The jury gave Qualcomm the full amount it requested and rejected Apple's claim that a former engineer was a contributing inventor on one of the patents, according to a report by the tech culture news site c/net. Qualcomm jumped as much as 3.5 percent before finishing up 2.2 percent at the close in NY trading.
"Qualcomm's ongoing campaign of patent infringement claims is nothing more than an attempt to distract from the larger issues they face with investigations into their business practices in USA federal court, and around the world", an Apple statement notes.
Following an eight-day trial, jurors found that Apple infringed on three patents related to smartphone features affecting battery life, internet connection speed, and power saving on various iPhone models.
In the trial that just concluded, the jury unanimously agreed with Qualcomm's contention that it should be paid $1.41 per iPhone relying on three of its patents.
Don Rosenberg, executive vice president and general counsel of Qualcomm, told Reuters in a statement, "Although the Court today did not view Apple's conduct as a breach of Apple's promises to Qualcomm in the 2013 Business Cooperation and Patent Agreement, the exposure of Apple's role in these events is a welcome development". About 1.4 billion smartphones were sold previous year, according to IDC. The companies had a falling out in 2016 when Qualcomm - which had been the exclusive supplier of iPhone chipsets for five years - halted quarterly royalty rebates it had been paying Apple. That dispute is focused on Qualcomm's patent royalties with Apple and involves billions, Cnet said. Despite the award, when you consider the $1 billion that Qualcomm will have to rebate to Apple, the latter ended up approximately $969 million in the black.
Apple has switched to using Intel Inc. chips in its phones.
Apple then filed the lawsuit stating Qualcomm had missed rebate payments, which amounted to almost $1 billion.
"Next month's case on licensing [between Apple and Qualcomm] will affect billions of dollars in fees that Apple and most phone vendors pay Qualcomm", Greengart said. Qualcomm is also awaiting a judge's ruling in a case that wrapped up in January where the Federal Trade Commission alleged that Qualcomm uses anti-competitive practices in how it licenses its patents.