Re: The FTC lawsuit will continue
I agree, yesterday's joint settlement does not affect the FTC's lawsuit against Qualcomm.
Also, saying that "Qualcomm won" is a bit ridiculous. The agreement between Apple and Qualcomm makes both companies winners.
First of all, the amount that Apple is paying Qualcomm as part of the agreement has not been disclosed, but as in all similar out-of-court settlements, the amount is likely substantially lower than what Qualcomm wanted.
Second, Apple is gaining quite a lot in this agreement. Qualcomm and Apple put out a joint press release yesterday, signed by contacts from both companies. What is interesting are the two bullet points at the top of the release:
1) Agreement ends all ongoing litigation, including with Apple’s contract manufacturers
2) Companies have reached a global patent license agreement and a chipset supply agreement
Point 1 announces that the agreement is not only with Apple, but also with "Apple’s contract manufacturers" (who were in litigation against Qualcomm with Apple, since they were being negatively affected by the "Qualcomm tax" and the double-dipping that Qualcomm was doing.). This agreement not only clears the way for Qualcomm and Apple, but also the various suppliers that were affected by Qualcomm's actions.
Point 2 states that as part of this agreement, Qualcomm is providing to Apple "global patent license agreement". This means that Apple now licenses Qualcomm's valuable technology patents (back dated to April 1, 2019), and that the licensing is fully international. This allows Apple to use these Qualcomm technologies in the creation of its own 5G chips, on which Apple has recently started development. This provides a shortcut for Apple to create their own 5G chip using Qualcomm's 5G technologies, in the same way that Apple has licensed technologies from ARM to develop the A-series chips.
In an article yesterday: "[Apple] is in the process of developing its own 5G chips for use in future iPhone models. Reports suggest Apple has between 1,200 and 2,000 engineers on the project, including recruits from Intel and Qualcomm, who are working toward a solution predicted to debut as soon as 2021." (And in the interim, Apple has a mutually agreed up contract with Qualcomm for them to supply their 5G chips for Apple's products)
It also appears that the money that Apple is giving Qualcomm will likely be reimbursed to Apple over the course of Qualcomm's supplier contract with Apple: "Apple paid a sum to Qualcomm as part of the contract, though the company could regain those funds in rebates if the agreement is structured after Qualcomm's typical contract terms."
Both companies win. The only "loser" here is Intel. Intel announcing today that it is stopping development of 5G chips (AFTER Apple acquired licensing of Qualcomm's technology patents), because Apple would have been its only client for those chips, but NOW (AFTER the agreement between Qualcomm and Apple announced yesterday) that prospect has vanished.