SOURCE: Seoul Semiconductor

May 21, 2007 09:50 ET

Seoul Semiconductor's Position to Nichia's Lawsuit in Japanese Court

SEOUL, KOREA -- (MARKET WIRE) -- May 21, 2007 -- Last month, Seoul Semiconductor Co., Ltd. was informed from Kyoei Sangyo Co., Ltd. that Kyoei Sangyo received a warning letter from Nichia Corporation for the infringement of alleged Japanese patent of Blue Chips used for 0.5W P9 Product. Nichia's alleged patent is registered only in Japan. Seoul Semiconductor requested Cree, Inc. to verify the fact that Seoul Semiconductor applies Cree's Chips, which are covered by the Cross-license Agreement between Cree and Nichia.

While Seoul Semiconductor and Cree's investigating, it was found that totally 670 pieces have been provided to Kyoei Sangyo as samples and mass-produced products during 6 times shipments, and 70 out of 670 pieces turned out to be SemiLEDs Corporation's in the U.S. Cree notified Seoul Semiconductor that Cree would relay the above to Nichia and that Cree believes this situation will be readily resolved.

Before Cree promoted Blue Chips of 0.5W P9, SemiLEDs' Chips were reviewed and used as samples, however Seoul Semiconductor currently provides only Cree Chips applied products in Japanese Market.

Seoul Semiconductor will make its further investigation on this issue, nevertheless Seoul Semiconductor has no intent to dispute with Nichia regarding this issue, regardless of Nichia's patent infringement allegation.

Patents should be respected. But companies should not use patents for their improper sales and marketing purpose in business activities.

With respect to Nichia's current pending U.S. lawsuit on Patented Design against Seoul Semiconductor, Nichia's U.S. Patented Design is the same one that was invalidated in Korea on December 2006.

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