New China Noise in iPad Dispute Bad for Apple 政府官员发表评论对苹果iPad之争不利

The latest noise coming from the high-profile trademark dispute over the iPad name doesn’t look too good for Apple (Nasdaq: AAPL), whose assertion that it legally owns the iPad name in China is being undermined by comments from one of the few government officials to comment on the matter. I wouldn’t read too much into the comments, as China often engages in this kind of media-based debate to gauge public sentiment on less sensitive commercial issue. Still, the fact that a government official is making comments that appear to favor the plaintiff in the matter, in this case a near-bankrupt company called Proview, indicate that a ruling against Apple is a distinct possibility. Then again, the comments could also be a quiet pressure tactic to get Apple to negotiate, which it has reportedly been reluctant to do as it believes it will win the case and doesn’t want to appear to be getting blackmailed. Let’s look at the actual comments, which have a senior official from the State Administration for Industry and Commerce saying that Proview is the legal registrant of the iPad name in China. (English article) In fact, anyone who has followed this case closely already knows that this is true. Based on my understanding, Proview was obligated by a larger global agreement several years ago to transfer the iPad name to Apple in China, but then the transfer failed to take place for what may have been technical reasons. So now instead of honoring its previous obligations, Proview is taking advantage of the situation to try and get Apple to buy the iPad name again, only this time for a much bigger price. The whole case is taking place in a South China courtroom, where the judge is apparently trying to mediate the dispute to find a solution that will make everyone happy. But Proview lawyers have indicated that Apple doesn’t want to negotiate. The US tech giant has also used other channels outside the courtroom to make its case, including a recent visit to top leaders by Apple CEO Tim Cook, and its recent decision to withhold its latest iPad from China until the dispute is resolved. (previous post) This latest comment from the government official doesn’t really state anything new, but the fact the official made the comment at all means the government probably wants Apple to show a little more willingness to negotiate in the case and provide everyone with a face-saving compromise. If Apple refuses to do that, it could very well find the court ruling against it, meaning legal iPads may not be available in China — which now accounts for a fifth of Apple’s sales — for a long time.

Bottom line: The latest comments from a government official in the iPad trademark dispute may be aimed at pressuring Apple to negotiate a settlement in the case.

Related postings 相关文章:

Apple Pressures Beijing With iPad Snub 苹果在华不售新iPad向中国政府施压

Apple Feasts on China, Baidu Burps 苹果在华享受盛宴,百度盛宴停顿

More Proview Empty Talk in iPad Dispute 唯冠寻求禁售新款iPad将是徒劳之举

 

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