Although the sale of North American sales back in terms of Sharp did not show some of the way, contrary to the spirit of the contract, but because of its technical strength, Hisense had to fall into a passive situation
Hisense Electric (600060.SH) and Japan's recent fate of home appliance business is really deep.Recently announced the acquisition of Toshiba's TV business recently, immediately with Sharp on court.
On November 29, the Beijing Intellectual Property Court published a news on Hisense Electronics suing Sharp for infringing patents on its WeChat public address 'Beijing Zhicheng.'
It is said that recently, Beijing Intellectual Property Court accepted the case of Hisense v. Sharp against the patent infringement case.
Appliance industry experts Liang Zhenpeng told the "Investor Report": 'frequent litigation, reflecting the intense competition between the two sides, Sharp to compete for greater market share, the hands of North American sales must be returned from Hisense, and Hisense off Panel, which makes Hisense seem passive.Hisense is relatively weak in technology, the panel has also been relying on Sharp, so the lawsuit against even if the outcome may also be of little success.After all, the key technology, Shanghai Hisense or subject to competitors.
From allies to 'love and kill'
Hisense launched the patent involved mainly 'a backlight control methods and devices and LED TV' and 'backlight drive circuit and television' and other two patents, and are in the period of validity. Hisense's pleadings require the court to order Sharp Stop infringing its patent right immediately, stop manufacturing and selling, promise to sell infringing products, and destroy infringing products.
Hisense said in the indictment that Sharp LCD Co., Ltd. and its affiliates, including LCD-60SU860A, manufactured and promised sales and sales of nine LCD TVs that fall into the scope of protection of the patent involved in the patent, constitute our patent Pursuant to which the court ordered the defendant to immediately stop the infringement and demanded that Sharp Commercial Company, Nanjing Sharp Company and Sharp Technology Company jointly compensate Hisense Corporation for the economic loss of RMB 1,000 Million.
In response, Sharp November 30 said in a statement that Sharp Group actively respond to and has Hisense patent invalid.
Before Sharp was acquired by Foxconn, Hisense was more like Sharp's ally, who had helped while the latter was in trouble. Now that Sharp has slowed down, the plot between the two has turned into a "love and kill" painting wind.
According to public information, Sharp's loss of 223.2 billion yen (about 13.1 billion yuan) as of March 2015 fiscal year, has been insolvent, while Sharp had to 2012 fiscal year (as of March 2013) had After a two-year loss, the eventual loss totaled more than 900 billion yen (about 53.1 billion yuan). Although the first full-year final profit for three years was realized in FY 2013 (as of March 2014), overall, Look, Sharp's economic situation is not satisfactory, facing bankruptcy crisis.
It was under such circumstances that Hisense acquired the entire share capital and assets of Sharp's Mexican plant in July 2015 and obtained a five-year right to use SHARP's trademarks on the Americas other than Brazil, according to the agreement between Hisense and Sharp, Sharp North American brand of time for the January 6, 2016 to January 5, 2021. After Hisense took over, Sharp's business in North America steadily improved.
On the other hand, Hon Hai Group acquired Sharp for 700 billion yen (about 41.3 billion yuan) in early 2016. After being acquired by Hon Hai, Sharp's performance gradually improved and profit was achieved in FY16, with Hon Hai and Sharp also plans to In the United States set up the LCD panel factory, to regain access to the North American market, Sharp brand rights, in order to open up the North American sales of the 'sea of ??'.
As a result, the rift between Hisense and Sharp appeared.
Scramble for North American sales
After being acquired by Foxconn, Sharp changed the relationship between the past and Hisense cooperation, a strong call for the termination of brand North America.
Last October, Sharp President Dai Zhengwu had visited Hisense, claiming to recall the Sharp brand, but was rejected.After that, Dai Zhengwu announced that it will be under the support of Hon Hai, to take devastating action to make Hisense Sharp brand Returned to Sharp, after the 'sabotage' after another cease supply of screen to Hisense, the United States in breach of contract to Hisense channel goods, send a letter to Hisense unilaterally request the cessation of the contract.
All this did not let Hisense step backward, followed by Sharp's escalation of action, in June this year, Sharp has in New York, California, the United States filed a lawsuit against Hisense, said Hisense alleged abuse of Sharp brand sales of low-end products, thereby undermining Sharp's trademark rights . Asked Hisense to discontinue the use of Sharp brand, Sharp and then Undo emergency revocation of its lawsuit in New York, and later in California Court amended its petition, claiming 100 million US dollars; Sharp also to the US International Trade Commission (ITC) filed a Hisense application for investigation .
Sharp's allegations against Hisense, Hisense said, 'After Hisense took over, the mainstream US market, 32-inch, 50-inch, 65-inch TV, Sharp brand price index than before have more substantial growth, there is no low-cost low-quality Hisense will fully comply with its previous trademark licensing contracts and continue to manufacture and sell Sharp branded television products in North America. '
Local time on November 13, the United States District Court for the District of Columbia (DC) made an order to approve Hisense's request to dismiss Sharp's motion, while Sharp's motion for a ban to be rejected.California North District Court formally on the case of Sharp Litigation Hisense The verdict supported the motion proposed by Hisense and ruled that the case must be submitted to arbitration in Singapore until the Singapore Arbitration Center completed the case and it is possible to proceed with the trial.
Upstream short board constraints Hisense
According to Hisense Electric's three quarterly reports, Hisense recorded revenue of 23.746 billion yuan, up 7.57% over the same period of the previous year; net profit attributable to shareholders of listed companies was only 600 million yuan, down 47% from the same period of last year. Rose, while the panel is the core component of television.
Therefore, Leung Chun-peng believes that Hisense is precisely because there is no key technology and affect the profits, the Chinese household electrical appliance enterprises to bigger and stronger in the global market to obtain the right to speak, we must establish the core technology, buying and buying will only make more Many opponents think of ways to suppress you.
In addition, Leung Chun-peng said Hisense should not blindly pursue the number of production in the downstream, some sales less than Hisense, the performance of the profit but rather better than Hisense, indicating that the size of the downstream alone can no longer ensure profits.Hisense as the world's sales giant , No upstream panel production line, no doubt is subject to people, therefore, Hisense should be to the upstream efforts.
Hisense Electric announced on November 14 that it will formally acquire a 95% stake in Toshiba Imaging Solutions at a cost of 12.9 billion yen (about 113 million U.S. dollars). Leung Chun-peng believes the move is still under development and does not recognize his own problems At a fundamental level, Sharp did not perform as authentic as the North American sales rights, contrary to the spirit of the contract, but because of its technical strength, Hisense had to fall into a passive situation.
Investor's correspondent sent an interview letter to Hisense on a number of issues including Hisense and Sharp's brand use rights in North America and future plans and may be affected by the request of the Singapore Arbitration Center to keep the two parties silent. As of press time, Received relevant reply.