A controversy in the land where intellectual property goes to die has embroiled two of America's strongest brands. Supposedly in honor of the upcoming 2008 Beijing Olympics (for which it is not a sponsor), Pepsico (NYSE:PEP) China has unveiled a new red can.

Publicly, Coca-Cola, (NYSE:KO) the official sponsor of the Olympics, has ignored the imposition. However, I suspect there is some teeth-gnashing going on in the mother ship in Atlanta. MoneyMorning's Keith Fitz-Gerald makes the point that red and Coke are virtually synonymous. I further agree with his speculation that, if the new Pepsi garb is successful, the corporation will have little reason to drop it after the Olympics.

This is another example of the free-for-all currently taking place in China as non-sponsors of the Olympics try to horn in on the action.

Recently, The Scotts Miracle Grow Co. (NYSE:SMG) successfully bullied small-time fertilizer-from-worm-droppings vendor TerraCycle to change packaging design that is less similar than this example. if Coke lets this slide, who knows what we could see next? Brown FedEx (NYSE:FDX) trucks? UPS(NYSE:UPS) is also an Olympic sponsor.

In their never-ending quest to sell more soda, PepsiCo (NYSE: PEP) has unveiled a new summer drink in Japan, Pepsi Ice Cucumber. The pale-green concoction doesn't actually contain cucumber, but is flavored with an artificial version of the vegetable.

Suntory Ltd., Pepsi's Japan distributor, plans to market Pepsi Ice Cucumber for the summer season, and hopes to sell 200,000 cases before fall.

This is another example of the drink industry's scramble for unique flavors and combinations that can differentiate it in an increasingly-crowded marketplace. Anheuser-Busch (NYSE: BUD) recently launched its beer/Clamato juice blend, Chelada, which it claims is doing quite well.

If Pepsi Ice Cucumber does well, I expect more combination drinks to follow. Perhaps:

• Chef Boyardee Chianti -- the classic red wine flavored with spaghetti sauce.
• NASCAR beer -- A light pilsner with a dollop of STP.
• Starbucks (NASDAQ: SBUX) Sunshine special -- Florida orange juice invigorated with a triple espresso.
• White Castle Coke – Coke Classic with a hint of onion.
• RC/DC Cola – RC and prune juice.
• Banana Fanta Fofanna – Need I explain?

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When I was writing about Jones Soda Co. (NASDAQ:JSDA) and their announced switch to sugar instead of high fructose corn syrup as sweetener, I didn't read all the way to the end of the Wall Street Journal [subscription required] story. I should have, though, as it's really the big news.

PepsiCo, Inc. (NYSE:PEP) funded a study on high fructose corn syrup, which indicates that sugar and high fructose corn syrup have nearly the same effect on the body, and found no difference in the way the two substances contribute to weight gain. (The study is being written up for submission to a journal by researchers at UC Davis.) Pepsi is promoting this study heavily and said in response to Jones' move, "To say cane sugar is healthier than HFCS just isn't true. Marketing a myth for a competitive advantage is irresponsible and short-sighted."

But. But! Pepsi is working on some versions of its most popular sodas, including Sierra Mist and Pepsi itself, that contain sugar instead of high fructose corn syrup -- along with the removal of some preservatives and artificial colors. This news, reported by Beverage Digest magazine, seems at cross purposes with Pepsi's spokesman's claim.

If Pepsi is so sure high fructose corn syrup is safe -- and so interested in making sure consumers believe it -- why would it even dream of converting? Something tells me we haven't heard the end of Pepsi's evaluation of HFCS.