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An Analysis of Patent System and Antitrust Law Issues in OLED Display Industry: Focusing on the Patent Strategy for Securing Technologies and Materials

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An Analysis of Patent System and Antitrust Law Issues in OLED Display Industry: Focusing on the Patent Strategy for Securing Technologies and Materials Maurer School of Law: Indiana University Digital Repository @ Maurer Law Theses and Dissertations Student Scholarship 6-2014 An Analysis of Patent System and Antitrust Law Issues in OLED Display Industry: Focusing on the Patent Strategy for Securing Technologies and Materials Meyoung Ju Joung Indiana University Maurer School of Law, [email protected] Follow this and additional works at: https://www.repository.law.indiana.edu/etd Part of the Antitrust and Trade Regulation Commons, and the Intellectual Property Law Commons Recommended Citation Joung, Meyoung Ju, "An Analysis of Patent System and Antitrust Law Issues in OLED Display Industry: Focusing on the Patent Strategy for Securing Technologies and Materials" (2014). Theses and Dissertations. 7. https://www.repository.law.indiana.edu/etd/7 This Dissertation is brought to you for free and open access by the Student Scholarship at Digital Repository @ Maurer Law. It has been accepted for inclusion in Theses and Dissertations by an authorized administrator of Digital Repository @ Maurer Law. For more information, please contact [email protected]. AN ANALYSIS OF PATENT SYSTEM AND ANTITRUST LAW ISSUES IN OLED DISPLAY INDUSTRY: FOCUSING ON THE PATENT STRATEGY FOR SECURING TECHNOLOGIES AND MATERIALS MEYOUNG JU JOUNG Submitted to the faculty of the University Graduate School in partial fulfillment of the requirements for the degree Doctor of Juridical Science in the Maurer School of Law, Indiana University June 2014 Accepted by the Graduate Faculty, Indiana University, in partial fulfillment of the requirements for the degree of Doctor of Juridical Science. Doctoral Committee: Mark D. Janis Robert A. Lucas Chair of Law; Director, Center for Intellectual Property Research Professor of Law, J.D. Marshall A. Leaffer Distinguished Scholar in Intellectual Property Law and University Fellow Professor of Law, J.D. Donald H. Gjerdingen Professor of Law, J.D. Date of Dissertation Defense June 25, 2014 ii © 2014 MEYOUNG JU JOUNG ALL RIGHTS RESERVED iii ACKNOWLEDGEMENTS At this moment, I am honored to express my gratitude with my sincere respect to Professor Mark D. Janis for all he has done for me as my supervisor. He led me to the new academic area with inspiration of research topic on Antitrust Law beyond Patent Law and advised me to complete this dissertation successfully. His insightful and brilliant comments on my dissertation to have an objective perspective on Antitrust Law, Patent Misuse and obviousness issues helped me expand my research subjects in the future. I am really grateful to Professor Marshall A. Leaffer, my second reader, for his critical comments to have a global view on comparative analysis about application of Antitrust Law. I would like to thank Professor Donald Gjerdingen for his terrific lectures for international students in three classes at law school. His valuable comments on my dissertation as my third reader stimulated me to study further about how to apply my claims to anticompetitive cases practically. Thank you all my advisors for giving me invaluable experience through the discussion in the dissertation defense. Specially, I would like to express my appreciation to Professor Won Koo Lee from Sogang University for his great supports from the graduate school of Chemistry and encouragement to start SJD program. Through whole my life during LLM and S.J.D. program at IU, Dean Lesley E. Davis, Professor Lisa Farnsworth, and Ms. Lara A. Gose gave me generous love and considerate supports whenever I need help. With their continuous encouragement and introduction, I could complete S.J.D. program and learn from them what real leadership is as role models of successful working women. I would cherish them with heartful gratefulness. I really appreciate Daniel Robert Bunge devoted editing my dissertation from the beginning, and also like to thank Dr. Dongyun Sin, Dr. Junsun Park and Dr. Kyungho Choi for helping me as friends and colleagues by my side. iv Best of all, I heartily thank my mother, Hansook Lee, my husband, Jinhee Ahn and my daughter, Chaeeun Ahn for being there with countless love and supports. v ABSTRACT MEYOUNG JU JOUNG AN ANALYSIS OF PATENT SYSTEM AND ANTITRUST LAW ISSUES IN OLED DISPLAY INDUSTRY: FOCUSING ON THE PATENT STRATEGY FOR SECURING TECHNOLOGIES AND MATERIALS This dissertation presents an analysis of patent system and antitrust law issues in OLED (Organic Light Emitting Diode) display industry focusing on the patent strategy for securing technologies and materials. Material patent holders of multinational companies have been struggled to maintain their