Samsung shares up on Galaxy line sales ban rejection in the US
Shares of Samsung Electronics were up 2% on the news that came after the market close on Friday that some phones and tablets from Galaxy line won't be banned in the US as Apple had requested.
Samsung would have been hit with up to $1.5 billion of lost revenue had the injunction taken place, and that would have been a major setback for its telecom business which recorded $2.2 billion of profit last quarter on high-flying Galaxy line sales. Moreover, this would have affected the sales volumes in a major way, just when Samsung surpassed Apple as the world's largest cell phone maker by volume - with the release of the iPhone 4S in Q4 and an eventual sales ban all bets were off.
Still, the main lawsuit is in full motion and the final hearings are set for July next year. Samsung might still be required to pay up if Apple's patent requests are deemed valid by the court, but between the ban lift in Australia and the ban rejection in the US, things are looking better for Samsung.
source: Reuters
Samsung would have been hit with up to $1.5 billion of lost revenue had the injunction taken place, and that would have been a major setback for its telecom business which recorded $2.2 billion of profit last quarter on high-flying Galaxy line sales. Moreover, this would have affected the sales volumes in a major way, just when Samsung surpassed Apple as the world's largest cell phone maker by volume - with the release of the iPhone 4S in Q4 and an eventual sales ban all bets were off.
source: Reuters
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