According to Reuters, Apple and its Wi-Fi chip supplier Broadcom have reached an agreement with the California Institute of Technology (Caltech) to end a seven-year legal dispute over wireless communications patents.
The three parties have not announced the terms of the settlement, but Caltech has given up its current and future lawsuits against Apple and Broadcom without prejudice (impairment or deprivation of legal rights or privacy).
The dispute dates back to 2016. The California Institute of Technology accused Apple and Broadcom of infringing its Wi-Fi patents, involving multiple products such as iPhone, iPad, Mac and Apple Watch. The patent content covers improving data transmission and performance. Encoding and decoding circuits, etc.
Apple eventually countersued in an attempt to invalidate the patents, but the strategy was unsuccessful. In 2020, a jury ruled that Apple and Broadcom did infringe on Caltech's patents. Apple was ordered to pay $838 million, while Broadcom was told to pay $270 million.
The two companies were ordered to pay a combined $1.1 billion, which would be one of the largest payments in a patent dispute in U.S. history. Apple and Broadcom appealed the decision, and the U.S. Court of Appeals for the Federal Circuit ultimately ruled that although the companies had infringed Caltech's patents, the damages were unreasonable.
It was reported in August that Apple, Broadcom and Caltech were working on a potential settlement, and now the settlement has officially taken effect.
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