Apple and Qualcomm settle: Here's what the battle means for your next iPhone

CNET | 4/16/2019 | Shara Tibken
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The frenemies have made up.

Apple and Qualcomm settled a two-year-old battle over patent licensing on Tuesday, a reconciliation that ended a trial that had started just a day earlier. The companies, which had been fighting in courts in China, Germany and other countries, in addition to the US, will end all worldwide litigation.

Cupertino - Apple - Payment - Qualcomm - Statement

Cupertino, California-based Apple will make an unspecified payment to Qualcomm, according to a joint statement. The companies have also reached a six-year licensing agreement that includes a two-year option to extend and a multiyear chipset supply agreement. The agreement went into effect on April 1, the companies said.

The decision set the San Diego courtroom the companies were appearing in abuzz. Apple and its contract manufacturers had presented their opening arguments and a lawyer for Qualcomm had nearly finished when the announcement was made. A day earlier, the sides had selected a jury that included a pilot, a retired nurse and a former pitcher for the Kansas City Royals.

Settlement - Twist - Fight - IPhone - Risk

The settlement is the latest twist in a fight that could put your iPhone at risk. San Diego-based Qualcomm supplies network connectivity chips for Apple's iPhones and is the world's biggest provider of mobile chips. Its technology is essential for connecting phones to cellular networks. The company derives a significant portion of its revenue from licensing its inventions to hundreds of device makers, with the fee based on the value of the phone, not the components. Qualcomm owns patents related to 3G, 4G and 5G phones -- as well as other features like software -- so any handset makers building a device that connects to the networks has to pay it a licensing fee, even if they don't use Qualcomm's chips.

Qualcomm and Apple are fighting over patents and licensing fees.

Apple - Company - Applications - Processor

That includes Apple. The company makes its own applications processor...
(Excerpt) Read more at: CNET
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