competitive position since they have powerful incentives by securing their monopoly rights and extension of the market exclusively beyond the legitimate scope or the length of time initially granted by the patent within the current regulatory framework. The dominant firms wielding great market power in OLED industry have pursued a variety of strategic patenting including combination inventions and broadly claimed inventions, and as a result, their questionable patents have been challenged through patent invalidation trials brought by prospective infringers in Korea, Europe and Japan. These strategic patenting, however, may block competitors’ exploitation of its own invention, and thus inhibit competitors’ entry into the market since competitors try to avoid infringing such patents, which results in the suppression of competition. As a result, these conducts adversely affect consumer’s welfare to enjoy high quality and cheap products by preventing free competition with material competitors and panel manufactures in OLED industry. Virtually, the dominant firms’ such conducts have triggered antitrust scrutiny as predatory innovation and patent misuse concerns. vi The ultimate goal of this dissertation is to provide proposals for encouraging the entry of small firms that rely on patent system as underlying bases for their innovation, into OLED industry without anticompetitive coercions of dominant firms, and for improving competitive innovation, thereby enhancing publics’ welfare which is also the common goal of patent law and antitrust law. Only when patent system and antitrust policy lie in the appropriate balance, consumers and innovators can find benefits. To achieve this goal, this dissertation discusses: how to establish uniform and effective patent system including patent examination guidelines to differentiate true improved invention from predatory innovation; and how to discourage anticompetitive predatory innovation and patent disputes in OLED industry. This dissertation is the research on the new attempt of application of US Antitrust Law to predatory innovation found in OLED industry and reinforcement of antitrust regulatory influence on the patent system. vii TABLE OF CONTENTS CHAPTER ONE INTRODUCTION ........................................................................................... 1 I. BACKGROUND AND MOTIVATION ............................................................................... 1 II. RESEARCH PURPOSE AND CLAIMS.............................................................................. 3 III. RESEARCH ROADMAP ................................................................................................. 4 CHAPTER TWO RECENT PATENT STRATEGIES IN THE OLED DISPLAY INDUSTRY: EXTENSION OF PATENT MONOPOLY .......................................................... 6 I. TECHNOLOGY OF OLED DISPLAY …......................................................................... 6 A. DEFINITION OF OLED ............................................................................................. 6 1. History of OLED..................................................................................... 6 2. Structure of OLED Display and Mechanism .......................................... 8 B. CLASSIFICATION OF OLED MATERIALS ............................................................... 10 1. Hole Transporting Materials ................................................................. 10 2. Hole Injection Materials ....................................................................... 12 3. Emission Layer Materials ..................................................................... 12 4. Electron Transporting Materials ........................................................... 15 C. MANUFACTURING OF OLED DISPLAY .................................................................. 15 1. Fabrication of OLED Devices .............................................................. 15 2. Power Efficiency and Life Time Issues in OLED Display ................... 17 II. TECHNICAL TREND OF OLED DISPLAY AND TREND OF THE GLOBAL OLED DISPLAY MARKET ..................................................................................................... 19 A. TECHNICAL TREND OF OLED DISPLAY ................................................................ 19 1. Worldwide Technology Development Status of OLED Materials ....... 19 2. Evolution of Technology in Worldwide Companies ............................ 21 viii B. TREND OF THE GLOBAL OLED DISPLAY MARKET ............................................... 23 1. Analysis and Forecast of the Global OLED Panel and Display Market ................................................................................................... 23 2. Analysis and Forecast of the Global OLED Materials Market ............. 25 III. TREND OF PATENTS IN THE OLED DISPLAY INDUSTRY .......................................... 26 A. IP PORTFOLIOS AND PATENT STRATEGIES
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