Qualcomm’s disappointing sales forecast dims enthusiasm about Apple settlement

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Qualcomm’s disappointing sales forecast dims enthusiasm about Apple settlement
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Qualcomm gave a lackluster sales forecast for the current quarter Wednesday, citing weaker demand for smartphones in China.

Qualcomm Inc. gave a lackluster sales forecast for the current quarter Wednesday, citing weaker demand for smartphones in China. The disappointing outlook overshadowed the benefits of settling a prolonged legal dispute with Apple Inc. and sent the shares down in extended trading.

Mollenkopf had long insisted that the chipmaker’s legal troubles were just a commercial dispute that would be resolved when 5G services came along and focused the industry’s attention back on growth, and the settlement with Apple validates his view. Qualcomm’s fiscal third-quarter forecast includes revenue of $4.5 billion to $4.7 billion from the Apple payment and “the release of our obligations to pay or refund” the iPhone maker and its contractors as a result of the litigation, the company said.

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