Apple And Broadcom Face Billion-Dollar Patent Case After Supreme Court Rebuff: WSJ

The Supreme Court has declined to hear an appeal from Apple Inc. AAPL and Broadcom AVGO in a billion-dollar patent case brought by the California Institute of Technology (Caltech), The Wall Street Journal reports.

Setback for Apple and Broadcom

This decision paves the way for a damages-only jury trial to determine how much Apple and Broadcom should pay for infringing Caltech patents related to wireless technology. Caltech previously won a $1.1 billion verdict in the case, but a lower court ruled last year that the damages need to be recalculated.

Patent Infringement Case

Caltech sued Apple and Broadcom in 2016, alleging unauthorized use of patented inventions that enhance Wi-Fi speed and range on mobile devices. The companies appealed the verdict, and the case was taken to the Supreme Court, where they sought to argue that they were improperly blocked from making key arguments.

Supreme Court’s Decision

The Supreme Court, without providing a rationale, declined to hear Apple and Broadcom’s appeal. This decision follows the U.S. solicitor general’s recommendation in May, stating that the Federal Circuit had properly applied the law.

Price Action

Apple shares traded 0.15% lower at $186.4 at the time of writing on Tuesday. Broadcom shares traded 0.58% higher at $826.88.

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