The prolonged legal battle between Apple and Qualcomm has finally come to an end, although in a peaceful settlement
The hustle for 5G connectivity for many of the smartphone brand is a ‘do-or-die’ affair, and the same can be said of Apple who has found itself in a compromising shoe for a long time now simply because of its pursuit of the next-gen network. While Apple has been fighting its way into Qualcomm’s 5G vault, it turned out that the race wasn’t as easy as it was in the past, hence, the reason for the lawsuit in the first case. However, the duo seems to have finally reached an agreement after several backs and forth.
In the latest announcement, the two companies have settled their patent royalty dispute, ending all ongoing legal action (including with Apple’s manufacturing partners). Apple has agreed to pay Qualcomm an unspecified amount, while both sides have struck a six-year patent license deal as well as a “multiyear” wireless chipset supply deal.
The whole settlement looks pretty easy after all, but there is definitely more to the happy ending that we can tell for now. The battle that ended in a patent agreement will sure have a most favored party- Qualcomm on its own end has scored a few victories, but so has Apple, and neither side is likely eager to have some of their inner workings revealed in court. However, Apple appears to be the one with most stakes, knowing well that defeats could lead to sales bans on currently available phones, even when they don’t use Qualcomm chipsets. Qualcomm, meanwhile, is mostly concerned about antitrust actions that could force it to accept reduced royalties. At the end of the whole disagreement, both parties have a good course for whatever action that was taken initially.
The reason why both companies arrived at an agreement this early is still unclear, but it sure looks like both tech giants have things properly worked out already, although, not without leaving some other companies to suffer from their course. Intel, which was the most affected seems to have lost its deal with Apple over the 5G provision. Intel further announced to drop effors geared towards building the 5G Modems for smartphone, although it didn’t state wether to revisit the plan in the nearest future.
Furthermore, this latest deal isn’t going to end Qualcomm’s antitrust headaches elsewhere in the world. However, it might help the company’s claims that it isn’t strong-arming heavyweights like Apple into paying excessive royalties. It’ll certainly help both companies refocus. They can spend more time developing their hardware and less time worrying about whether or not that hardware will remain on sale.