Samsung Requests US Authorities to Crack Down Third-Party Screen Replacement Companies

Samsung Display is attempting to prevent the US importation of smartphone OLED screen replacements made by other companies. The South Korean business has asked the International Trade Commission (ITC) to look into the importation of third-party smartphones OLED panels for independent repair shops. The whole repair business may suffer a major setback because of this.

The firm claims to produce AMOLED panels for smartphones and tablets, and these panels are protected by several patents. These patents are violated, nevertheless, by Chinese firms that provide independent repair businesses with cheaper replacement OLED panels. The business thus requests that US authorities investigate and prohibit such shipments.

Image: Ice Universe

The ITC decided to launch an inquiry into this situation earlier this year by section 337 of the Tariff Act (1930). This offers the authorities the chance to investigate if bringing a certain product into the US hurts an enterprise there. Along with this, there’s also the potential for trade secret theft and patent infringement. Imports are prohibited in certain situations, and any efforts to import the specified articles are prohibited as well.

Samsung’s Request Could Potential Raise Screen Replacement Prices

Small and medium-sized repair businesses would suffer greatly if Samsung Display’s request for a ban were granted since they wouldn’t be able to import less expensive OLED panels from China. As a result, users will visit Samsung-approved service shops more often and repair expenses will rise.

The decision by Samsung to pursue an import restriction rather than negotiate with Chinese OLED manufacturing would result in higher repair prices and longer wait times, according to people with knowledge of the situation who spoke with Engadget. Industry sources believe that this isn’t always the case, as repair shops often have long wait periods for replacement parts, despite Samsung Display having notified the ITC that it has the production capacity to sell OLED panels via official channels.

If the ITC interprets Samsung’s case broadly, according to experts, it might have an impact on both iPhones and the Android repair market. Almost 70% of all OLED panels used in iPhones are provided by Samsung Display, as is previously common knowledge. Therefore, the proper course of action for Samsung would be to set fair pricing for approved replacement components or bargain with third-party repair companies for a fair licensing fee.

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