Apple vs. Samsung Patent Lawsuit: Yale Professor Claims Apple Patents Not Worth Billions But $38 Million
The Apple vs. Samsung patent infringement trial from San Jose, Calif. continued with the South Korean-based company claiming Apple's alleged-infringed patents are not worth billions of dollars.
According to Yale University School of Management Professor of economics and finance Judith Chevalier, speaking as a Samsung expert witness, stated her calculations of royalty rates came out to 35 cents per patent for every infringing device. Chevalier noted if a one-time payment were made to Apple, Samsung would pay approximately $38.4 million for the 37 million infringed devices.
"My analysis compensates Apple through a reasonable royalty and...I have determined Apple has not lost sales as a result of Samsung's practice of the patents," said Chevalier, via CNET, while noting she did not include damages for lost profits.
Chevalier's projections are low compared to Apple's arguments that Samsung owes the iPhone company $2.19 billion for the five infringed patents, which equated to nearly $40 per alleged-infringed Samsung device.
"We have to conclude that the differences in profitability across these products is being driven by something else other than the practice of these patents," said Chevalier. "The value created by these products is really negligible."
Apple attorney Bill Lee was quick to dismiss Chevalier's calculation methods. He questioned why she didn't believe Apple deserve any of the lost profits as well as the use of customer reviews in her evaluation. In one of Chevalier's evaluations, she quoted a customer review from an iPhone owner who said "Seerei" used a gun and shot him.
After Chevalier's testimony, Samsung rested its defense case and continued to call witnesses for its counter lawsuit against Apple. Samsung, in its countersuit, claims Apple infringed two of its patents and wants $7 million in damages.
The second patent infringement trial follows the August 2012 verdict when a jury awarded Apple over $1 billion in damages against Samsung. U.S. District Court Judge Lucy Koh would later reduce the financial damages to $929.8 million. Judge Koh is also presiding the second patent trial. The five patents Apple claimed Samsung infringed include autocomplete, data synchronization, phone-number tapping, slide to unlock, and search functions.
As Latin Post reported, Apple CEO Tim Cook met with Samsung CEO JK Shin for a mediation session with the hope to avoid the March trial. The mediation session, reportedly held in early February, resulted in no agreements.
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