Apple and Qualcomm have more settlement details disclosed
Sina Digital News April 19 morning news, UBS analyst Timothy & middot; Timothy Arcuri released a report estimated that Apple may pay Qualcomm $ 5 billion to $ 6 billion Cash, to end the legal battle between the two tech giants to prosecute each other globally.
A few days ago, Apple and Qualcomm suddenly announced that they agreed to revoke all litigation between the two parties. This is also an unexpected, reasonable thing. The settlement agreement included Apple’s payment to Qualcomm, but the two companies were reluctant to disclose the exact amount of the payment.
In addition, UBS mentioned that in the future, every time Apple sells an iPhone, it will need to pay Qualcomm a patent fee of $8 to $9. Previously, for every iPhone sold, Apple needed to pay Qualcomm $7.5.
UBS's estimates show that Apple has paid a high price to end this fierce legal battle. This legal dispute spans multiple continents and even affects Apple's ability to release the 5G iPhone and puts tremendous pressure on Qualcomm's core patent licensing business model.
As for why Apple, which is extremely dissatisfied with Qualcomm’s selling of chips and patents, chose to bow, UBS analysis said that the high probability is that Intel’s 5G baseband is not strong, and according to the iPhone’s 18-month development cycle, the strong Intel means Apple next year. It is very likely that you will miss the window period for releasing the 5G iPhone, which is unacceptable.
Since the settlement, Qualcomm's share price has risen by more than 38%, and Apple's share price has risen by 2%. Of course, through this settlement, Apple won the 5G baseband chip for the iPhone, which is a good result. (Yuze)