Qualcomm Got $4.5 Billion From Apple Settlement According to Earnings Release

Qualcomm today announced its quarterly earnings results and shared details on the amount of revenue that it will be receiving in the coming quarter as part of its recent settlement with Apple.

As pointed out by Axios, Qualcomm will record $4.5 to $4.7 billion in revenue from the Apple settlement, which includes a "cash payment from Apple and the release of related liabilities."

qualcomm iphones
Apple and Qualcomm announced a settlement in mid-April, dropping all lawsuits and litigation against one another. Apple at the time said the settlement included a payment from Apple to Qualcomm, but both companies declined to provide specific details on just how much Apple paid out in backdated royalties.

An analyst estimate put the number at around $5 billion to $6 billion, but it appears Apple didn't shell out quite that much.

Apple's deal with Qualcomm also includes a direct six year licensing agreement and a multiyear chipset supply agreement, which will see Qualcomm supplying modem chips to Apple for future devices.

Apple appears to have had no alternative but to settle with Qualcomm as it needed 5G modem chips for its 2020 iPhone lineup. Apple originally planned to use Intel chips, but rumors suggested Intel wasn't meeting development goals, leading to tension between Apple and Intel.

Just hours after Apple and Qualcomm announced a settlement deal, Intel said that it was exiting the 5G smartphone modem business and would not be making 5G smartphone chips at all, a decision the company later said was based on Apple and Qualcomm's settlement.

Yesterday, Apple CEO Tim Cook said that Apple "feels good" about the resolution with Qualcomm. "We're glad to put the litigation behind us and all the litigation around the world has been dismissed and settled," said Cook. "We're very happy to have a multi-year supply agreement and we're happy that we have a direct license arrangement with Qualcomm that was important for both companies."

Popular Stories

iOS 26

Everything New in iOS 26.1 Beta 1

Monday September 22, 2025 12:44 pm PDT by
Apple released the first beta of iOS 26.1 today, just a week after launching iOS 26. iOS 26.1 mainly adds new languages to Apple Intelligence, but there are a few other features that are worth knowing about. New Apple Intelligence Languages Apple Intelligence is now available in Danish, Dutch, Norwegian, Portuguese (Portugal), Swedish, Turkish, Chinese (Traditional), and Vietnamese. AirPo...
apple tv 4k new orange

Next Apple TV Expected to Launch This Year With These New Features

Monday September 22, 2025 10:00 am PDT by
The next Apple TV is expected to be released later this year, and a handful of new features and changes have been rumored for the device. Below, we recap what to expect from the next Apple TV, according to rumors. Likely Features N1 Chip With Wi-Fi 7 Last year, Bloomberg's Mark Gurman said the next Apple TV would be equipped with Apple's own combined Wi-Fi and Bluetooth chip, which is...
Apple Intelligence General Feature 2

iOS 26.1 Adds New Apple Intelligence Languages and Expands AirPods Live Translation

Monday September 22, 2025 11:15 am PDT by
With iOS 26.1, Apple Intelligence is gaining support for additional languages, including Danish, Dutch, Norwegian, Portuguese (Portugal), Swedish, Turkish, Chinese (Traditional), and Vietnamese. Apple announced plans to expand the languages that can be used with Apple Intelligence last year, and now the added language support is here. Apple Intelligence is now available in the following...
iPhone 17 Pro and Air N1 Feature

Some iPhone 17, iPhone 17 Pro, and iPhone Air Users Experiencing Intermittent Wi-Fi Issue

Monday September 22, 2025 8:44 am PDT by
Apple's latest iPhone models launched on Friday, and some early adopters of the devices are experiencing intermittent Wi-Fi issues. Affected customers say Wi-Fi connectivity periodically cuts out on the iPhone 17, iPhone 17 Pro, iPhone 17 Pro Max, and iPhone Air, with hundreds of comments about the issue posted across the MacRumors Forums, Reddit, and the Apple Support Community over the...
Apple Foldable Thumb

Foldable iPhone Like 'Two Titanium iPhone Airs' Joined at the Hinge

Monday September 22, 2025 2:16 am PDT by
Next year's rumored foldable iPhone will showcase an ultra-thin design resembling "two titanium iPhone Airs side-by-side," according to Bloomberg's Mark Gurman. Writing in the Q&A section of his latest Power On newsletter, Gurman says Apple's first foldable device will be "super thin and a design achievement," combining Apple's thinnest iPhone form factor with cutting-edge folding...
iPhone 17 Pro and Air Feature

