Markets

Apple Forced to Stop Selling Older iPhones in Germany

A German court has issued an injunction against for violating one of 's patents, forcing the company to suspend sales of some of its older iPhone models. is appealing the decision, but has stopped selling iPhone 7 and iPhone 8 models in its German retail stores.

A German court has issued an injunction against Apple for violating one of Qualcomm 's patents, forcing the company to suspend sales of some of its older iPhone models. Apple is appealing the decision, but has stopped selling iPhone 7 and iPhone 8 models in its German retail stores.

The injunction comes a week after Apple suffered legal defeat in China in a similar dispute with Qualcomm . The iPhone maker responded to that court order with a software update for older iPhone models, but hasn't stopped selling any of its phones in the country - a decision that has irked Qualcomm.

The patent at the center of the dispute in Germany covers power management for communications chipsets, something that Apple may not be able to address with a simple software update. The company responded by suspending sales of affected iPhone models in its own stores. However, third-party retailers will continue to sell the iPhone 7 and 8 in Germany.

The two companies have been fighting in courts around the world for some time. Qualcomm, in essence, argues that Apple isn't compensating the company for the use of its intellectual property; Apple on the other hand has been alleging that Qualcomm is using invalid patents to demand royalty payments for the use of wireless chipsets.

Apple share prices were down 2% Friday morning, but those losses were in line with the rest of the tech sector, with Google stock sliding 2.7%, and Amazon shares down 4.7%.

CFRA Research analyst Angelo Zino estimated in a note to investors Thursday that iPhone unit shipments could trend down by as much as 5%-8% in 2019. He also noted that Apple's services business will likely grow 20%.

"We see iPhone uncertainty now being largely discounted in the shares and envision a number of catalysts that could help propel (the company's stock) higher in calendar year 2019," he wrote, concluding that Apple share prices will likely trend upwards in the coming months, to a target of $215, up from the current trading price of $153.

Related stories

'Fast and the Furious' Director Justin Lin Sets Overall TV Deal With Apple

Apple Lands New 'Peanuts' Content From DHX Media

Apple to Update iPhones in China to Avoid Sales Ban

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

Technology

Latest Markets Videos

    Variety

    Variety is the most authoritative and trusted source of entertainment business news, reaching an audience of affluent influencers. For 113 years, influential producers, executives and talent in entertainment have turned to Variety for expert film, TV, digital, music, and theater business analysis and insights.

    Learn More