Professor Mark Patterson provides perspective on the breaking news that after two years of ongoing lawsuits, Apple and Qualcomm have agreed to dismiss all of the legal battles between the two companies around the world.
The companies appeared in court on Monday in a trial that was expected to last for four to six weeks in San Diego. Apple CEO Tim Cook was expected to take the stand.Apple alleged that Qualcomm — which has made crucial chips for the iPhone — charged an unfair amount to license its patents to place calls, connect to the internet and for other technologies, including audio and video.
…“[The settlement is] a bigger deal for Qualcomm because their licensing practices worldwide and market wide could’ve been affected by an adverse decision by the court,” Mark Patterson, a law professor at Fordham University School of Law, told CNN Business. “While Apple might’ve had a problem if the decision had gone against them, it just would’ve meant paying more and Apple has a significant cash reserve.”Patterson cautioned that Qualcomm isn’t totally in the clear.“Qualcomm is still being pursued by the Federal Trade Commission and entities in other countries, so their licensing could still be limited,” he said.