Apple Pays $60 million to continue selling iPads in China


The long drawn dispute over the “iPad” trademark in China has finally come to a close. The resolution cost Apple $60 million dollars, all of which it went to Proview Shenzhen which originally held the usage rights of that name in Mainland China.


As the name suggests, Proview Shenzhen is based in Shenzhen and is a manufacturer of computer screens and LED lights. The company registered the name “iPad” as early as 2000, and reserved the right to use the name in Taiwan, China and other countries. Apple bought the right the use the trademark worldwide in 2009, from Proview Taipei, and assumed it included the right to use the name in Mainland China as well. But they were unpleasantly surprised when Proview declared that it still reserves the right to use the name in Mainland China.


Apple took the matter to court and soon after, the Shenzhen intermediate court ruled in favor of Proview. The implications of the verdict were terrible for Apple as it could have stopped the sale of iPads in the Mainland China, unless Apple chose another name for its super hit product. Apple appealed against the ruling, and the Guangdong High Court ordered Apple to pay $60 million for acquiring the rights to use that name in China.


Proview is content with the ruling as the money would help paying off their debts, while Apple will be happy to be able to freely sell iPads in its second largest market in the world.


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