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I'm guessing the one time payment might be of large enough size that analysts could figure it out based on quarterly statements, but I'm curious what the patent

I'm guessing the one time payment might be of large enough size that analysts could figure it out based on quarterly statements, but I'm curious what the patent royalty agreement looks like. For Apple, I'm sure they'll still a) work on designing their own modems and b) source modems from Intel.

danaris 8y ago
> and b) source modems from Intel. Well, they can't do that anymore, given Intel's announcement that they won't be making them.
duxup 8y ago
Would they pay it / qualcomm account for it in a single quarter?
Despegar 8y ago
The one time payment is likely just what they've been withholding for the past few years during litigation plus interest.
- Twisell 8y ago
  Or a fraction of that. Depend on the secret deal. Could as well be a symbolic 1$ if Qualcomm lawyers determined that it was a lost case and that settling it fast could prevent any additional harm in related antitrust cases.
  - sroussey 8y ago
    $2/share in additional earnings
    - Twisell 8y ago
      This don’t add up, multiply by shares outstanding and it’s 2.4 Billions while Qualcomm was looking for over 7 Billions. So, quite logically , they must’ve have settle for some middle ground.
carnagii 8y ago
> b) source modems from Intel. This settlement does not say good things about Intel's progress on 5G.
- oflannabhra 8y ago
  Yep. I'd guess that they continue to source LTE modems from them, however.
  - Alex3917 8y ago
    All of their LTE modems, or just some of them like previous years?
    - oflannabhra 8y ago
      My bet would be they diversify their sourcing, if they can. In the FTC case Apple stated that they wanted to buy 4G modems from Qualcomm, but Qualcomm refused unless they were exclusive. But who knows what the terms of the deal are.
- wyldfire 8y ago
  Until they have their own design, Apple would be wise to continue dual-sourcing the modems. Apple is heavily subsidizing Intel's R&D until they can bootstrap their own. Apple can make their premium offering Qualcomm's 5G and have the tier(s) below that be Intel's LTE.

danaris 8y ago

> and b) source modems from Intel. Well, they can't do that anymore, given Intel's announcement that they won't be making them.

duxup 8y ago

Would they pay it / qualcomm account for it in a single quarter?

Despegar 8y ago

The one time payment is likely just what they've been withholding for the past few years during litigation plus interest.

Twisell 8y ago
Or a fraction of that. Depend on the secret deal. Could as well be a symbolic 1$ if Qualcomm lawyers determined that it was a lost case and that settling it fast could prevent any additional harm in related antitrust cases.
- sroussey 8y ago
  $2/share in additional earnings
  - Twisell 8y ago
    This don’t add up, multiply by shares outstanding and it’s 2.4 Billions while Qualcomm was looking for over 7 Billions. So, quite logically , they must’ve have settle for some middle ground.

carnagii 8y ago

> b) source modems from Intel. This settlement does not say good things about Intel's progress on 5G.

oflannabhra 8y ago
Yep. I'd guess that they continue to source LTE modems from them, however.
- Alex3917 8y ago
  All of their LTE modems, or just some of them like previous years?
  - oflannabhra 8y ago
    My bet would be they diversify their sourcing, if they can. In the FTC case Apple stated that they wanted to buy 4G modems from Qualcomm, but Qualcomm refused unless they were exclusive. But who knows what the terms of the deal are.
wyldfire 8y ago
Until they have their own design, Apple would be wise to continue dual-sourcing the modems. Apple is heavily subsidizing Intel's R&D until they can bootstrap their own. Apple can make their premium offering Qualcomm's 5G and have the tier(s) below that be Intel's LTE.