HTC shares jump on lawsuit settlement with Apple
Taipei - Shares in smart phone maker HTC Corp surged to the daily limit allowed on the Taiwan Stock Exchange Monday after the company settled all pending lawsuits with Apple Inc over alleged patent infringements.
Investors turned positive on the settlement announcement, sending the stock up 6.86 per cent.
The two companies released a joint statement a day earlier announcing a 10-year licensing agreement for each other’s patents. They declined to disclose the agreement’s details.
"HTC is pleased to have resolved its dispute with Apple, so HTC can focus on innovation instead of litigation," Peter Chou, chief executive of HTC, said in the statement.
The two companies were locked in more than 12 cases around the world, according to Aaron Jeng, an analyst at Nomura Securities.
The patents in question included the pinch-to-zoom feature that Apple alleged HTC stole, while HTC claimed its data transmission technology was used by Apple without authorization. A lengthy patent battle could have dragged on for years.//DPA