6, 2007
2. Filed with: United States District Court for the Northern District of California
3. Plaintiff: Toshiba Corporation
4. Filed against: the same 17 companies named in the complaint to the ITC
5. Products: DVD players, DVD recorders, and other DVD-related products
6. Scope of Complaint: Seeks monetary damages and seeks an injunction to prohibit production, import, sales or other disposal or use of the named products in the United States.
Contacts
Toshiba Corporation
Corporate Communications Office
Yuko Sugahara, +81-3-3457-2105
Fax: +81-3-5444-9202
http://www.toshiba.co.jp/contact/media.htm