Conflict between Lotte Healthcare and Algocare is intensifying over nutritional supplement dispensers. As conglomerates show signs of stealing technology from small and medium-sized enterprises, the Small and Medium Business Venture Ministry joins in, leading to confusion.
The conflict between the two companies began on the 18th when Algocare claimed that Lotte Healthcare had stolen the main product structure, principle and business strategy of the nutritional supplement dispenser that it had been developing for about three years.
Algocare claimed idea theft and predicted legal action, saying, “After a meeting last year that Lotte Healthcare wanted to introduce and invest, we obtained product structure, principle, and business strategy information to develop a similar product.”
In response, Lotte Healthcare immediately released explanatory materials and refuted that Algocare’s claim was not true.
Lotte Healthcare said, “The provision of customized health food has been part of the specific roadmap since entering the healthcare industry. insisted.
In particular, Lotte Healthcare explained that it produced its own dispenser and cartridge through Canon Korea, a subsidiary of Lotte Group, and produced them by referring to the ‘automatic tablet sorting and packaging system machine’ used in commercial pharmacies.
Algocare again refuted Lotte Healthcare’s explanatory data. On the 19th, Algocare announced an official position on Lotte Healthcare’s explanatory data. Algocare insisted again that the functions of the product described by Lotte Healthcare imitated its own product.
In particular, Algocare said, “Lotte Healthcare said that it focused on the ‘peel dispenser’ that is common overseas, but the pill dispenser that is common overseas is a type that needs to be managed manually, and there is no form that combines a dispensing unit with a nutrient cartridge to settle in the dispenser. “It is true that Lotte Healthcare’s Pilkey imitated its own dispenser,” he insisted.
In addition, he emphasized that the ideas such as identification of nutritional supplements through RFID chips are the same as those of Algocare, and that they borrowed ideas from Lotte Healthcare.
Algocare said, “I think this conflict will be a very boring fight, but we want to respond to the end in the hope that it will set a precedent for companies experiencing similar incidents to ours.”
As the positions of the two companies diverged, the Ministry of SMEs and Startups (hereinafter referred to as the Ministry of SMEs and Startups) also declared that it would intervene in earnest.
The Ministry of SMEs and Startups said, “After recognizing the case of stealing ideas from Algocare, we are dispatching a public official in charge of administrative investigation into technology infringement and an expert (lawyer) from the Small and Medium Business Cooperation Foundation to check the damage to SMEs and discuss countermeasures.” When applying for this technical infringement administrative investigation and technical dispute mediation, we will make efforts to quickly reach mediation, and plan to support litigation costs if mediation is not successful.”
Regarding this, an official from Lotte Healthcare explained, “It is regrettable that the situation is gradually becoming a public opinion battle.”