After winning a ban on Samsung’s Galaxy Tab 10.1 in Germany earlier this month, Apple failed in a separate bid to win a similar injection in Australia. The Silicon Valley technology titan is on a global campaign to halt sales of the Galaxy Tab 10.1, claiming that industry rivals and Korean Technology giant Samsung has infringed on copyrights protecting the iPad.
These two firms are the world’s largest technology companies who are competing to acquire the largest market share for mobile-IT products such as smartphones and tablet computers. The market is reportedly valued at US$100 billion.
The current patent that protects the iPad are beneficial to Apple in keeping out identical products that may potentially rival the iPad and become a viable substitute product to that of Apple’s.
It also decreases the cross-elasticity of demand, creates an added barrier to entry into the industry. Firms who intend to produce similar products will have to think of other ways to innovate their products so as not to find themselves in trouble with patent rights lawsuits, deters most of them away fro breaking into the industry and hence, denies consumers of similar choices.
As of now, Apple’s iPad2 stands unrivaled with less than a handful of similar products sold in the mobile-IT market.
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