This huge US router brand could be banned from operating in most of Europe due to patent litigation -

Huawei has won a number of court rulings in its legal wrangles with Netgear
The patents involved are crucial to WiFi 6 technology used in Netgear’s wireless routers
Netgear produces the popular Nighthawk and Orbi family of products

Huawei has won a series of legal victories against Netgear in its ongoing patent disputes over WiFi 6 technology, with the latest development potentially having far-reaching implications for Netgear’s operations across Europe.

As reported by intellectual property activist Florian Mueller, the Unified Patent Court (UPC) recently granted Huawei a multi-country injunction against Netgear, following a ruling in its Munich Local Division.

This decision, centered on a WiFi 6 standard-essential patent (SEP), applies to seven countries, including Germany, France, and Italy. Mueller says it marks one of the most commercially impactful rulings in the UPC’s history regarding SEPs.

Netgear facing a tough choice

Netgear, a major US router brand best known for its Nighthawk and Orbi products, has been defending itself against Huawei’s claims, but faces mounting challenges. A new ruling from the Munich I Regional Court, expected on January 9, 2025, could further complicate matters. In this case, Huawei is asserting another WiFi 6 SEP, which appears likely to be deemed valid and infringed, based on court proceedings.

Netgear’s defenses hinge on arguments related to FRAND (Fair, Reasonable, and Non-Discriminatory) licensing obligations and patent exhaustion. However, Mueller says the court has historically been skeptical of such defenses unless supported by strong evidence. Patent exhaustion, which Netgear hoped would protect devices using Qualcomm chips, has limited applicability. According to the UPC ruling, the exhaustion defense only applies if Qualcomm chips were first sold within the European Union, creating logistical and manufacturing hurdles for Netgear.

The ramifications extend beyond Netgear, as the decision reinforces the UPC’s stance on SEPs and FRAND obligations. The court has emphasized that implementers must engage constructively in licensing negotiations and, in some cases, accept pool license offers. Netgear’s rejection of a pool license, combined with its litigation strategies, has not helped its position.

With enforcement of the injunction imminent, Mueller says Netgear faces a tough choice: negotiate a license or risk further legal and operational setbacks. This case not only highlights the complexities of SEP enforcement in Europe it also sets a precedent for similar disputes in the future.

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