Apple hits new record after big US court victory

August 27, 2012
Apple shares soared to a new all-time high after the US tech giant's big win in a patent lawsuit against South Korea's Samsung, which saw its own stock tumble.

Apple shares soared to a new all-time high Monday after the US tech giant's big win in a patent lawsuit against South Korea's Samsung, which saw its own stock tumble.

Google shares slipped amid concerns that its Android operating system used on mobile devices made by Samsung and others would come under greater scrutiny.

In early trade, Apple jumped 1.8 percent to $675.13, giving the maker of the iconic iPhone and iPad a record market value of $633 billion (505 billion euros), reinforcing its place as the world's most valuable corporation.

Analysts said Friday's court verdict ordering Samsung to pay more than $1 billion for patent infringement, which also opens the door to a ban on some Samsung devices, bodes well for Silicon Valley firm.

"We believe this verdict strengthens Apple's already strong competitive position in the smartphone and tablet markets ahead of upcoming key product launches such as the iPhone 5," said Michael Walkley at Canaccord Genuity.

Aaron Rakers at Stifel Nicolaus said the verdict "represents a strong validation of Apple's intellectual property related to mobile devices".

He said it "potentially triggers the right for the patent holder to demand profits the infringer has collected in the process of infringing those design patents, in addition to damages from lost profits and or brand dilution."

Samsung shares slumped 7.5 percent in Seoul, the biggest single-day percentage drop the electronics giant has seen in nearly four years.

Google shares dropped two percent to $665.12.

Justin Post at Bank of America/Merrill Lynch said that investors "will be concerned about a disruption in the Android mobile market" stemming from the decision.

But he said he does not see "a near-term financial impact" for Google and maintained his buy rating on the company.

Explore further: Apple stock recovers from shock of Jobs resigning

Related Stories

Samsung files lawsuits against Apple

April 22, 2011

(AP) -- South Korea's Samsung Electronics Co. says it sued Apple Inc. for patent rights violations, only days after Apple sued Samsung for the same reason.

Samsung to contest US verdict in favour of Apple

August 25, 2012

South Korea's Samsung Electronics said Saturday it will contest a US court ruling that it must pay rival technology giant Apple damages of more than $1 billion for patent violations.

Apple wins $1bn in patent suit against Samsung

August 24, 2012

Apple won more than $1 billion in a massive US court victory over Samsung on Friday, in one of the biggest patent cases in decades—a verdict that could have huge market repercussions.

Samsung pulls tablet PC from trade show amid row

September 5, 2011

South Korea's Samsung Electronics said Monday it has withdrawn its new tablet computer from a major electronics fair in Berlin after a German court accepted a complaint from US rival Apple.

Recommended for you

Swiss unveil stratospheric solar plane

December 7, 2016

Just months after two Swiss pilots completed a historic round-the-world trip in a Sun-powered plane, another Swiss adventurer on Wednesday unveiled a solar plane aimed at reaching the stratosphere.

Solar panels repay their energy 'debt': study

December 6, 2016

The climate-friendly electricity generated by solar panels in the past 40 years has all but cancelled out the polluting energy used to produce them, a study said Tuesday.

Wall-jumping robot is most vertically agile ever built

December 6, 2016

Roboticists at UC Berkeley have designed a small robot that can leap into the air and then spring off a wall, or perform multiple vertical jumps in a row, resulting in the highest robotic vertical jumping agility ever recorded. ...

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.