Samsung have been defeated in the court battle with Apple and will have to pay out $1 billion to Apple. The court in the US ordered this after ruling that that Samsung had infringed on some of the patents of Apple. While they may have won they are getting less than half of the money they were after, $2.5 billion.
Samsung loses to Apple in court, must pay $1 billion
Samsung has sold 50 million handsets during April and June which is twice the amount of iPhones that have been sold. Their handset business is behind the growth of the company as it brings in around 70% of the profits. In April and June their net profit was around $4.5 billion.
They could see a ban on the Galaxy smartphones in the US but they can always tweak the devices to avoid patent infringement.
The jury in the case started deliberating just last Wednesday and the verdict which came on Friday regarding seven patent claims of Apple and five of Samsung’s might suggest that the jury had very little difficulty in deciding that Samsung had copied features that are seen on the iPhone and iPad. Apple says that they will be filing a sales injunction within 7 days.
Samsung did release a statement saying that the verdict was a loss for the US consumer, which may mean that as far as they are concerned, this isn’t over. They went on to say that the verdict was not the final word. It may take several years for them both to settle the case and it could end up seeing both Apple and Samsung enter into a cross licensing agreement.
Many analysts had expected a mixed ruling and were surprised by the victory of Apple, however the impact that it will have on Samsung is thought to be limited as they did change some designs in new products. However it does remain a loss in what is a very important market and of course the brand name will be negatively affected as Samsung will now have the name of copycat. It is thought that while the Samsung Galaxy S3 was not in the trial Apple could try to stop sales of it due to the verdict of Apple’s design and features being copied. Apple may even begin a new trial against Samsung’s flagship handset.