Samsung Display Co., the panel-making arm of Samsung Electronics Co., has won in a years-long patent fight with China’s BOE Technology Group, clearing the way for the South Korean display maker to collect sizable royalty income and reinforce its position in the global organic light-emitting diode (OLED) supply chain.
The US International Trade Commission announced on Tuesday that Samsung Display and BOE have terminated all litigation after more than three years of disputes spanning patent infringement, trade-secret misappropriation and proposed import bans on OLED technology.
The ITC, Washington’s watchdog for unfair trade practices, said the cases had been withdrawn following a settlement between the parties.
The settlement came as the agency had been preparing to issue a final ruling after it released a preliminary decision in July, finding that BOE and seven subsidiaries had misappropriated Samsung Display’s proprietary technology.
Based on that finding, the ITC recommended an import exclusion order for nearly 15 years alongside a ban on domestic sales of affected products in the US.
Industry experts said such recommendations seldom shift materially in the final order stage, giving Samsung Display greater leverage as settlement talks progressed.
People familiar with the matter said BOE has agreed to license Samsung Display’s OLED intellectual property and pay royalties based on sales of devices using the technology at issue.
Industry officials estimate the payments could amount to several hundred billion won, or millions of dollars.
The arrangement will, however, allow BOE, one of the world’s largest display makers and a supplier to brands including Apple, Xiaomi, Huawei and Oppo, to continue shipping OLED panels without facing a lengthy US import exclusion.
KOREA’S OLED IS EXPECTED TO GAIN HIGHER SHARE
Samsung Display filed its first US complaint in late 2022, accusing BOE and several American parts distributors of infringing key AMOLED patents in aftermarket smartphone displays.
It followed with a separate trade-secret action in 2023 under Section 337 of the US Tariff Act.
Industry analysts say the outcome could restrain what Korean manufacturers describe as increasingly aggressive technology copying by Chinese competitors.
It is also expected to bolster Korea’s share of the premium OLED market at a time when global smartphone demand is forecast to recover.
Samsung Display said both companies agreed that fair technological competition is essential for the display industry and that all lawsuits worldwide have now been withdrawn.
