Bonum Certa Men Certa

'Nokification' in Hong Kong and China (PRC)

Nokia firing people
Picture by Or Cohen



Summary: Chinese firms that are struggling resort to patent litigation, in effect repeating the same misguided trajectories which became so notorious in Western nations because they act as a form of taxation, discouraging actual innovation

LAST week we wrote about how Coolpad had resorted to litigation using patents. Months prior we took note of this strategy, which basically revolved around the idea of leveraging patents rather than products. IAM, the patent trolls' lobby, says about Coolpad that "its patent portfolio is largely unproven" (not to mention small compared to that of companies it takes on ). To quote:



Earlier this year, Coolpad filed a number of Chinese patent infringement complaints against Xiaomi. IAM reported these stories largely based on local media accounts. But last week Coolpad sought to ramp up the pressure by ensuring that the story, and key details about the accused Xiaomi products, reached the global financial press in the run-up to Xiaomi’s potential $10 billion Hong Kong IPO. On 10th May, one week after Xiaomi announced its flotation plans, Coolpad held a press conference in Hong Kong to update the media on its dispute with Xiaomi.


If Coolpad is attempting to build a business on top of litigation, then it won't go very far. The company is already in the red and it seems to be struggling, unlike Xiaomi.

"If Coolpad is attempting to build a business on top of litigation, then it won't go very far. The company is already in the red and it seems to be struggling, unlike Xiaomi."There are similar companies in the West. After Microsoft entryism, for example, Nokia is like a patent troll using or merely exploiting standards bodies as Trojan horses. No doubt Nokia used to make stuff. Now it's mostly "licensing" (the brand, patents etc.) and IAM quotes Soininen of Nokia as saying: "The reason for me to put the results of my R&D into a standard is because I have a patent and I know that I can get a fair and reasonable return on it..."

That's just misuse of those "FRAND" euphemisms, "fair" and "reasonable" (more like SEP). IAM later wrote this article about these "fair" and "reasonable" patents:

An exclusive new study commissioned by IAM has revealed that Nokia’s merger with Alcatel-Lucent means it is now one of the leading players in the Internet of Things (IoT) domain. However, Samsung has the dominant position in the field, with second-place Qualcomm a long way behind. Last year, IP analytics platform Relecura produced research examining the IoT landscape from a patent perspective. Using an IAM-commissioned updated report and additional data from IP platform ktMINE, we inspect the current state of the IoT sector.


A lot of these 'IoT' patents (not all) are reducible to software and would thus be invalid in Western courts. Not so in China, which officially permits software patents. But according to Jacob Schindler from IAM, those relying on the possibility of dragging Chinese companies into US courts and in for a surprise:

There are a host of challenges when it comes to trying to assert US patents against a Chinese legal entity. A recent court filing by Dutch telecom KPN, which is suing Oppo, Vivo and OnePlus in the District of Delaware, underlines what looks to be a new normal: it may be two years before a defendant domiciled in China can even be served process.

There is only one way to serve process to an entity in China: the Hague Service Convention’s Article 5 procedure. That means going through a national central authority, which in the case of China is the Ministry of Justice. China formally objects to the service of process by private individuals as well as service of process by mail – so there is no getting around the central government.

[...]

KPN launched 11 patent assertions in January 2017, including the one against Oppo, Vivo and OnePlus. Another of those cases targetted Shenzhen-based TCL. But importantly, TCL has US subsidiaries which KPN was able to name in that complaint.

The TCL case proceeded fairly quickly. On 22nd March 2018, Judge Stark knocked out the sole patent-in-suit, US 6,212,662 (“Method and devices for the transmission of data with transmission error checking”), on Section 101 grounds. The ‘662 patent is also the only patent asserted against Oppo, Vivo and OnePlus. KPN has appealed to the circuit court.


Notice the use of Section 101 -- a subject we shall tackle separately later today. Much/many of these lawsuits are fool's errand; many of today's granted patents are dubious at best.

Recent Techrights' Posts

It's Hard to Trust People Who Worked - Not Only Those Who Still Work - at Microsoft
Bryan Lunduke is just what people would call an "arsehole of a person"
Links 06/07/2025: Climate Change and "The Right to Criticise"
Links for the day
The Mainstream Media Took 4 Days to Realise Microsoft Shut Down Its Operations in Pakistan and Fired Everybody
We estimate that Microsoft has had about 29,000 layoffs since January
“Twibel” Actions Against Comedians (and Why It's a Truly Low Blow)
they try to make up in quantities for a lack of merit or quality
 
