Apple to pay University of Wisconsin foundation $234 million in processor patent case

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Apple to pay University of Wisconsin foundation $234 million in processor patent caseA jury ruled this week that Apple will have to pay The University of Wisconsin $234 million in damages over a patent lawsuit concerning Cupertino’s A7 and A8 processors.

The ruling shows that Apple had infringed on one of the Wisconsin Alumni Research Foundation’s patents, when it used technology invented by UW computer science professor Gurindar Sohi in its A7, A8, and A8X processors. These processors powered Apple’s iPhone 5s, 6, and 6 Plus, and iPad Air/iPad Air 2 in 2013 and 2014.

“This is a case where the hard work of our university researchers and the integrity of patenting and licensing discoveries has prevailed,” said WARF managing director Carl Gulbrandsen in a statement.

Originally, the WARF was chasing Apple for as much as $862 million, but eventually decided to lower that amount by more than half, to around $400 million. As such, Apple will be paying slightly less than 60 percent of that lowered amount, as the jury ruled Apple had indeed infringed on the WARF patent, albeit unintentionally and not willfully. Nonetheless, company representatives have confirmed that it will appeal the court’s decision.

As it stands, the $234 million Apple will have to pay is small change for the Cupertino-based tech giant, considering that it earns about $134.7 million in profit a day. This translates to about 42 hours of profit lost through the settlement, however, the WARF has something else cooked up against Apple. The foundation is accusing the iPhone and iPad-maker of using its technology in the A9 and A9X processors that are found underneath the iPhone 6s and 6s Plus and the iPad Pro.