The Delhi High Court in India today passed an interim injunction today to stop Xiaomi from importing, advertising, selling or manufacturing devices that infringe on SEP (Standard Essential Patents) from Ericsson.
Apparently, Ericsson had repeatedly tried to communicate with Xiaomi over this issue, but the latter failed to reply to them. This is what led the Delhi High Court to ultimately grant an injunction on banning Xiaomi from India. The Delhi High Court has also appointed commissioners that will be visiting Xiaomi offices to make sure that its orders are executed properly.
This is what Xiaomi’s India head Manu Jain said about the issue when contacted by Medianama:
While we haven’t received an official notice from the Delhi High Court, our legal team is currently evaluating the situation based on the information we have.
India is a very important market for Xiaomi and we will respond promptly as needed and in full compliance with Indian laws. Moreover, we are open to working with Ericsson to resolve this matter amicably.
Even a temporary ban in India can greatly impact Xiaomi. The Indian smartphone market has already become the second largest market for the company, even though it entered into the market only earlier this year. It is also the fastest growing market for the company, where it holds weekly flash sales via Flipkart.
According to Medianama’s report, Ericsson had previously filed a similar patent infringement lawsuits against Micromax and Intex. As per an interim order from the Delhi High Court, Micromax has to pay 1% royalty to Ericsson on the selling price of its devices until December 31, 2015.