The Strategist

Apple iPhones may be withdrawn due to patent infringement

03/28/2019 - 14:17

Apple and Qualcomm keep the patent war going. No one intends to concede even despite the fact that Apple was acquitted of one charge. The second case could lead to a total ban on the import of iPhones from China to the United States. Now, before the summer, Apple will have to defend its rights and prevent restriction of sales of gadgets, the demand for which is already going through hard times.

The United States Commission on International Trade has reviewed two patent disputes between Apple and Qualcomm. Interestingly, one of these cases was decided in favor of Apple, and the second - in favor of the microchips manufacturer.

As for charges of illegal use of energy-saving technologies, the court sided with Apple. However, the company failed to win in case of violation of the patent on methods to improve speed and quality of data loading. The judge ruled that Apple was guilty, which could lead to a ban on the import of iPhones from China to the United States.

In particular, the company will have to stop selling gadgets that have Qualcomm processors installed (chips A10, A11 and A12). They are present in iPhones, starting with the iPhone 7 and ending with the iPhone X.

This decision is not final, and will be transferred to the panel of judges, who will deliver a verdict on July 26, 2019. After that, it can be further reviewed by US President Donald Trump.

Qualcomm’s spokesperson thanked the judge for his decision. "We express our appreciation to Judge McNamara for acknowledging violation of our patents by Apple and for his recommendation to impose a ban on the import of iPhones," said Don Rosenberg, General Counsel for Qualcomm.

In turn, Apple expressed confidence that Qualcomm is trying “to divert attention from serious problems, such as its own monopolistic business practices,” through its litigation. Representatives of the firm said they would continue to defend their rights in court.

In December last year, the Chinese court decided to suspend sales of seven Apple iPhone models due to a suit from Qualcomm. The latter accuses Apple of patent infringement. The judge also introduced a preliminary ban on import of some iPhones. Soon after, the same decision was made by the court in Germany.

Due to disputes with Qualcomm, Apple had to cooperate with another chip manufacturer, Intel. Now, Intel's XS, XS Max and XR processors are installed in the iPhone, so there is no threat to these models on the market.

This week, Apple held a presentation of its new services, inviting a record number of show business stars. Nevertheless, many analysts and ordinary users agreed that the event turned out to be extremely boring and did not correspond to other events of Apple.

It is known that the value of Apple shares kept falling after the presentation of new services. After the event, the stock price fell by 2% to $ 187.37 per share. Then it continued to fall by 1%, reaching $ 186.79 per share.