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Sunday, April 17, 2005
Philips Honours 120th DVD Player Licensee

Philips celebrated the conclusion of the 120th DVD Video Player Patent License Agreement in China with DVD player manufacturer Advance & Beyond Technology Co. Ltd. and the 20th DVD Video Recorder Patent License Agreement in China with Shenzhen Sobon Digital Technology Development.

Both milestones are signs of China?s success in the global DVD market.

While compared to earlier years the worldwide market growth for DVD players is expected to slow down in 2005 to an increase of 20%, other innovations are now being brought to the market, such as DVD and Blu Ray Recorders, offering new business opportunities to the Chinese consumer electronics industry. According to China?s Ministry of Commerce, in the past three years China?s DVD player exports grew from 37 million in 2002 to more than 130 million in 2004. Currently China is the world?s biggest supplier to the DVD player market. Philips, as one of the inventors of technologies used in DVD Players, is proud to have contributed to China?s success in this area.

Philips? participation in the Optical Storage market is not limited to the licensing of patents but also provides for a spectrum of services and products for licensees such as verification services, transfer of know how, supply of integrated circuits with reference designs and supply of optical pick-up units for CD and DVD drives, recorders and players and ready-to-use drives.

Today, Ben Beune, Licensing Director and Senior Vice President of Philips Intellectual Property & Standards handed over the special certificates for the 120th DVD Video Player and 20th DVD Video Recorder license agreements.

Accepting his certificate, Mr. Jason Peng, General Manager, Advance & Beyond Technology Co. Ltd. said, ?Our business is built on highly innovative technologies such as DVD and DVD recording technologies. We are happy to be able to sell DVD recorders to the global market place and are already looking forward to next generations audio-video technologies.?

?Philips? policy of sharing its technology via licensing fits perfectly into Philips? long term commitment to support China as it develops its own technology base,? said Mr. Beune. ?Based on our patented technology, Chinese companies can not only enter into new markets but also build their own innovative technologies based on our knowledge.?

Azir Haque, General Manager of Philips Intellectual Property Rights & Standards in China added, ?Philips invested USD50 million in R&D in China in 2004 and currently has 15 R&D labs in China. In the past year Philips started three IP Academy projects with Renmin, Tsinghua and Fudan Universities to increase IP knowledge and awareness amongst Chinese students. It is Philips opinion that a solid IPR system in China will stimulate technology transfer between local companies and foreign companies. Currently Philips has 200 inventions, generated and patented in China.?

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