Two iPhone 17 Pro and iPhone Air Colors Appear to Scratch More Easily

Friday September 19, 2025 10:02 am PDT by
As reported by Bloomberg today, some of the new iPhone 17 Pro and iPhone Air models on display at Apple Stores today are already scratched and scuffed. French blog Consomac also reported on this topic. The scratches appear to be most prominent on models with darker finishes, including the iPhone 17 Pro and Pro Max in Deep Blue, and the iPhone Air in Space Black. Images Credit: Consoma ...
iPhone 17 Pro USB C Port

iPhone 17 Pro Max's USB-C Charging Speeds Tested With Apple Chargers

Monday September 22, 2025 7:29 am PDT by
The website ChargerLAB has tested the iPhone 17 Pro Max's USB-C charging speeds with a variety of Apple's chargers, from 18W to 140W. The device reached a peak charging speed of around 36W with the following Apple chargers:40W Dynamic Power Adapter with 60W Max 61W USB-C Power Adapter 67W USB-C Power Adapter 70W USB-C Power Adapter 96W USB-C Power Adapter 140W USB-C Power AdapterFor...
iOS 26

Apple Seeds First Betas of iOS 26.1, iPadOS 26.1, and macOS Tahoe 26.1

Monday September 22, 2025 10:05 am PDT by
Apple today provided developers with the first betas of upcoming iOS 26.1, iPadOS 26.1, macOS Tahoe 26.1, tvOS 26.1, watchOS 26.1, and visionOS 26.1 updates for testing purposes. The new betas are the first updates to the iOS, iPadOS, macOS 26, watchOS, tvOS, and visionOS releases that came out last week. The new betas can be downloaded from the Settings app on a compatible device by going...

Top Rated Comments

Baymowe335 Avatar
84 months ago
More confirmation apple was lying about being overcharged.
No, it's not proof of that at all.
Score: 28 Votes (Like | Disagree)
User 6502 Avatar
84 months ago


So don't start coming in here saying Apple lost and all that. No one knows the terms.

QCOM -5% after earnings.
No one knows for sure, but everyone can make educated guesses, and most people guess Apple lost, and they are probably right.
Score: 23 Votes (Like | Disagree)
macfacts Avatar
84 months ago
So, nothing for AAPL, particularly if they get a long term deal they find favorable.

Remember kids, the $4.5B is likely just royalty payments Apple stopped making during litigation and they are paying QCOM to make them whole on previously agreed terms. This isn't like a $4.5B bonus for QCOM.

So don't start coming in here saying Apple lost and all that. No one knows the terms.

QCOM -5% after earnings.
More confirmation apple was lying about being overcharged.
Score: 21 Votes (Like | Disagree)
rafark Avatar
84 months ago
Glad apple was forced to pay its bills.
Score: 16 Votes (Like | Disagree)
Baymowe335 Avatar
84 months ago
So, nothing for AAPL, particularly if they get a long term deal they find favorable.

Remember kids, the $4.5B is likely just royalty payments Apple stopped making during litigation and they are paying QCOM to make them whole on previously agreed terms. This isn't like a $4.5B bonus for QCOM.

So don't start coming in here saying Apple lost and all that. No one knows the terms.

QCOM -5% after earnings.
Score: 14 Votes (Like | Disagree)
69Mustang Avatar
84 months ago
It's not a win if QCOM wanted $15/iPhone and Apple stopped royalty payments already agreed from before. How much of the $4.5B was stopped royalty payments they owed anyway?

And how much did Apple save in their new terms versus what QCOM wanted over the next 5 years?

Yeah, you don't know.
How can it not be a win? They presumably got their overdue royalty payments, an increase in the royalty rate from $7.50 to between $8 to $9 per device, and another long term commitment. Supposedly wanting $15 and getting ~$8 or so can't be considered losing... especially when they were getting $0 in overdue payments, $0 dollars per device in current and future payments, and no commitment for 5G modems. In no version of this tale did Qualcomm not win. That's not to say Apple lost, because they didn't. But you can't honestly put forth an argument where Qualcomm didn't win.
Score: 14 Votes (Like | Disagree)