Apple Inc., maker of the iPhone and iPad, dropped its challenge of a $19 million patent verdict lost to OPTi Inc. a day before a court was to hear the appeal.
OPTi, which reported $3.25 million in sales for the three months ended Sept. 30, jumped 15 percent in over-the-counter trading after the U.S. Court of Appeals for the Federal Circuit in Washington granted the companies’ joint motion to dismiss the appeal, according to the case docket. The reason behind yesterday’s request for dismissal wasn’t made public.
Apple was challenging a verdict it lost last year in which a jury found the company infringed an OPTi patent for ways to transfer information among a computer’s central processor, memory and other devices. The dispute centered on technology known as “predictive snooping” in Apple’s Mac computers.
Michael Mazzoni, chief financial officer for Palo Alto, California-based OPTi, declined to comment, as did Kristin Huguet, a spokeswoman for Cupertino, California-based Apple.
OPTi gets all of its revenue from licensing patents. Advanced Micro Devices Inc. agreed in April to pay OPTi $32 million to settle a lawsuit, according to the company’s quarterly report.
Apple reported $17.5 billion in sales of Mac computer products for the year ended in September, about 27 percent of the company’s total revenue, according to data compiled by Bloomberg.
OPTi rose 34 cents to $2.62 at 3:58 p.m. New York time in over-the-counter trading for the biggest gain since April 24, 2009. Apple dropped $1.94 to $318.21 on the Nasdaq Stock Market.
The appeal is OPTi Inc. v. Apple Inc., 10-1129, U.S. Court of Appeals for the Federal Circuit (Washington). The lower court case is OPTi Inc. v. Apple Inc., 07cv21, U.S. District Court for the Eastern District of Texas (Marshall).