Thomson, an entertainment and integrated media solutions provider, has a new Memorandum of Understanding or MOU agreement with China. The purpose of which is to set licensing conditions for the use of patented Thomson technology by members of the China Audio Industry Association (CAIA) and the China Chamber of Commerce of Machinery and Electronics for Import and Export (CCCME).
The question of DVD-player technology has been a pesky one for Chinese electronics companies. Patent holders have accused some companies of using patented technology in their products without paying sufficient royalties. Meanwhile, Chinese electronics makers have complained that royalties charged by patent holders are too high. As Interfax previously reported, high royalties was one of the catalysts that pushed several of China"s largest electronics companies to collaborate in the development of EVD, a Chinese developed digital video standard. As of late, however, the situation has calmed. This latest agreement between Thomson and the CAIA and the CCCME may be a sign that patent holders and manufacturers are increasingly inclined to cooperate with one another.