This Is What A Billion Dollar Patent Lawsuit Does For You!

Tyler Durden's picture

The much-heralded $1.05 billion patent lawsuit win on August 24th appears to have marked "Peak AAPL-ness" as investors look through the first-round win for Apple to Samsung's potential second- and third-round wins on margins and revenues as a supplier to their rival. As Bloomberg's Chart of the Day notes, since that analyst-exuberance-inspiring date, Samsung is +16.8% (or 23% in USD terms) and Apple is -18.4%.




Charts: Bloomberg

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Freddie's picture


yeah good luck in the TV business.  I went into a Best Buy (never shop there) around Christmas three years ago.  They had endless HD TVs from China and Mexico that they could not give away.

Al Gore is on Apple's board along with Doerr and other crypto-liberal-govt-$$$-capital-facists. The same scum who brought you Fisker, the Volt, Solyndra and the other electric car that catches on fire.  All supported with taxpayer money.

F Apple, Microsoft and Bill Gates buddy the Oracle from Omaha.

realtick's picture

Glad to see you're back to using Helvetica

Mercury's picture

Technology tends to soldier on whether you're in court or not.

Netscape once declared victory in their lawsuit against Microsoft too. Remember them?

Jumbotron's picture

Patent lawsuits have nothing to do with the rise of Samsung's stock nor Apple's fall.  It's simply overshoot on both ends.  Plus you are looking at the trees and not seeing the whole forest.  Apple will continue to be a hyper focused, low SKU selling company pushing the boundaries of design and function and although margin compression is more an issue now....will just about always have less of an issue with this, simply because they are demonstrably better for most people.


That said..,... in 10-20 years...Samsung will suffer the fate of most large, multinational, electronics companies with their fingers in so many pies and 1000's of SKU's in hundreds of departments.....they get too big, bloated and full of themselves such as the RCA of old in America.....and Sony of Japan....and Panasonic....and Sharp....and Hitachi.....etc...etc.  Korea will become what Japan is now as low margin chasing, low wage arbitrage masters of the universe continue to move west....(west of Asia) into the hinterlands of Eurasia and Africa for a quick buck.....and higher profit margins on even more slave wages to people who a slave wage is more than they are getting now.

Flakmeister's picture

Buy the rumor, sell the lawsuit...

Cognitive Dissonance's picture

Un-correlation does not mean there is causation.

<Wait........I mean.......forget it.>

BrettFavre's picture

thanks for this article ! really enjoyed reading it...

zerozulu's picture

Hard work and honesty is the universal truth and a reality. Always pays at the end.

foofoojin's picture

Did you throw up a little when you wrote that? I threw up a little reading it.

jimijon's picture

This is now a time of convergence.

virgilcaine's picture

Apple is now Sony circa 1990.  Long decline ahead. Ipod =  Walkman.

LouRukeyser's picture

The USPTO is on its way to invalidating the "Steve Jobs" patent in reexamination.

foofoojin's picture

don't forget the jury foreman that is on public record saying he purposefully ignored judge instruction because he "knew" the patent system, gave statements to the jury that neither samsung or apple made ,convinced the jury to SKIP discovery questions because "it was a waste of time", and finally, had previous litigation with samsung through a subsidiary company.

dirtbagger's picture

The problem with all large electronic companies is that when the manufacture products with buggy software or defective components they will neve admit that a problem exists.  On top of that, they will continue to produce the defective items until they have reached their internal ROI.  None of these companines care about how this affects their customers.

Samsung is notorious for this.  Case in point - our Samsung 46" LCD was having problems turning on and off.  Googled the problem and there were pages of search results and about 20 videos addressing the issue.   Turns out they put some cheap capacitors in the board that eventually overheat and go bad.     Samsung refused to admit there was a problem and continued to use the same cheap parts in the TV's for years just to save a few bucks.   Don't even get me started on issues I had with the RIM Blackberry. 

If we had anything resembling a free and competitive market these companies would all end up like RIM.   Be prepared to have 2-3 cell phone makers in the future who all have a take it or leave it attitude. 

Freddie's picture

These fancy Korean appliances (Samsung, LGS) have a reputation for problems.  Yuppies showing off fancy washers, dryers and refrigs.  The stuff looks nice until it breaks. 

I have generally had good luck with Whirlpools white/stainless steel appliances.  They are not real fancy but they are reliable.