Denmark's iconic audio-visual company Bang & Olufsen faces accusations of corporate bullying in a bitter design dispute with a small competitor. The conflict centers on a TV furniture panel, with the smaller firm, Canvas HiFi, claiming B&O used heavy-handed legal threats over a design they believe they pioneered.
Laust Nielsen, co-owner of Frederikshavn-based Canvas HiFi, described a tense September morning when three lawyers from Copenhagen's prestigious Bech-Bruun firm arrived at his door. They delivered a letter on behalf of Bang & Olufsen, demanding an immediate halt to sales of Canvas HiFi's 'The High Frame' product. B&O alleged it was a copy of their Beovision Contour panel and threatened legal action, including demands for sales records and product destruction.
"I don't understand why they are acting so aggressively with baseless accusations," Nielsen said. "We would much rather spend our time making good products for consumers, and I think Bang & Olufsen should do the same." The dispute emerges during a turbulent period for the listed Danish design giant, which recently fired its CEO and faces declining financial results.
A Clash of David and Goliath
The confrontation pits a global brand with thousands of employees against a niche Danish firm with about 30 staff. Canvas HiFi argues it brought its design to market first and that the two panels differ "visually, acoustically, and dimensionally." Photographs of both products show rectangular panels with speaker grilles, but Nielsen insists the similarities are superficial and functional, not a case of plagiarism.
Bang & Olufsen's decision to engage one of Denmark's largest and most expensive law firms is seen by industry observers as a classic intimidation tactic. For a small company, the cost of defending against even a groundless lawsuit from a corporate behemoth can be crippling. "The economic threat is the primary weapon here," said a Copenhagen-based intellectual property lawyer who requested anonymity. "The goal is often to force a settlement or compliance through sheer financial pressure, regardless of the legal merits."
Corporate Culture Under Scrutiny
The allegations arrive at a sensitive moment for Bang & Olufsen. The company's share price has fallen significantly in recent years, and its latest financial reports showed declining revenues. The sudden dismissal of CEO Kristian Teär last week points to deeper internal struggles. This legal aggression against a tiny domestic rival raises questions about the company's strategic direction and corporate ethics.
"When a heritage brand like B&O feels threatened by a small player, it sometimes reacts not just legally, but emotionally," said Karen Møller, a business ethics professor at Copenhagen Business School. "It risks appearing insecure and bullying, which can damage brand equity far more than any minor market share loss. Consumers, especially in Denmark, value fairness and support the underdog."
Nielsen expressed disappointment that a company he once admired would take this approach. He noted that Canvas HiFi operates in a specialized niche, crafting high-end, custom TV furniture, which he believes does not directly threaten B&O's broader consumer electronics business. The legal threat has forced his company to divert resources from product development and customer service to legal defense.
The Silent Treatment from Struer
Despite repeated requests for comment on the specifics of the case, Bang & Olufsen has refused to answer questions. The company's silence contrasts sharply with the detailed accusations laid out in the legal letter from Bech-Bruun. This lack of transparency is fueling criticism and allowing the narrative to be shaped solely by the smaller company's account.
In the legal letter, B&O's lawyers claimed exclusive rights to the design of a "low, elongated media console with an integrated soundbar." They demanded Canvas HiFi confirm in writing that it would cease all sales, provide a full accounting of units sold, and agree to destroy existing inventory and manufacturing tools. The demands were framed as necessary to avoid immediate litigation.
Intellectual property experts note that proving design patent infringement, especially in functional furniture items, is complex. The products must be substantially similar in the eyes of an ordinary observer, and functional elements are not protected. "Many companies overreach with design claims," said the IP lawyer. "They try to claim ownership over a basic form factor, which is rarely enforceable. It's often more about market control than IP protection."
A Test for Danish Business Values
The case touches on broader themes in Danish business culture, which traditionally values fair play, innovation, and healthy competition. The image of a global Danish champion using its financial muscle to pressure a small domestic startup clashes with the national self-image of supporting entrepreneurial spirit. The dispute is being closely watched in design and startup circles across the Øresund region.
"This is a test," Professor Møller added. "Will we accept that large companies can use legal budgets as competitive weapons? Or will there be a pushback, a demand for proportionality and evidence before launching such aggressive actions? The court of public opinion may rule on this long before any legal court."
For now, Laust Nielsen and Canvas HiFi are left in a difficult position. Complying with B&O's demands would mean killing a legitimate product line. Fighting them requires scarce capital and management focus. He hopes public scrutiny will encourage B&O to reconsider its stance. "We just want to run our business and create beautiful things," Nielsen said. "This isn't how competition should work in Denmark."
The outcome may influence how other major Danish corporations interact with innovative small firms. If B&O pursues the case, it could set a chilling precedent. If it backs down, it will be seen as an admission of an overreach. As Bang & Olufsen searches for a new CEO and a path to financial stability, its handling of this conflict will signal much about the company's future character—whether it sees itself as a guardian of Danish design integrity or a corporate bully struggling to maintain its turf.