Apple says ban on iPad sales would hurt China

Apple and Proview are still in dispute over the iPad trademark name. The two companies are battling it out in a Shanghai court this week.

Proview is clinging to its earlier claim that it still owns the rights to the iPad trademark (the company released a basic desktop computer under the same name in 1999). Based on that, the company wants to halt sales of the tablet in China, and so far has seen success on a small scale.

Apple argued in court Wednesday that such a ban would take a toll on China’s national interest. That’s a hard point to argue, considering China’s growing relevance in the tablet market. The nation is up to 505 million active internet users, and last October it became Apple’s second largest market.

Proview has noted more than once that they are willing to settle with Apple outside of court. But no negotiations have taken place yet, according to Roger Xie, a lawyer representing Proview. That may have something to do with the fact that Apple has already paid Proview’s Taiwanese affiliates for the rights to the iPad name.

But the way Proview sees it, that deal was an unauthorized transaction. And now the Chinese company wants Apple to fork over $2 billion.

This all comes at a time when Proview is deep in the red, though the company claims its crippling debt has nothing to do with the case. Proview has stated that this is an issue of its rights—a matter of who owns what.

Meanwhile, Apple contends that Proview is refusing to honor its existing agreement, and has recently threatened to sue Proview for defamation, claiming that the company has released false and misleading statements to the press.

The Shanghai Pudong New Area People’s Court is expected to rule soon.

Via: Tech Block