- Qualcomm Inc added $30 billion to its market value after it resolved a legal battle with Apple Inc, a move that secures its leadership in 5G phone chips and could pave the way for a similar settlement with China’s Huawei Technologies.
The deal with Apple, coming at the cusp of the rollout of high-speed 5G network, could help Qualcomm return to the preeminent position it held in the early 2010s when it dominated the transition to 4G mobile networks and expanded revenues dramatically. “This was a game changing settlement for Qualcomm and was also a smart move by Apple to clear this noise and focus on 5G smartphones for 2020.”
Of the 25 brokerages covering the stock, 14 rate it “buy” or higher and the rest have a “hold” rating, according to Refinitiv data. The settlement also helps Apple close the gap with rivals such as South Korea’s Samsung Electronics Co and Huawei in delivering a 5G phone.
And the downfall of Apple has begun