The inverse of this patent problem is S.O.P. in Japan Inc. --that is, Japanese companies ripping off so-called joint venture companies from Europe and the US. Now the Chinese are now sticking it to the Japanese, hee, hee.

Whose Patent Is It, Anyway?
NYTimes.com, March 5
....in China this hard drive assembly may be at the front line of an intense global struggle to dominate high-tech manufacturing.
The tiny storage device this factory churns out is the heart of one of the world's hottest consumer electronics items, the mini version of Apple Computer's iPod. Sales to Apple represent a huge triumph for GS Magic Stor, an offshoot of a struggling state-owned carmaker that is so obscure that even in China few are familiar with the name. The problem with this ringing success story, according to a better-established rival, Hitachi Global Storage Technologies, which has factories in China and also supplies miniaturized drives to Apple, is that the Chinese company stole crucial elements of the design...more...

I do feel a little for the Chinese companies - there's no way they can compete on a level playing field with Japanese or Western counterparts.

Just with software alone, a company installing only legit copies of the latest software like XP on each PC would run 2000 RMB a pop (not to mention additional stuff like Office XP for another 2000 each), which is about the monthly salary of a regular Chinese officeworker.

And then there's the joys of Chinese infrastructure, where power outtages/power spikes and poor water supply are quite common. And, of course, frequent transportation problems, unreliable distribution, and regular delays.

And we shouldn't even get started on the impregnable bureaucracy of the finance and banking system here (just try changing over RMB in China to foreign currency for a laugh).

In the end, a poor copy is just that. While Chinese companies may be able to rip-off some Japanese or Western technology, they have no inclination (or understanding, I'm not sure which) to provide quality assurance. So your new Chinese drive may work like a beaute for a few months, but when it dies suddenly for no apparent reason it shouldn't come as a shock.