Apple settles its 2-year intellectual property lawsuit with Qualcomm by agreeing to a multi-year patent license.

Charlene Vos

2019-05-01 09:27:00 Wed ET

Apple settles its 2-year intellectual property lawsuit with Qualcomm by agreeing to a multi-year patent license with royalty payments to the microchip maker. As part of this settlement, Apple and Qualcomm need to forego all legal actions worldwide, and the former continues to buy microchips from the latter. With a $2 increase in its latest EPS in early-2019, Qualcomm experiences a 23% share price boost well above $65, and its market capitalization surges by $14.5 billion to more than $83 billion. Qualcomm thus enjoys its best share price performance since 1999. In stark contrast, Apple faces a 3% share price decline, and also the Qualcomm microchip archrival Intel experiences a moderate share price dip.

During the fiscal year from 2018 to early-2019, Apple employs Intel microchips for the iPhone XS and XR production. Apple needs to surpass this strenuous patent settlement with Qualcomm to focus on 5G networks and revolutionary iPhone and iPad functions. With vital access to Intel and Qualcomm microchips, Apple designs 5G iPhones sooner than the late-2020 release date that numerous stock analysts anticipate. The surprise lawsuit settlement represents a *pyrrhic victory* for Apple as Qualcomm inflicts a hard toll on the smartphone bellwether.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

The Chinese central bank has to circumvent offshore imports-driven inflation due to Renminbi currency misalignment.

Amy Hamilton

2019-07-07 18:36:00 Sunday ET

The Chinese central bank has to circumvent offshore imports-driven inflation due to Renminbi currency misalignment.

The Chinese central bank has to circumvent offshore imports-driven inflation due to Renminbi currency misalignment. Even though China keeps substantial fore

+See More

President Trump poses new threats to Fed Chair monetary policy independence again.

Apple Boston

2025-06-20 08:27:00 Friday ET

President Trump poses new threats to Fed Chair monetary policy independence again.

President Trump poses new threats to Fed Chair monetary policy independence again. We describe, discuss, and delve into the mainstream reasons, conc

+See More

The bank-credit-card model and fintech platforms have adapted well to the recent digitization of cashless finance.

Daphne Basel

2023-11-30 08:29:00 Thursday ET

The bank-credit-card model and fintech platforms have adapted well to the recent digitization of cashless finance.

In addition to the OECD bank-credit-card model and Chinese online payment platforms, the open-payments gateways of UPI in India and Pix in Brazil have adapt

+See More

Facebook introduces a new cryptocurrency Libra as a fresh medium of exchange for e-commerce.

Dan Rochefort

2019-07-21 09:37:00 Sunday ET

Facebook introduces a new cryptocurrency Libra as a fresh medium of exchange for e-commerce.

Facebook introduces a new cryptocurrency Libra as a fresh medium of exchange for e-commerce. Libra will be available to all the 2 billion active users on Fa

+See More

Federal Reserve proposes to revamp post-crisis rules for U.S. banks.

Joseph Corr

2019-04-19 12:35:00 Friday ET

Federal Reserve proposes to revamp post-crisis rules for U.S. banks.

Federal Reserve proposes to revamp post-crisis rules for U.S. banks. The current proposals would prescribe materially less strict requirements for community

+See More

Dr Kai-Fu Lee praises China as the next epicenter of artificial intelligence and smart data analysis.

Peter Prince

2017-12-01 06:30:00 Friday ET

Dr Kai-Fu Lee praises China as the next epicenter of artificial intelligence and smart data analysis.

Dr Kai-Fu Lee praises China as the next epicenter of artificial intelligence, smart data analysis, and robotic automation. With prior IT careers at Apple, M

+See More