Apple Could Generate $280 Million a Year from HTC Deal

Patent settlement deal spans for a decade.

Following the global patent settlement between Apple and HTC, the former is said to be set to pocket over quarter of a billion dollars from the deal.

Sterne Agee analyst Shaw Wu said he has spoken with industry sources who told him that Apple will generate around $6 to $8 in licensing fees for each smartphone HTC ships next year.

When factoring in his estimate of 30 million to 35 million shipments, Wu believes Apple will generate between $180 million to $280 million in licensing fees alone.

To add credence to Wu's report, a Wall Street Journal source has backed up the?analyst's claim by stating they have?knowledge of the deal. That said, the source didn't know any details pertaining to how much Apple will receive in the deal.

The unnamed source did, however, tell WSJ that HTC's executives are relieved that its two year battle with Apple is over. The settlement itself covers all current and future patents for a duration of a decade.

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