According to Bloomberg, Samsung has filed a complaint with the International Trade Commission (ITC), demanding that U.S. imports of Ericsson's 5G base stations be blocked. Just a week earlier, Ericsson had submitted its request to the ITC, demanding that the U.S. import of Samsung phones, tablets, and TVs be blocked. At the heart of this conflict is the battle over patent licensing agreements that have come to be renewed.
Samsung argues that Ericsson's base stations, which connect mobile phone users to the network, use equipment patented by Samsung. Both companies are waiting to see if a court in Texas or Wuhan will decide on the fees Samsung paid for using Ericsson's 4G and 5G inventions, which are covered by standard basic patents. These are patents that the manufacturer must license for the product to comply with the technical standard. The prices charged for the use of these patents must be determined on a fair, reasonable, and non-discriminatory basis (FRAND).
Both companies have patents that the other needs. Ericsson says it owes it money because it has more telecom patents than Samsung, while the South Korean company has more devices that require licensing of Ericsson patents. If both companies can’t reach a licensing agreement, Ericsson could end up pulling the thick end. Samsung is still the world's largest manufacturer of smartphones.
Samsung says it is unfair to allow Ericsson to use its patents because it operates in the US, where Samsung has yet to establish its base station business. Ericsson filed a new lawsuit against Samsung on January 1, and Samsung filed a lawsuit against Ericsson for violating patent agreements in response.
Source: Phone Arena