Could Apple (AAPL) iPhone 5 Be Banned in U.S.?
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Price: $315.32 -0.28%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.4%
Revenue Growth %: +15.8%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.4%
Revenue Growth %: +15.8%
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Apple (Nasdaq: AAPL) shareholders take note: next-gen iPhone and iPad shipments might be banned.
The reason? Litigation with HTC. The Taiwan-based mobile device OEM might have a leg-up on Apple in patent litigation, according to Bloomberg.
Two patents that are in question are recent intellectual property acquisitions by HTC from ADC Telecommunications, which Apple is seeking to invalidate. The IP focuses on how to reliably transmit large amounts of data, which is critical to the speed behind 4G LTE downloads. Coincidentally, the iPhone 5 is expected to have 4G capability (Apple's latest iPad runs on the LTE network).
That means HTC might seek a ban of the iPad and newest iPhone if they utilize 4G technology. Investors will find out on Wednesday, when Apple holds a special event in California.
U.S. International Trade Commission Judge Thomas Pender said that he has to be pretty "darn certain" to invalidate HTCs patents.
HTC might argue that the newest iPhone should be banned due to production starting in pre-trial investigations into the patent case.
It wasn't made clear when the final ruling will come. The case is In the Matter of Certain Electronic Devices with Communication Capabilities, 337-808, U.S. International Trade Commission (Washington).
Apple is expected to announce the new iPhone at an event on September 12th.
Shares of Apple are slightly higher in early trade Monday.
The reason? Litigation with HTC. The Taiwan-based mobile device OEM might have a leg-up on Apple in patent litigation, according to Bloomberg.
Two patents that are in question are recent intellectual property acquisitions by HTC from ADC Telecommunications, which Apple is seeking to invalidate. The IP focuses on how to reliably transmit large amounts of data, which is critical to the speed behind 4G LTE downloads. Coincidentally, the iPhone 5 is expected to have 4G capability (Apple's latest iPad runs on the LTE network).
That means HTC might seek a ban of the iPad and newest iPhone if they utilize 4G technology. Investors will find out on Wednesday, when Apple holds a special event in California.
U.S. International Trade Commission Judge Thomas Pender said that he has to be pretty "darn certain" to invalidate HTCs patents.
HTC might argue that the newest iPhone should be banned due to production starting in pre-trial investigations into the patent case.
It wasn't made clear when the final ruling will come. The case is In the Matter of Certain Electronic Devices with Communication Capabilities, 337-808, U.S. International Trade Commission (Washington).
Apple is expected to announce the new iPhone at an event on September 12th.
Shares of Apple are slightly higher in early trade Monday.
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