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Apple anticipates serious consequences with Qualcomm over China's iPhone ban



Apple is in the difficult process of updating its Chinese iPhones to a special version of iOS 12 as a means to avoid fines for import and sale of devices that a local Chinese court has considered violating two of Qualcomm's patents. The hope is that Apple will no longer trigger the patented features of the question, and its iPhones would not be subject to enforcement.

"Based on the iPhone models we offer today in China, we believe we adhere to," Apple said in a statement to Reuters . "Early next week we will provide a software update for iPhone users in China that addresses the lesser functionality of the two patents in the case."

The devices include all iPhones released from 201

5, 2016 and 2017.

Qualcomm was unhappy with the development, but as it continues to fight Apple over the validity and application of patents, it has publicly stated that it also wants to target against the iPhone XS, XS Max and XR models for orders.

Nikkei Asian Review reports from its sources that Apple may also seek to minimize obligations if the ban is enforced by reducing confidence in the founder Foxconn and Wistron and turning to Pegatron Qualcomm confirmed that ODM apparently apparently had licensed patents on behalf of Apple. The big question ahead would be about Pegatron, with factory capacity half the size of Foxconn.

Cutting off Foxconn and Wistron production can weigh Apple's sales down by $ 5 billion over a year. If Apple decides to increase Pegatron's order, this impact can be reduced by 50 percent or better.

The chipmaker claims that there are billions of dollars of royalties from Apple's suppliers while the hardware giant warns of major disruptions to mobile makers like Bloomberg received Apple's December 10 filing with Fuzhou Intermediate People & # 39 ; s Court, which reads in part:

Apple will be forced to settle on [Qualcomm] and cause all mobile phone manufacturers to fall back to the previous unfair charging mode and pay high license fees, resulting in irreparable losses in the downstream mobile phone market .

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