Michael Foley, executive director of the Bluetooth SIG, answered a few questions for RCR Wireless News via e-mail regarding the factory raid in China.
RCR: To what degree is this raid an ongoing effort on behalf of the Bluetooth SIG? Is the group targeting other factories, regions, or countries?
Foley: Bluetooth SIG has been working with trademark agencies worldwide to protect Bluetooth trademark rights and ensure all Bluetooth SIG members are protected. Shenzhen Bluebird Hi-Tech Co Ltd. is just one example of our trademark protection activities. This effort is not specifically targeting Chinese companies; we’re protecting our trademark in all regions of the world.
RCR: How long did it take to plan for the raid? How and when did the Bluetooth SIG get wind of the factory’s violation of the Bluetooth SIG’s trademark?
Foley: Bluetooth SIG has been working with a local trademark agency for months on this case. Evidence was collected by the agency and then passed to the Shenzhen City Economic Crime Investigation Department of the Public Security Bureau and Administration of Industries and Commerce of Shenzhen. On July 17, a raid was conducted and successfully seized a considerable quantity of infringing goods.
RCR: Does this speak to the popularity of Bluetooth products? Sort of a “you know you’ve arrived” moment?
Foley: There are more than 5,500 Bluetooth SIG members around the world and we’re expecting an installed based of more than 1 billion Bluetooth devices by the end of this year. I’m not sure this is the moment I knew “we’d arrived,” but it’s certainly a result of the technology’s success.
RCR: The Bluetooth SIG said it had the support of the Chinese government in carrying out this raid. Should we think of this as a sign that China wants to improve its reputation in the business world as being more trustworthy regarding patent laws and trademark usage?
Foley: Protecting IP is a topic of discussion all over the world, especially under the increasingly global economic system in which all countries and companies obey the laws. We have been working with the Chinese government for some time and opened a regional office in Hong Kong, whose leaders took that on as a top priority. Because of this effort, the Bluetooth trademarks are now registered in the PRC, although some applications are still going through the registration procedures of the PRC Trademark Office.
RCR: What will likely happen to this factory? Any guesses as to how many bogus products shipped from this facility?
Foley: I don’t know yet what will happen to this factory. The Shenzhen City Economic Crime Investigation Department of the Public Security Bureau and Administration of Industries and Commerce of Shenzhen are working on this case and the Chinese courts will pass judgment according to the violations imposed by the Chinese laws regarding IP and trademark infringement.
That said, the aim of Bluetooth SIG is not to punish those companies who violate Bluetooth SIG’s IP, but to invite manufacturers to join the Bluetooth SIG and educate them on the steps and benefits of membership.
I can’t say how many unlicensed products were shipped, but more than 20,000 pieces of finished and semi-finished goods-comprised of headsets with Bluetooth technology, user manuals, packaging, printed boxes and components-were seized.