Apple, Qualcomm agree to drop all litigation over royalty payments

Apple and American microchip manufacturer Qualcomm said on Tuesday they have agreed to “dismiss all litigation” against each other worldwide in what had been a sprawling battle over royalty payments.

The last-minute settlement cut short a courtroom clash between the tech giants just as it was getting underway in California. For two years, the companies had fought a multi-front brawl that could have required Qualcomm to pay billions. The news sent Qualcomm’s stock price soaring more than 23 per cent on Wall Street, its best one-day performance in nearly 20 years.