The New York Times:

On March 31 the Beijing Higher People’s Court upheld earlier rulings by a lower court and China’s trademark arbitration board that Xintong Tiandi had the right to use “iPhone” for products in Class 18 of the international trademark classification system, since Xintong Tiandi acquired the trademark in 2007 when the iPhone name was “not renowned” in China, the court ruled. Apple has the rights in Class 9, which covers computers and smartphones. Class 18 covers leather goods.

You’ve no doubt heard of that case. But here’s the kicker:

Xintong Tiandi didn’t exist in 2007. A Russian company acquired the rights then and Xintong Tiandi bought the rights from it in 2011, the Chinese company’s lawyer, Xiong Zhi, said in a telephone interview. Public company filings show that Xintong Tiandi was set up in 2011.

Intellectual property protection is critically important for any company that spends money on research and development. From this article from Seeking Alpha [Free Reg-wall]:

It’s probably no coincidence that Apple chose a private company for its first truly major investment in China. By pumping money into an existing firm like Didi with big growth potential, Apple avoided China’s problematic state-run sector and also minimized its risk of intellectual property (IP) theft that is rampant in the country. By comparison, India’s receipt of an R&D center plays to its strength as a software development hub, and also its stronger security systems for protecting IP.

And:

Minister Miao Wei was quoted saying he hoped Apple could improve its R&D activities in China and also provide a secure user experience.

Apple is walking a fine line here, opening an R&D center in India and not (at least yet) in China. Tricky business.