Regulatory News South Africa

LG pledges action against patent suit by Sony

SEOUL, SOUTH KOREA: LG Electronics said on Thursday, 30 December 2010, it would "actively respond" to a lawsuit filed by Japan's Sony that seeks to block mobile phone shipments to the United States by the South Korean firm.

Sony has filed a patent infringement complaint claiming LG's mobile phones sold in the United States had used its technologies without permission.

LG, the world's third-largest mobile phone maker, said it would take action after reviewing the technologies.

Spokeswoman Na Joo-Young said: "Based on results of our review, we will take action and actively respond" to Sony's move.

Ban imports

Sony has filed a complaint with the US International Trade Commission, which can ban imports of products found to violate US patents, and also with a federal court in Los Angeles, which has the power to impose fines.

Sony's mobile phone joint venture, Sony Ericsson Mobile Communications, is the world's sixth-largest mobile phone maker.

Sony is also the world's third-largest TV maker.

LG's mobile phone business has been under heavy pressure due to its slow response to the fast-growing popularity of smartphones.

Chief executive Nam Yong resigned in September after the mobile phone business stumbled.

LG's third-quarter net profit plunged 99% year-on-year to 7.57 billion won (US$6.6 million).

Source: I-Net Bridge

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