Make us your home page
Instagram

Patent dispute could block Apple's iPhone 6 sales in Beijing

SAN FRANCISCO — Apple is embroiled in a patent dispute in China that threatens to block future sales of the iPhone 6 in Beijing unless the company can overturn a regulator's recent ruling.

The potential ban stems from a decision issued last month by the Beijing Intellectual Property Office. The agency found the iPhone 6 and iPhone 6 Plus infringed on a patent for the exterior design of a smartphone called the 100C made by a Chinese company, Shenzhen Baili.

Apple Inc. is still being allowed to sell both of the affected iPhone models while it appeals the ruling to an intellectual property court in China.

If it loses, Apple could be forbidden from selling some of its most profitable iPhones in China's capital at a time when sales of the entire iPhone line have been declining.

The downturn is the main reason that Apple's stock has fallen by 9 percent so far this year while the Standard & Poor's 500 index has edged up by 1 percent. Apple's shares dropped $2.10, or about 2 percent, to $94.45 in Friday's late afternoon trading.

The patent dispute is Apple's latest headache in China, the company's second-biggest source of revenue after the United States and one of its fastest-growing markets. China accounted for 26 percent, or $61 billion, of Apple's revenue last year, up from 12 percent in 2011, based on calculations by RBC Capital Markets analyst Amit Daryanani.

In April, China's government blocked Apple's books and movies services after finding they violated the rules covering foreign publishers. The Cupertino, Calif., company also lost a fight this year to keep the exclusive rights to the iPhone name in China.

In a Friday research note, RBC's Daryanani predicted the patent dispute with Shenzhen Baili wouldn't depress Apple's revenue or profit margins in China.

Patent dispute could block Apple's iPhone 6 sales in Beijing 06/17/16 [Last modified: Friday, June 17, 2016 8:57pm]
Photo reprints | Article reprints

Copyright: For copyright information, please check with the distributor of this item, Associated Press.
    

Join the discussion: Click to view comments, add yours

Loading...
  1. The Iron Yard coding academy to close in St. Petersburg

    Business

    ST. PETERSBURG — The Iron Yard, a code-writing academy with a location in downtown St. Petersburg, will close for good this summer.

    Instructors (from left) Mark Dewey, Jason Perry, and Gavin Stark greet the audience at The Iron Yard, 260 1st Ave. S, in St. Petersburg during "Demo Day" Friday, Oct. 7, 2016, at The Iron Yard, which is an immersive code school that is part of a trend of trying to address the shortage of programmers.  The academy is closing this summer.  [LARA CERRI   |   Times]
  2. Florida's unemployment rate drops for fourth straight month

    Markets

    How low can Florida's unemployment go? Pretty low, according to the state's latest unemployment numbers. The Sunshine State's unemployment rate dropped to 4.1 percent for June, down from 4.3 percent in May, state officials said Friday morning.

    Florida's unemployment level dropped to 4.1 percent in June from 4.3 percent in May. |  [Times file photo]
  3. Is sinkhole damage sinking Tampa Bay property values?

    Real Estate

    On a scale of desirability, the house for sale on Whittner Drive in Land O' Lakes would rank fairly low. It's a short sale; it sits on an unstabilized sinkhole and it's within a few miles of two houses that collapsed into a gargantuan hole July 16.

    A gated community in Hernando's Spring Hill area, Pristine Place has long been susceptible to sinkholes with nearly a third of its houses with documented sinkhole damage by 2012. Today, however, many houses with repaired sinkhole damage are selling for more than houses without any issues. [WILL VRAGOVIC   |   Times file photo]
  4. The real estate pros in charge of Tampa's $3 billion makeover are younger than you think

    Working Life

    TAMPA — Brooke May, a 36-year-old senior construction project manager, knew she wanted to work for Strategic Property Partners the minute she met some team members involved with the group's massive downtown Tampa makeover.

    Matt Davis, Vice President of Development posed for a portrait in the Strategic Property Partners office in Channelside on July 12, 2017, in Tampa, Fla. [MONICA HERNDON   |   Times]
  5. St. Pete Beach may loosen beach drinking rules for hotel guests

    Local Government

    ST. PETE BEACH — Drinking a beer, a cocktail or a glass of wine may soon be legal on this city's beaches, but only for hotel guests in and around their hotel's beachfront cabanas.

    Registered hotel guests would be able to drink alcoholic beverages at their cabanas on the beach under a new rule the St. Pete Beach City Commission is considering.