Navigation and entertainment systems: Patent dispute: Broadcom wants a billion dollars from VW

Infotainment system in the Gulf

Broadcom accuses VW of having infringed patents on navigation and entertainment systems.

(Photo: AP)

MunichVolkswagen According to a magazine report in a patent dispute with a billion claim of the semiconductor manufacturer Broadcom faced. The US group demand a billion dollars from the car company and threaten it, otherwise the production of several models of the brands VW. Porsche and Audi to be judicially stopped, reported the “mirror” on Friday in advance.

Broadcom filed a patent suit in Munich and Mannheim. It concerns the use of 18 patents in navigation and entertainment systems, which Volkswagen uses in numerous car models.

Volkswagen confirmed that Broadcom filed lawsuits on patent issues, but did not want to comment on the content. The carmaker had legalized the allegations and initiated legal action to protect its interests, said a spokesman. The courts were initially unable to get an opinion.

According to the report, Broadcom goes into the United States also against Toyota and Panasonic in front. The companies concerned would be under great pressure to come to an agreement with the supplier before the courts decide. Because these could temporarily prohibit the use of the affected semiconductor and thus bring production to a standstill. The auto industry has complained for some time, so-called patent processors would exploit the legal situation to demand excessive royalties.

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Such complaints are for the companies at the increasing digitization a big problem. Currently, a veritable “economic war” is developing for patents. Entire legal departments are now only involved in defending patent lawsuits. According to industry experts, the critically acclaimed patent writers benefit from the fact that a plaintiff can choose the law against which company he is suing in the value chain.

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Semiconductors are installed in devices of all kinds, which in turn are part of larger systems such as the electronics of cars, refrigerators or washing machines. (Internet of Things) will increase the electronics share. Experts therefore fear that such complaints could increase with the advancing digitization and networking in the coming years.

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