IP, Reports & Roadmaps | Nov 14, 2007

SEOUL SEMICONDUTOR ANSWERS ON NICHIAs PATENT INFRINGEMENT SUIT

Seoul Semiconductor has substantially prevailed at U.S. Design Case. - Found Not Liable for Damages on 3 of 4 Nichia Corporation’s U.S. Design Patents. Seoul Semicondutor files patent infringement suit against Nichia in the US. - It is pertaining to its patent covering all of Nichia's LED products.

Seoul Semicondutor files patent infringement suit against Nichia in the US
Seoul Semiconductor (KOSDAQ: 046890), the eighth largest light emitting diode (LED) manufacturer in the world announced that on November 6, it filed a lawsuit against Nichia Corporation in the United States District Court for the Eastern District of Texas. The complaint was delivered to Nichia on Thursday, Nov 8, 2007. Seoul Semiconductor illustrated the background of the suit, alleging Nichias infringement of Seoul Semiconductors patent covering all Nichia products of white, blue, green and UV light emitting diodes (LED).

Seoul Semiconductor owns United States Patent 5,075,742 which covers technology related to the semiconductor layer used for white, blue, green and UV LEDs and laser diodes. This was already issued in Japan, Germany, France, United Kingdom and United States. LEDs are key components for mobile phones, automobiles, lighting fixtures, displays, etc. While laser diodes are key components for HD DVDs, Blu-rays, etc.

In 2006 Nichias revenue from LED and laser diode business reached approximately US$1.3 billion. Seoul Semiconductor is seeking an injunction, and damages adequate to compensate for past and future infringement of the sales above. Seoul Semiconductor will also continue to exercise the patent right against the companies using Nichias products in issue.

Seoul Semiconductor has retained Weil, Gotshal & Manges LLP to prosecute these claims against Nichia. Weil, Gotshal & Manges Patent Litigation Group is among the world most respected, with a talented litigation team led by David C. Radulescu. Radulescu, who earned a Ph.D. in the area of compound semiconductor devices including LEDs and lasers, has extensive experience litigating patents in that area and has won major victories for numerous clients. Especially, Radulescu was a leading counselor representing one of the world leading LED manufacturers when Nichia filed a lawsuit against the company in 2002. Radulescu achieved a cross license agreement between the Nichia and the LED manufacturer which succeeded in ending all the patent disputes between them.

Seoul Semiconductor relies for its success on the strength of its own intellectual property and its revolutionary advances in technology. Seoul Semiconductor has fulfilled customers best satisfaction through its consistent advanced technologies and will be the company, which provides a better value to the world.

Seoul Semiconductor has substantially prevailed at U.S. Design Case
Seoul Semiconductor (KOSDAQ: 046890), one of the eight largest LED manufacturers in the world, Found Not Liable for Damages on 3 of 4 Nichia Corporation’s U.S. Design Patents; Jury Award Limited to $62 Recovery on 4th Patent at Northern California District Court Design Patent Case.

The only product at issue was Seoul’s side view LED 902 for mobile phone BLUs sold in the United States and the product was already supposed to be discontinued. Seoul Semiconductor vindicated that, after almost two years of litigation, the sales of its side view LED 902 are actually non-infringing and that it has substantially prevailed in this litigation.

Seoul Semiconductor continues to believe that Nichia’s U.S. design patents are invalid, and has asked the US Patent and Trademark Office to reexamine all four patents asserted against it. Nichia’s same design patents were previously invalidated by the Korean Intellectual Property Office in December 2006.

Seoul Semiconductor relies for its success on the strength of its own intellectual property and its revolutionary advances in technology. Seoul Semiconductor has fulfilled customer’s best satisfaction through its consistent advanced technologies and will be the company, which provides a better value to the world.

About Seoul Semiconductor:
Seoul Semiconductor is the largest LED lighting solutions manufacturer in Korea, and eighth-largest in the world according to Strategies Unlimited. Seoul Semiconductor has been named to Forbes and Business Weeks lists as one of the most promising Asian companies. Its product, Acriche was recently named as "Product of the Year 2006" by Elektronik, one of the most prestigious electronics magazines in Europe. Seoul semiconductors primary business areas are LED packaging and custom module manufacturing. It provides a full range of LED products including AC-driven semiconductor light source, Acriche, High-brightness Power, Side View, Top, Chip, Lamp and High Flux LEDs, and custom type modules. Applications for the companys LED products include general lighting, signage, back lighting for mobile phones, TVs, notebook computers, automotive lighting, home appliances, signals, etc. Seoul Semiconductor reported US$200 million in sales in 2006. It has 1,251 patents and 100 licenses as of June 30, 2007. Seoul Semiconductor has 18 branches including 3 overseas corporate offices. Its products are also represented worldwide by more than 90 distributors.

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