On April 24, Tokyo District Court ordered American video service Zoom Video Communications Inc. to pay Japanese audio company Zoom Corp. 160 million yen (~$1 million) in compensation for trademark infringement. Another 16 million yen (~$0.1 million) must be paid by NEC Networks & System Integration, the Japanese distributor of the American service. Together — approximately 182 million yen, while the Japanese side had demanded 600 million.
Who is Japanese Zoom and why did it have every reason to sue
Zoom Corp. — a Tokyo company developing electronic musical devices and recorders, founded in 1983 — 30 years before the American startup even emerged. It registered its logo — the name "ZOOM" written in Latin letters horizontally — as a trademark in 2006. American Zoom Video Communications uses a visually similar logo.
When video calls became routine during the COVID-19 pandemic, the Japanese company found itself caught in the trap of someone else's fame: it was flooded with inquiries about video conferencing services, its stock fluctuated due to news about its American namesake, and its reputation became confused in the minds of investors and clients.
"The purpose of the lawsuit is to confirm that our registered trademark is intellectual property that deserves legal protection"
— Zoom Corp., statement to the Tokyo Stock Exchange, November 2021
What the court recognized — and what it rejected
The court agreed: the similarity of logos could mislead consumers, especially before the pandemic boom in online communications. However, it rejected the main demand of the Japanese side — to ban the American company from using the logo in the Japanese market. This means Zoom Video Communications can continue operating in Japan with the same branding — it simply has to pay compensation.
Scale: one court among 29
The Tokyo case is just one episode in a broader confrontation. According to Nikkei Asia, the dispute spans 29 countries, and unexpectedly involved Japanese stationery manufacturer Tombow Pencil — a company that also has rights to brand elements in related product classes in Japan.
- In December 2024, American Zoom filed an appeal with the Japan Patent Office, attempting to cancel Zoom Corp.'s trademark registration.
- In November 2025, Japan's Intellectual Property High Court supported the JPO: the registration remains valid.
- Japanese Zoom stated from the beginning that it is not interested in a settlement — only in a precedent.
The paradox of the situation lies in its asymmetry: a company with 95 employees and a capitalization of approximately 9.6 billion yen forced one of the world's most recognizable technology platforms to pay compensation and lost only on the part about the logo ban.
If American Zoom does not voluntarily change its logo after a series of lost appeals in Japan — will other countries with similar old registrations follow the same path as Zoom Corp.?
