Cisco vs. Huawei: Intellectual Property

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Cisco vs. Huawei: Intellectual Property

Introduction

On Jan. 23, 2003, Cisco Systems, Inc. announced that it has filed a lawsuit against a Chinese equipment manufacturer, Huawei Technologies, Co., LTD and its subsidiaries, Huawei America, Inc. and FutureWei Technologies, Inc. over Huawei's unlawful copying of Cisco's intellectual property. Cisco is the worldwide leader in networking for the Internet with the headquarter located in US. Huawei, based in Shenzhen, China, is China's biggest telecommunications equipment maker, has a wide reach in Asia, and recently entered the U.S. market, challenging Cisco on the pricing front. Because the lawsuit happens between two representative companies of telecom industry in US and China respectively, so it attracts many attentions in IT industry from the beginning of Cisco's announcement.

Details of the lawsuit

Cisco's suit, filed in the United States District Court for the Eastern District of Texas, alleges that Huawei unlawfully copied and misappropriated Cisco's IOS. software, including source code, copied Cisco documentation and other copyrighted materials, and infringed numerous Cisco patents. Cisco seeks remedies to prohibit the continued misappropriation of its intellectual property by Huawei and recover damages resulting from Huawei's illegal actions.1

Cisco's complaint addresses the following claims:

. Copying of IOS source code: Cisco alleges that Huawei has copied portions of the

Cisco IOS source code and included the technology in its operating system for its

Quidway routers and switches. Huawei's operating system contains a number of text

strings, file names, and bugs that are identical to those found in Cisco's IOS

source code...

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...p://www.chinaitlab.com/www/news/article_show.asp?id=8117

Hot discussion: Do we need to protect Huawei and against Cisco?

http://www.chinaitlab.com/www/news/article_show.asp?id=7872

Michael Singer, "3Com, Huawei join hands behind Cisco's back"

http:// www.internetnews.com/ent-news/article.php/2119621

Paul Andrew and Michele Matassa Flores, "Internet Wars -- Can Microsoft Rule the Web?", The Seattle Times, March 09, 1997, Sunday, Final edition, Pg.Al.

Judith Silver, "Users show that popularity isn't everything", Government Computer News, v11, n18, August 31, 1992, p.16

H.Stephen Harris Jr. and Philiilp R.Stein, "Brief Summary of Antitrust Law Regarding 'Leveraging' ", 1995.

http://www.antitrust.org/law/leverage.html

Baumol, William J. and Alan S. Blinder. Economics: Principles and Policy, Sixth Edition, Forth Worth, etc. : Drden Press, 1994.

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