Samsung Electronics has signed an agreement with Google to
cross-license their patents, reducing the risk of costly legal disputes
over intellectual property and likely fostering greater collaborate
between the two tech giants.
Seoul-based Samsung said Monday that the deal covers patents to be
filed over the next 10 years as well as existing patents. Financial
terms were not disclosed.
Allen Lo, a deputy general counsel at Google, said in a statement
that the deal allows the two to reduce the potential for litigation and
to focus on innovation.
Samsung said it also paves the way for deeper collaboration on
research and development for Samsung and Google. The two already
collaborate on smartphones and televisions.
The announcement means there will be a higher possibility for Samsung
to participate in Google's key projects as a hardware partner, said
Chung Chang-won, an analyst at Nomura Financial Investment.
Chung picked wearable PCs, which connect everyday objects such as
glasses to wireless networks, and Google's self-driving cars as the
products that Samsung could join forces on with Google.
Samsung is the world's largest maker of popular consumer electronics
such as smartphones and televisions, and key tech components such as
memory chips for mobile phones and PCs.
Google, the world's largest search company and maker of the most used
mobile operating system, Android, has been moving to acquire hardware
manufacturers such as Motorola Mobility and Nest Labs.
Tech companies often use litigation to stop rivals from using patents
without permission but many of the disputes end in cross-licensing
agreements outside court.
Samsung, maker of Android-powered Galaxy devices, is in legal fights
with Apple. CEOs of Samsung and Apple are scheduled to meet next month
to give a try at settlement per US court's request.
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