Changes Made to iPhone 7 and 8 May Overcome Ban in Germany
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There have been reports of Apple finding a way around the ban in Germany on the sales of iPhone 7 and 8. The ban is a result of a patent infringement lawsuit filed by Qualcomm. Apple plans to modify some parts of its operating system by swapping one component for another so as not to infringe upon the intellectual property rights of Qualcomm.
Thus far, the company has not commented on these rumors, but it did say that it plans to challenge the German court’s verdict. The ban on the sales came in effect this year on January 4th.
After an intellectual property dispute in December 2018, Qualcomm secured a legal injunction against Apple in Germany. As per Qualcomm, Apple is misusing its patented technology. Apple, on the other hand, argued that Qualcomm, which is an American processor and modem manufacturer, is exploiting a monopoly on cellular modems illegally.
According to a German website, WinFuture.de, Apple is making modifications to iOS like it did in China. The case in Germany, however, is about a particular component which is used to manage the consumption of power of the phone’s modem. If Apple is successful in modifying this component, it would be able to resume its sale in Germany and avoid paying Qualcomm a licensing fee.
Impact on Sales and Distribution
This ruling has indeed affected the older iPhone models, as Apple had to stop getting modems from Qualcomm entirely and ended up withdrawing the iPhone 7 and 8 from all stores in Germany. Now, Apple is unable to sell the iPhone directly in the market, but it can sell through its partners, which include third-party retailers and mobile service carriers. This ban came into effect on January 4th, 2019 around the same time when Qualcomm posted a bond of 1.32 billion euros.
Other Legal Disputes
This isn’t the only legal dispute Apple has been involved in. In Germany and China, Apple also had to modify some parts of iOS, including animations, in order to overcome the legal action taken by Qualcomm. The iPhone models affected by these disputes were allowed to stay in the market while the companies were fighting the appeal in court.
Qualcomm also attempted to get the new iPhone XS, XS Max and XR banned for the same reasons.
Apart from China and Germany, Qualcomm and Apple are involved in litigation in the US as where there is an investigation underway by the Federal Trade Commission regarding claims of antitrust infringement against Qualcomm. In addition, the US International Trade Commission is also investigating another case of patent infringement. They have, however, declined to put a ban on the sale of iPhone or to block its import.