Apple Drops After China Court Ban in Dispute with Qualcomm

Qualcomm Ruling Halts iPhone Sales in China

A Beijing court granted two preliminary injunctions Monday against Apple subsidiaries in China, forcing them to stop selling iPhones there because of patent infringement issues.

Apple files appeal to overturn iPhone sales ban in China: The ban of some iPhone models follows a request for injunction by Qualcomm QCOM, which has been locked in a legal battle with Apple for years.

"Qualcomm's push to boycott our items is another urgent move by an organization whose illicit practices are under scrutiny by controllers around the globe", Apple said. The patents in the suit, which Qualcomm said on Monday had been upheld by the Chinese patent office, are separate from those being contested in other cases in its wide-ranging legal dispute with Apple.

"These Court orders are further confirmation of the strength of Qualcomm's vast patent portfolio", Don Rosenberg, Qualcomm executive vice president and general counsel, said in a statement online. These include one which lets users adjust the size and appearance of photos, and one which covers the way apps are managed on a smartphone. Qualcomm and Apple are fighting that battle on several fronts, including US courts, where they're scheduled to go to trial next April.

Apple, however, has claimed the ruling will not affect the availability of its devices in China, arguing that it only applies to iPhones running on an older operating system. The chipmaker cheered the decision on Monday, alleging Apple has benefited from its intellectual property.

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In recent years, Apple's market share in China has declined from 15 per cent in the fourth quarter of 2017 to 9 per cent in the third quarter of 2018, according to Counterpoint Research.

The company added it would "pursue all our legal options through the courts".

Now the United States and China are in a standoff over the arrest of a senior Huawei executive in Canada and because of an ongoing trade fight. And since then Apple sales in China has remained normal.

Qualcomm insists the upgrade of the system doesn't rescue Apple from the ban, which the company claims is indeed in effect. Qualcomm previously provided modem chips to Apple.

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