A German court has confirmed that Huawei and ZTE infringed digital video coding standards in smartphone and tablets sold in the country, and says the two firms must now recall or destroy gadgets using the unlicensed technology.
US patent legal enforcement organisation MPEG LA claimed the MPEG LA AVC/H.264 Patent Portfolio License had not been complied with as required by the two vendors, which was previously accepted by the German District court in Dusseldorf in November.
The two companies had appealed that judgement, but the court has rejected their claim and has now enforced its verdict, which requires the two firms to stop selling the products in question across Germany.
The AVC/H.264 Standard (which covers MPEG-4 Part 10) is available on license to both vendors, but the two companies have so far refused to pay for licenses.
“Although the failure to be licensed has made these enforcements necessary, taking a license under the AVC patents would easily remedy it, and we continue to welcome Huawei and ZTE to do so,” said Larry Horn, president and CEO of MPEG LA.
Huawei and ZTE must now “cease and desist” from offering in Germany AVC/H.264-compliant devices, such as smartphones and tablets, that use the enforced patents. In addition, all such products in their possession or the possession of third parties must be recalled and destroyed.
Validity cases related to the patents in the lawsuit, brought by Huawei and ZTE, are pending before the Federal Patent Court in Munich, Germany. But the Dusseldorf district court refused to set aside enforcement before that case is heard in the new year.
