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HTC has slammed media estimates of its settlement deal with Apple (NASDAQ:AAPL) and said the agreement was not likely to significantly impact the company’s financials. HTC chief executive Peter Chou told reporters in Tokyo that he was happy with the 10-year cross-licensing agreement that put an end to the bitter legal battle between the two companies.
Neither company disclosed the terms of the agreement, made last week, but analysts estimated that HTC would have to pay Apple between $6 to $8 per Google (NASDAQ:GOOG) Android phone sold, and was thus on the losing end.
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“I think that these estimates are baseless and very, very wrong,” Chou said in response to a question about the settlement structure. “It is an outrageous number, but I’m not going to comment anything on a specific number. I believe we have a very, very happy settlement and a good ending.”
Apple, which is fighting several of its Android rivals in court, first filed a patent case against HTC in 2010. The Taiwanese company had to postpone the release of two new smartphone models — the One X for AT&T (NYSE:T) and the EVO 4G LTE for Sprint (NYSE:S) — in the U.S. earlier this year after Apple managed to get them held by U.S. Customs for checking based on a U.S. International Trade Commission ruling.
Experts have wondered if the HTC deal, the first such made by Apple, would prove to be the blueprint in potentially settling the iPhone maker’s disputes with other rivals like Samsung and Google unit Motorola.
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