HTC has been having a tough time, what with falling profits and market share and a lawsuit with Apple, prompting people to question how long the company would remain any sort of force in the mobile space. But now there appears to be light at the end of the tunnel for HTC.
It was announced yesterday that Apple and HTC settled their legal differences and both are now working together, with a 10 year licensing agreement between the two being settled. With past, present and future patents covered, HTC can rest easy knowing that the Apple legal eagles won’t come knocking on their door until 2022 at least!
Following that, HTC’s shares have jumped in value by their permitted daily limit (limits imposed by the exchanges in order to protect against extreme volatility or manipulation within the markets). Analysts did predict that HTC would see a short-term boost in company trading, but the long-term performance all depends on HTC’s ability to provide competitive products after losing considerable market share to Apple and Samsung.
HTC’s shares have jumped 24.5% since their lows of T$194 two weeks ago. Although the current price of T$241.50 is a long way off the highs of T$705 from November 2011.
Source: International Business Times | Image courtesy of Yahoo Finance