SMS has succeeded in opposing a European patent filed by US based rival, extrusion technology company Milacron. The dispute is over technology aspects of counter-rotating parallel twin-screw extruders with fully flighted variable pitch screws. Milacron sold its Cincinnati Extrusion business to SMS in 2000 and signed a deal preventing Milacron from selling extrusion equipment outside of the US until January 2006.
SMS subsidiary Cincinnati Extrusion had filed its opposition to Milacron's patent covering "already existing extruder technology". The European Patent Office accepted this opposition and "the patent has now been fully revoked, due to the absence of an original invention". Since the non-compete agreement has now ended, Milacron has been building its extruder sales in Europe and other regions, while SMS has entered the US market.
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