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To: Ramsey Su who wrote (9398)3/25/1998 2:25:00 PM
From: Clarksterh  Respond to of 152472
 
Ramsey - There are thousands of OEM agreements in China now. If Mattel, Hasbro, Nike.... all figured out a way to protect their IPR or design patents, QOCM better be able to jump over that small hurdle.

It all has to do with whether the IP involved is something they could figure out anyway from the finished product. For Nike, Hasbro, ... it is easy to reverse 'engineer', so Nike et al might as well set up manufacturing operations there since they will be copied no matter what they do. The same is not true for some technical products. The reverse engineering is often very hard to do unless they are given hints by the original manufacturer. Hence Vari-L and others pulling out of joint manufacturing operations. For instance, it would be a mistake to let people who do not believe in IPR know what are the most salient features of the ASIC's.

Clark

PS I'll have to try to dig up a list of the companies that pulled out of Chinese joint ventures. As you probably know, there have been plenty.