Ubiquiti fight against fakes warns off counterfeiters

WiFi technology firm Ubiquiti Networks thinks its aggressive fightback against fakes has deterred other counterfeiters.

Ubiquiti has taken legal action in multiple countries to stop the rise of counterfeits that threatened to undermine its business. The strategy is now making an impact - Ubiquiti’s share price jumped after beating fourth quarter expectations - and the CEO thinks the long-term outlook is bright.

"We can’t say we’ll 100 per cent eliminate the counterfeit activities, but between our really aggressive litigation strategies, and our anti-counterfeit manufacturing technology for new platforms, I’m more confident than I’ve ever been," said Robert Pera, CEO of Ubiquiti, on the company's latest financial results call.

Pera has secondhand reports the aggressive litigation tactics have deterred other counterfeiters from targeting Ubiquiti products. Sales of AirMax, the most faked product, were up more than 50 per cent on the previous quarter.

The recovery is partly down to Ubiquiti addressing the reasons counterfeits were in demand. In previous quarters demand for AirMax was stretching lead times, but a new Chinese logistics hub has reversed the trend.