Apple To Release Q3 Results As Rivalry With Samsung Reaches Germany

Apple To Release Q3 Results As Rivalry With Samsung Reaches Germany
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Apple To Release Q3 Results As Rivalry With Samsung Reaches Germany

Apple Inc. (NASDAQ:AAPL) is to release its Q3 earnings today after the bell. Most analysts do not expect the usual blow-out results this time around however. Apple’s iPhone 4 did not sell exceptionally well due to rumors that the company will release an iPhone 5 with major upgrades later this year. Apple enthusiasts simply seem to be waiting it out.

Accordingly, many analysts have revised their estimates of iPhone sales downward during the last few weeks. Those surveyed by Thomson Reuters, estimate Apple to report a revenue of $37.2 billion, and earnings per share of $10.36. As an upgrade of Apple’s operating system was planned for July, many are also expecting the launch of OS X 10.8 to be announced.

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In Germany, Apple Inc. (NASDAQ:AAPL) is also making headlines this Tuesday, due to their ongoing dispute with Samsung. After Apple Inc. (NASDAQ:AAPL) had sued to have sales of both the Galaxy Tab 7.7 and the Samsung Galaxy Tab 10.1N stopped, a Düsseldorf state court ruled that the new model features enough changes to not longer infringe upon Apple’s patents and designs. The ruling reiterated the decision of a German lower court earlier this year.

At the same time, the court argued that the back and the sides of a smaller and less popular model, the Galaxy Tab 7.7, imitated Apple’s design in an “unacceptable manner”, and ordered sales in Europe stopped.

Apple and its Korean competitor have long been engaged in what looks like a global strategic war over patents, with Samsung typically responding to Apple’s demands with upgrades and design tweaks.

Since German court actions have proved cheaper and speedier than those in other jurisdictions, the country, which is also Europe’s largest market, has become a major battleground for patent fights between smartphone producers. While U.S. courts may take years for a ruling, in Germany the decision is often made within a few weeks.

In addition, German courts order a German- or even European-wide sales ban when they identify a patent infringement, while U.S. courts often leave it at a payment of license fees. As an example, due to a patent litigation by Motorola (acquired by Google), users of Apple’s iCloud cloud computing service are not able to have email pushed to their iOS devices within Germany.

In terms of sales, Samsung produces Germany’s most popular smartphones, followed by Apple and Nokia. When it comes to mobile operating systems, Android by far outsells iOS in the country.

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