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Leadership / Digital Transformation

Apple Forced to Pull iPhones from German Stores after Qualcomm Ruling

Apple will be forced to pull certain iPhone models from German stores after a Munich court found in favour of Qualcomm in a long-running patent dispute.

The court granted Qualcomm a permanent  injunction which will result in Apple removing millions of iPhones from the German market.

The ruling will only affect older models of iPhones which contain the Qualcomm- patented hardware, which provides a way to manage power consumption.

The ruling does not take effect until Qualcomm posts bonds to cover the possible event of the ruling being overturned and Apple unfairly incurring losses through the decision. Qualcomm is expected to post the bonds within days.

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Don Rosenberg, executive vice president and general counsel, Qualcomm Incorporated commented: “Two respected courts in two different jurisdictions just in the past two weeks have now confirmed the value of Qualcomm’s patents and declared Apple an infringer, ordering a ban on iPhones in the important markets of Germany and China.”

In a second blow for Apple the court ruled that they are also liable for damages and that these would be decided at a later date.

An Apple spokesperson commented that: “We are of course disappointed by this verdict and we plan to appeal. All iPhone models remain available to customers through carriers and resellers in 4,300 locations across Germany.”

Apple v Qualcomm: The War Goes On

apple v qualcomm

This week’s ruling is not the first legal decision in the Apple v Qualcomm dispute.

In January 2017 Apple sued Qualcomm for $1 billion in a lawsuit in which Apple claimed the latter was “charging royalties for technologies they have nothing to do with.”

Apple claimed in the initial case that: “Qualcomm built its business on older, legacy, standards but reinforces its dominance through exclusionary tactics and excessive royalties. Despite being just one of over a dozen companies who contributed to basic cellular standards, Qualcomm insists on charging Apple at least five times more in payments than all the other cellular patent licensors we have agreements with combined.”

See Also: Apple takes patent battle against Qualcomm to UK

Qualcomm responded at the time: “Apple has intentionally mischaracterized our agreements and negotiations, as well as the enormity and value of the technology we have invented, contributed and shared with all mobile device makers through our licensing program. Apple has been actively encouraging regulatory attacks on Qualcomm’s business in various jurisdictions around the world.”

However if the ruling by the German courts is held up after the appeal process it is a considerable blow for Apples operation in the European Union.
This article is from the CBROnline archive: some formatting and images may not be present.

CBR Staff Writer

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