Ericson world's largest manufacturer telecom equipment has sued Indian handset maker Micromax. for patent infringement over wireless technology standards such as 2G, 3G and Edge technology. Times of India reports that the domestic mobile manufacturer has been slapped a hefty 100 crore law suite.
Economic Times reports that, Delhi High Court has ordered Micromax to pay between 1.25% and 2% of sale price of the disputed devices as a deposit to the court. The court has also allowed Ericsson executives to join customs officials in inspecting consignments to check for devices violating its patents
"Indian courts respond swiftly and with speed, if a strong case is made out. This case marks the arrival of big ticket patent litigation in India," said Ericsson's counsel Pratibha Singh.
The disputed handsets and tablets of Micromax include select models from its popular Ninja series, Funbook Talk, and the Canvas 2 series.
"Micromax is committed to negotiating a FRAND license with Ericsson as has Ericsson undertaken to providing a Fair Reasonable and Non-Discriminatory (FRAND) license to Micromax. Since the matter is pending before the Hon'ble court it would be incorrect for Micromax to make any further statements on the matter" said Micromax in a press statement.
There is news that Ericson is in plans to take legal action against few other local companies including Lava, Spice, Karbonn and Intex Technologies, as well. If this is to happen, it might have a huge impact on handset market in Inda, as low-cost handsets my no longer be that low-cost .