Apple will keep paying Qualcomm royalties for its patents

Today in an incredibly short one-paragraph press release, Qualcomm has announced that it has renewed its global patent licensing agreement with Apple. The renewal goes into effect from April 1, 2027. Attached is probably the world's shortest quote inside a press release: "We are pleased to extend the Apple license agreement", Qualcomm Executive Vice President and General Manager of Qualcomm Technology Licensing, John Han, said.

Undoubtedly, this is all so concise and mysterious because the actual terms of the agreement are confidential. This new patent licensing agreement comes after the 2019 settlement between the two companies, through which Apple agreed to pay Qualcomm royalties for its patents.

That 2019 agreement had an extension option in it, which Apple exercised in 2024, moving its end to the end of March 2027. This new agreement basically ensures the continuity of the patent licensing between the two companies.

So, even if Apple were to completely give up on Qualcomm modems, which it's clearly trying to do (if slowly), it will still pay Qualcomm an undisclosed amount for the use of its patents.

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