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Zen Patent Apple vs
Creative interoffice memorandum to: SIM WONG HOO, CEo, Creative from: subject:
APple VS. Creative Patent infringement issue date: This is to propose that Creative should take immediate seek settlement from Apple and exit the MP3 market. This action is best taken to protect the survival of Creative’s business and innovations through its user interface in the MP3 player industry. Creative’s user interface is simple and very effective, which makes it an important asset to protect from other competitors from infringing on its current patents. Due to the rapid rate of advancement of the consumer electronics industry, current extensive patent coverage and the rapid rate of issuance of new patents, Apple’s products and technologies may unknowingly infringe existing patents of other. Creative can’t allow Apple to continue to manufacture and sell products to consumers that infringe on patents. There are multiple options that Creative can take towards the patent infringement issue against Apple.
Firstly, an option would be to ignore Apple’s patent infringements and try to compete with Apple. This is a bad option due to the fact that Apple has amazing growth and a great position in the market. The market is growing and there is no reason for it to cease because of the technology and the ecosystem that it has created. Action must be taken against Apple in order to uphold the Zen patent. Creative needs to leverage the Zen patent to create sustainable competitive advantage.
Secondly, an option would be to take immediate legal action through patent litigation means against Apple. The cost of pursuing a litigation case is high, which makes it a credible option for Creative to gain investors’ confidence to invest more money into Creative’s business. The Zen patent may be limited to use in the MP3 player market, but winning an IP battle or important market concessions from Apple could have a positive effect on Creative’s future strategy to become a significant player in

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