According to the latest reports from South Korean media on April 8th, LG Electronics has transferred 48 U.S. standard patents to the Chinese smartphone giant OPPO. Data from the U.S. Patent and Trademark Office shows that this transaction took place in November 2021. The patents sold by LG Electronics to OPPO are essential codec standard patents for compressing video signals, covering key technologies for compressing and decompressing digital video and audio. Among these patent assets, 34 patents have already been registered with the U.S. Patent and Trademark Office, while the remaining 14 are still in the application stage.
LG Electronics has transferred 48 standard patents related to core video coding technology to OPPO, showcasing a harmonious alignment in interests and strategic collaboration between the two entities. Despite LG's exit from the mobile phone business, it retains a vast reservoir of patents, numbering over 24,000, particularly encompassing communication standards such as 4G, 5G, and WiFi. On the other hand, OPPO, as a company continuously advancing its smartphone business, although holding a certain market share, lacks accumulation in standard patents. This poses a challenge for OPPO in further expanding its international market presence and enhancing competitiveness. Through this patent transfer, OPPO can enrich its own patent portfolio, facilitating its expansion and strategic positioning in the global market.
It is understood that since LG Electronics announced its withdrawal from the smartphone market in April 2021, it has been actively seeking to commercialize its extensive patent assets to realize their long-term value in the field of communication technology.
