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Bryan M. Wolfe
| August 27, 2012
Apple V. Samsung: To The Victors Go The Spoils
We already know that a California jury has awarded Apple $1 billion in the now-concluded patent infringement case against Samsung. Now, we’re beginning to hear just how much more Apple could gain from last week’s ruling. According to Maynard Um with Wells Fargo Securities, Apple’s victory over Samsung could have “ripple effects throughout the smartphone industry that would be in Apple’s favor,” according to AppleInsider. Specifically, Apple is now poised to collect from a “royalty revenue stream” that will be “highly profitable.” Because of this, Um estimates that Apple’s share price could rise as high as $760. It is currently trading at $663. Beyond this, the ruling will likely see Apple collecting a “significant licensing fee” from Samsung for the sale of smartphones. Previously, Google stated that the ruling against Samsung had little to do with their Android operating system. As Aldrin Calimlim stated:
... Google is quick to point out that most of the patents associated with the case “don’t relate to the core Android operating system.” Google is effectively dissociating Android and, by extension, itself from the case. But it does affirm its commitment to “work with our partners to give consumers innovative and affordable products,” adding that “we don’t want anything to limit that.”Source: AppleInsider