In a standoff that has been brewing since 2017, Apple argued that Qualcomm was charging too much for patent licensing. After Apple shifted to using Intel chips, Qualcomm moved to get iPhone imports banned in countries around the world for patent infringement.
The two companies have just announced a settlement, with both agreeing to drop all litigation with the other worldwide.
Exact details of the agreement are under wraps, with the two companies only disclosing:
- A payment (amount undisclosed) is being made from Apple to Qualcomm
- The two companies are establishing a six-year licensing agreement (with the option to extend by up to two years), and a “multiyear” chipset supply agreement
Qualcomm stock spiked by about 18% with the news.