Vizio Sued Over MPEG Video Patents
June 06, 2008 | by Geoff Duncan
Mitsubishi, Samsung, Sony, and Philips have joined a suit against low-cost HDTV maker Vizio, saying the company is violating 15 patents essential to the MPEG-2 standard.
A number of the world's leading manufacturers of high-definition televisions have filed a patent suit against low-cost HDTV maker Vizio, claiming the company is violating some 15 patents key to supporting MPEG-2 video in its products. According to the complaint, both the individual companies—which include heavy hitters like Sony, Samsung, Mitsubishi, and Phiips—has pursued Vizio about licensing the patents, but the company has refused to deal with them individually or with the MPEG Licensing Authority trade group. The suit was filed in federal court in Manhattan on June 2; other parties to the suit include Columbia University of New York, Victor Co. of Japan, and Thompson; the suit seeks an order to prevent Vizio from using the patents, as well as financial compensation.
Earlier this year, the MPEG LA trade group filed suit against Target over its Tru-tech brand of televisions (PDF) on similar patent infringement claims.
Responding to the suit, Vizio says that it doesn't need licenses for the MPEG-2 patents, claiming its suppliers have licensed the patents and those licenses extend to Vizio's products. Vizio says it will fight the suit, and expects its partners will support and cooperate in the defense.
Vizio has made a name for itself by selling comparatively low-cost high-definition televisions through mass retailers like Wal-mart, Costco, and Circuit City, often substantially undercutting prices for similarly-featured models from competitors. During the first quarter of 2008, Vizio was ranked as the number three seller of LCD televisions by DisplaySearch and iSuppli.
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Stanley on Jun 6th, 2008 at 12:40 PM:
Yes, Vizio makes terrible TV's, I have returned two to Costco. The picture quality is bad, and the black levels are the worst I have seen. Still, for a second TV or one for your kid, they are a bargain. Just make sure you buy the warranty or get it someone that lets you return the unit.
Wes on Aug 19th, 2008 at 2:58 PM:
I am the proud owner of 9 Vizio TVs (6 for business, 3 for personal use.) I have never had any problem with any of the TVs. I have to admit that the black levels aren't the greatest, but unless you are obsessed with perfect TVs, the problem is nothing to complain about. If you seriously dont like Vizio TVs, then don't buy them. James and Stanley: maybe you were expecting to much. If Vizio isn't good enough for you, go buy a Sony, Sharp, or Samsung.
Wes on Aug 19th, 2008 at 2:58 PM:
I am the proud owner of 9 Vizio TVs (6 for business, 3 for personal use.) I have never had any problem with any of the TVs. I have to admit that the black levels aren't the greatest, but unless you are obsessed with perfect TVs, the problem is nothing to complain about. If you seriously dont like Vizio TVs, then don't buy them. James and Stanley: maybe you were expecting to much. If Vizio isn't good enough for you, go buy a Sony, Sharp, or Samsung.
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James on Jun 6th, 2008 at 11:46 AM:
This is no suprise. First of all, Vizio makes garbage TV's, you get what you pay for, and they are cheap for a reason. Secondly, they seriously hurt the market by selling TV's so cheaply. It hurts the competition and stunts innovation.