Links 06/07/2025: Airlines Perils, Scams, and Breaches
Links for the day
Two Risks to Companies: The Microsoft Culture and the Microsoft Tools
Novell was killed by a form of "social engineering" by Microsoft
For the Second Time, Bryan Lunduke From Microsoft is Siccing Racist Trolls and Vandals at Me
You're only reinforcing the point we made yesterday
Links 06/07/2025: End to End Encryption at Risk, Reuters Twitter ("X") Account Withheld in India
Links for the day
Gemini Links 06/07/2025: Tinylog and Certification Rotation
Links for the day
PCLinuxOS Sites Coming Back, Gradually
let's just be patient
Social Control Media, Even If Based on Free Software, Still Has Many Problems
a distraction from what actually mattered and still matters
IBM is Not Your Master
IBM makes friends with people who exclude the majority of the population: women
Help Fund the Free Software Foundation (FSF)
If you have some dollars to spare, go support the FSF
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, July 05, 2025
IRC logs for Saturday, July 05, 2025
A Short History of Attacks on Techrights (and Boycott Novell Before That)
good opportunity to tell again the story of several (not all) attempts to silence us
Leadership in Free Software
Don't let IBM lead. It's a terrible flag bearer.
Linux Foundation Apparently Flirting With Slop (Marketing by LLM-Generated SPAM)
The Web is in a really bad state!
COVID-19 Sped Up Site Improvements in Techrights
A few months later we created our very own IRC network
Gemini Links 05/07/2025: Negative Questions and 'Touching Grass' (Going Outside)
Links for the day
Links 05/07/2025: Dalai Lama Succession as 90th Birthday Approaches, 40 deg C in China
Links for the day
Links 05/07/2025: Hungary and US Defecting to Russia, "Google's Hotseat Hypocrisy"
Links for the day
Gemini Links 05/07/2025: 4th of July 2025 and "Zig Roadmap 2026"
Links for the day
How to Combat the Exploitation and Abuse by Microsoft GitHub
Not to mention corruption and crimes against women
Bryan Lunduke is Actually Sending His Audience to Attack People
"[Lunduke] is actually sending his audience to attack people."
Even The Right Wing is Rejecting Bryan Lunduke
no wonder he became so irrelevant and marginal
Microsoft's MSN Helps Microsoft Spread Lies About the Layoffs' Scale (Well Over 25,000 People Laid Off This Year)
There seem to be monopolies on lies and on truth
The Death of X Has Been Greatly Exaggerated (by Compromised Media)
X.Org Server is alive and well
Rewriting Things in Rust
How far would you go?
In 2025 Everything is "AI". Remember Blockchains?
Talk about what companies and things (services, products, software) actually do, not the labels they use
Julian Assange Has Been Free for a Year
Julian Assange and I disagreed on some things
Monopolies and Scalping
Monopolies gravitate towards price hikes
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, July 04, 2025
IRC logs for Friday, July 04, 2025
Microsoft's August Layoffs Wave: "August is Confirmed for Additional Performance Based Cuts"
"August is confirmed for additional performance based cuts from the recent connects along with additional organizational cuts."
What Microsoft Reputation Laundering (With a Weaponised Law Degree) Looks Like in a Foreign Continent
You would expect this in uncivilised and primitive countries
Slopwatch: LLMs 'Write' Fake or Distorted 'News' About "Linux"
LLM slop disguised as news
Links 04/07/2025: Google Replaces the Web With Slop, "AI Might Kill Us All"
Links for the day
Gemini Links 04/07/2025: Mindfulness and F1
Links for the day
Weeks After Microsoft Bankruptcy in Russia the Company Shuts Down in Pakistan, Too
Last month Windows' share in Pakistan fell to an all-time low
Rob Musial's June 2025 Additions of Malware in Proprietary Software
Via the GNU Web site this week
Links 04/07/2025: Microsoft's H-1B Visa Applications Show Another Crisis Unfolding, Many More Deep Cuts and Shutdowns Revealed, Complete Microsoft Exits
Links for the day
Gemini Links 04/07/2025: A Day To Remember and "Stop Killing Games"
Links for the day
Crime and Corruption at Microsoft GitHub Cannot be Covered Up by SLAPPs in Another Continent
We'll write about this for a long time to come
Slop Videos Are Disappointing Garbage, Nothing New, Just Brute Force up on Display or a Pedestal of Slop
Slop videos aren't a new thing
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, July 03, 2025
IRC logs for Thursday, July 03, 2025
The War on Local Storage (People Hosting Their Files Locally and Privately)
There's nothing wrong with controlling one's computing
What Digital Independence Means
Independence in the digital realms means abandoning platforms like GitHub, not just rejecting proprietary software
NVidia is a Bubble
they temporarily see fortunes and wrongly assume perpetuity thereof
Fedora Does Not Care About Diversity and Inclusion, It's About Optics (Corporate Image)
any notion of inclusion is superficial and misleading
Don't Buy the Excuses for Microsoft's Mass Layoffs
Back in the 90s, Microsoft bought a lot of companies to get and stay ahead