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Rumor: PS3 US Shipments Now on the Verge of Being Seized

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199w ago - As a follow-up to our previous article on PS3 EU shipments being seized as a result of an LG injunction, today GamersDailyNews.com (linked above) reports that PlayStation 3 US shipments are also be on the verge of being seized.

To quote: "In the US, the International Trade Commission has agreed to look into the matter. Four patents are included in complaint and they cover both the PS3 and certain Bravia televisions.

LG is asking to ban sale of the devices in the US market which could provide extremely detrimental to Sony’s bottom line. While this is most likely a scare tactic to get Sony to settle, their injunction win in the EU seems to have emboldened LG and seems there is some truth to their claims.

The ITC is known to take its time in getting round to things and this could see a decision in 16-18 months according to Foss Patents, who also alerted GDN to the ITC vote to look into the complaints. Thank you Florian.

According to [Register or Login to view links]: The ITC just announced that it voted to look into both complaints in one consolidated investigation. The new investigation number is 337-TA-764. As the ITC pointed out, this is just the launch of an investigation - not a decision on the merits of the complaints. The ITC previously also voted to investigate a Sony complaint against LG, as I reported a month ago. I haven’t seen any case in which a complaint lodged by one major company against another would have been dismissed at this early stage.

The USITC will make a final determination in the investigation at the earliest practicable time. Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation. USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

The filings cite the following companies: Sony Corporation of Japan, New York City-based Sony Corporation of America, and Sony Electronics, Inc. of San Diego, California.

The PS3 complaint also includes: Sony Computer Entertainment, Inc. ("SCE") of Japan and Sony Computer Entertainment America, LLC ("SCEA") which are already under investigation by the ITC for patent infringement.

The two companies really seem to dislike each other as they are already fighting over smartphones that Sony alleged LG is using their patented tech in.

Florian Mueller states that the EU ban is only for the Netherlands, which is the main entry point for imports to the continent and that Sony could easily slip past it in his [Register or Login to view links] article.

Patent solicitor Michael Coyle, of law firm Lawdit, told the BBC, "It [LG] will have to pay an astonishing amount of money if a judge rules that its patent is invalid. When a firm seeks to have goods seized they make an undertaking to pay for storage and compensation."

Then again, if it is valid, Sony would have a hefty fee to pay as VGChartz estimates 48.2 million PS3s sold to date worldwide. That would be a lot of backed up royalties to have to pay. I couldn’t find any numbers of sales for the Bravia televisions. Sooner or later the companies will probably settle this with one paying the other some fairly large amount of money. Since Sony is suing LG over smartphones they might get a smaller settlement for that and end up paying LG if all the patents hold up. LG sold 7 million smartphones in 2010 and 4 million in 2009 according to [Register or Login to view links]."

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Comments 35 Comments - Go to Forum Thread »

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#35 - saviour07 - 198w ago
saviour07's Avatar
I did say that initially...

#34 - barrybarryk - 198w ago
barrybarryk's Avatar
lol ban the console? do you guys even listen to your selves?

This kind of think happens all the time, its just your normal run of the mill patent dispute. Nothing is going to happen at all that affects consumers

#33 - saviour07 - 198w ago
saviour07's Avatar
I don't mind answering questions, even if you are being sarcastic about it. After thinking about both questions, I don't think they are mutually exclusive and can be answered in the same breathe...

The fact is that just because a console is hacked doesn't mean that 100% of people who buy that console will actually hack it or even pirate games for it, so developers will continue to make games for profit.
I don't believe piracy kills a consoles life and so dev's are going to continue to work with it until it becomes unprofitable - think psp.

The point I was making though is that "wishing doom" on Sony and hoping that these seizures stick will affect all consumers because if there is no PS3's being sold (or the console is banned entirely) then why would developers want to make games for it, and even those that choose to will not make it to a standard of quality such as Metal Gear 4, Killzone 2/3, Uncharted etc.

I don't expect game developers to move profession because of console's being hacked or PC games being bypassed, but I don't expect them to make a quality game for that platform once it has been hacked for a smaller profit - and I think that kind of questioning displays the same narrow mindedness and quite possibly lack of common sense when it comes to an issue where there isn't a definitive answer.

#32 - croft72 - 198w ago
croft72's Avatar
First of all you are barking up the wrong tree. I was stating the way I felt about their way of handling last year's situation. Ever since the Super NES days I have always been one to purchase US, UK or Japanese games or systems and still do with my hard earned money. I own a Japanese 60gig PS3 that is not modified in any way.

I understand what you were saying about seeing all of this from Sony's side as well as the consumer's side. The thought running Linux on the PS3 was an awesome idea to me so when they decided to remove it then of course I wasn't pleased especially since I payed $600 for the system at launch.

If 90% of the people all have JB PS3's then I'm part of the 10% who don't. The reason I've been visiting this site since 2006 is because its always been on top of everything for games and systems more than many other sites would. Whether it was covering news about legit or modified subject matter for any of these consoles I was and still do find it interesting. I am not trying to make an argument or conflict about this.

#31 - GrandpaHomer - 198w ago
GrandpaHomer's Avatar
Ok - so can you tell us / explain:

1. How come there are still new games being developed (and most of all SOLD in large numbers) for all other ages ago hacked consoles (not even mentioning PCs)?

2. Where exactly do you expect to Developers to move to as there is NO other (widely spred) gaming platform (both console and PC / MAC) not being hacked? Or do you expect them to move to another profession??

Quote Originally Posted by saviour07 View Post
Sony relies on other companys (read: Developers) to make money and keep that product successful

Ever heard of In House development / 1st party games?

Indeed - not every game is developed like that but a sizeable amount of top titles is and after that other developers will jump on the bandwagon (or simply stay) anyway.


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