Google has received a major blow in the international market as sales of the Pixel 7 and Pixel 7 Pro have been banned in Japan.
This ban was imposed by a Japanese court due to a patent infringement case involving a South Korean company.
Reason for the Ban: Patent Infringement
The Tokyo District Court ruled that Google violated a Standard Essential Patent (SEP) related to the LTE modem used in its Pixel smartphones.
These SEPs are crucial for ensuring compatibility and functioning of mobile communication. Google was found to have used the patented technology without a valid license.
Who Filed the Complaint?
The complaint was filed by South Korean mobile company Pantech. According to Pantech, Google used the exact communication method described in its patent for managing signals between Pixel phones and mobile towers.
However, Google never took permission or obtained a license for using the technology.
Google’s Response and Court’s Stand
The court stated that such a ban is justified only when the accused company has not made any serious attempt to get a license.
In this case, Google delayed the talks, demanded a confidentiality clause, and refused to offer a fair royalty rate, calling it too difficult to calculate. Additionally, Google did not provide sales data of Pixel phones in Japan, which worsened its case.
Impact on Google’s Market in Japan
Japan is a key market for Google, where it holds 5.81% market share, placing it second after Apple. Apple leads the market with a 62.46% share, followed by Google, Samsung, and Xiaomi.
Future Consequences
Pantech has also filed cases to ban the sale of Pixel 8, Pixel 9, and their Pro variants in Japan.
If Google doesn’t settle this matter, it may face a full exit from the Japanese smartphone market.