Tuesday 12 August 2014

Apple VS Samsung: An End of the Never Ending War

Apple VS Samsung
The never resolving issue between the Smartphone giants Apple Inc. and Samsung electronics comes to a final closurewhere both the companies decide to give a rest to all the charges against each other in the countries outside US. What seemed to be a far-fetched idea that these litigations will continue was resolved much quicker that it was anticipated. This will bring peace in the economy of the countries like Australia, France, Japan, Italy, South Korea, Netherlands and United Kingdom.

Issues leading to the Dispute: 

The beginning of the economic dispute was started back in 2011 between the millionaire companies Apple Inc. and Samsung, when both the companies started accusing and backstabbing each other for their technologies being used. There might be various reasons behind it, but the major premonitions were the copying of each other’s technologies without permission. Apple blamed Samsung for the use of their iPhone design while Samsung blamed Apple for using their wireless-transmission technology and the camera’s system design.

The dispute intensified to a global scale when Apple blamed Samsung – the Korean electronics giants have copied certain features, thereby producing damage for them worth estimated to be $1 billion.
Apple Inc. and Samsung are holding the flags of the Smartphone market and they have tried to block each other’s sales in different countries in the past years, an unfair mean to gain popularity, and trying to be the dominated leader in the revolutionized electronics market.

The Rise and Downfall of Economy of the Giants: 

Both the giants Apple and Samsung in order to glorify the dispute have drained millions of dollars to raise a battalion of lawyers to commence the proceedings of the cases. This has caused a huge economic shortfall in the countries like UK, Netherlands, and France etc. where the disputes have been put to an end.

Sparks started in the federal court in San Jose, California where Apple won victories in two verdicts worth $930 million in 2012 and $120 million in 2014.However, the last trial was embarrassing for Apple since they received far less than they expected.

Economists and Lawyers find the situation deeply intriguing. Law professor of Villanova University, Pennsylvania Michael Risch considers the situation to be just a precursor of the commencement of the next skirmish. He considers that the end of litigations is just a pause of the law battles.

Business Breakdown of the Giants: 

Samsung targeted for the economically backward countries so as to gain maximum profit of their inputs. Samsung shipped 74.5 million smartphones in the 2nd quarter of the previous year thereby claiming 25% of the market share. Apple however shipped only 35.2 million smartphones thus claimed only 12% of the market shares. This huge setback for Apple made it furious enough to sue a charge against Samsung.

However, both the firms have dropped their charges against each other in May 2014 to stop the patent-infringement dispute. But they didn’t agree to cross-license each other’s patent. Rockstar Consortium backed Apple while Google, HTC, Morotola backed Samsung in the case of infringement of Android-related patent products.

The final verdict was passed on 6th August 2014 and both the Smartphone giants Apple Inc. and Samsung close their dispute outside USA.

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