JAPANESE-KOREAN CONFLICT: Share technical knowledge at your peril.

That's the lesson Japanese electronics manufacturers are drawing now that their South Korean rivals are giving them a run for their money in key component markets.

The sparks-and patent lawsuits-are flying in the red-hot sectors of sophisticated microchips and flat-panel displays: key components of digital cameras, flat-panel TVs and other big-selling appliances.

South Korean manufacturers are spending huge sums to get ahead in these markets. In some fields, they have already nosed ahead of their Japanese competitors.

While acknowledging the South Koreans' strategies, Japanese executives blame themselves for letting technology secrets slip out of their hands.