Apple Threatens to Leave UK Market Due to $7 Billion Patent Dispute

Lawyers representing Apple have suggested that the company could exit the UK market if the terms of an ongoing patent dispute are "commercially unacceptable" (via This is Money).

regent street apple
UK patent holder Optis Cellular Technology is suing Apple for patent infringement after it refused to pay license fees worth around $7 billion for using "standardized" smartphone technology in its devices.

Last month, a British High Court judge ruled that Apple had infringed two Optis patents relating to technology that enables devices to connect to cellular networks. Optis has also made a number of additional claims about patent infringements from Apple. Kathleen Fox Murphy, a lawyer representing Optis, commented that "everyone thinks about Apple as the market leader in smartphones, but Apple has to buy in most of the technology in an iPhone."

Optis Cellular Technology and its sister companies, PanOptis, Optis Wireless Technology, Unwired Planet, and Unwired Planet International, are non-practicing entities that hold patents and generate revenue through patent litigation, otherwise known as patent trolls.

Last year, a Texas court fined Apple $506 million for willfully infringing on a handful of PanOptis patents related to 4G LTE technology.

Apple now faces a trial in July 2022 over how much it should pay to Optis for patent infringements in the UK. Last year, the UK Supreme Court ruled that a UK court can set the rate Apple should pay for all of its patents worldwide, even though the court considers the infringement of UK patents only.

At a hearing earlier this year, Mr. Justice Meade hinted that Apple "might be disappointed" by the rate ultimately set by a judge that it will be expected to pay. Apple would be able to avoid the sanction if it exits the UK market, but Meade suggested that this was unlikely, saying "There is no evidence Apple is really going to say no [to paying the rate set by the judge], is there? There is no evidence it is even remotely possible Apple will leave the UK market?"

In spite of this, the response from Apple's legal representation firmly laid out that leaving the UK market may become an unavoidable option for the company if the terms set by the court are "commercially unacceptable." Marie Demetriou, Apple's lawyer, said:

I am not sure that is right... Apple's position is it should indeed be able to reflect on the terms and decide whether commercially it is right to accept them or to leave the UK market. There may be terms that are set by the court which are just commercially unacceptable.

The unprecedented threat highlights the possibility of Apple ending its sales in the UK, perhaps shuttering retail stores and curtailing services to existing customers. Nevertheless, it is highly unlikely that Apple would follow through with the threat, not least because the UK is one of the company's biggest and most important markets. The App Store alone supports more than 330,000 jobs in the UK.

There will be a separate court case later this month to determine if Apple should make a legally binding commitment to abide by the payout rate decided at the trial next year. Should Apple refuse to make undertakings to the court, it may also be banned from selling infringing devices, such as the ‌iPhone‌, in the UK.

The dispute appears to be getting surprisingly heated for what would ordinarily be a fairly common patent troll case where companies acquire broad, standard-based patents with the hope of extorting money from other companies. Global pressure to rein in powerful big tech companies may have also escalated hostilities. Indeed, in the UK, Apple is currently being investigated for multiple allegations of anti-competitive conduct.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Popular Stories

maxresdefault

Apple Shows Off a Key Reason to Upgrade to the iPhone 17

Saturday February 7, 2026 9:26 am PST by
Apple today shared an ad that shows how the upgraded Center Stage front camera on the latest iPhones improves the process of taking a group selfie. "Watch how the new front facing camera on iPhone 17 Pro takes group selfies that automatically expand and rotate as more people come into frame," says Apple. While the ad is focused on the iPhone 17 Pro and iPhone 17 Pro Max, the regular iPhone...
wwdc sans text feature

Apple Rumored to Announce New Product on February 19

Thursday February 5, 2026 12:22 pm PST by
Apple plans to announce the iPhone 17e on Thursday, February 19, according to Macwelt, the German equivalent of Macworld. The report, citing industry sources, is available in English on Macworld. Apple announced the iPhone 16e on Wednesday, February 19 last year, so the iPhone 17e would be unveiled exactly one year later if this rumor is accurate. It is quite uncommon for Apple to unveil...
Apple Logo Zoomed

Tim Cook Teases Plans for Apple's Upcoming 50th Anniversary

Thursday February 5, 2026 12:54 pm PST by
Apple turns 50 this year, and its CEO Tim Cook has promised to celebrate the milestone. The big day falls on April 1, 2026. "I've been unusually reflective lately about Apple because we have been working on what do we do to mark this moment," Cook told employees today, according to Bloomberg's Mark Gurman. "When you really stop and pause and think about the last 50 years, it makes your heart ...
Finder Siri Feature

Why Apple's iOS 26.4 Siri Upgrade Will Be Bigger Than Originally Promised

Friday February 6, 2026 3:06 pm PST by
In the iOS 26.4 update that's coming this spring, Apple will introduce a new version of Siri that's going to overhaul how we interact with the personal assistant and what it's able to do. The iOS 26.4 version of Siri won't work like ChatGPT or Claude, but it will rely on large language models (LLMs) and has been updated from the ground up. Upgraded Architecture The next-generation...
iOS 26

iOS 26.3 and iOS 26.4 Will Add These New Features to Your iPhone

Tuesday February 3, 2026 7:47 am PST by
While the iOS 26.3 Release Candidate is now available ahead of a public release, the first iOS 26.4 beta is likely still at least a week away. Following beta testing, iOS 26.4 will likely be released to the general public in March or April. Below, we have recapped known or rumored iOS 26.3 and iOS 26.4 features so far. iOS 26.3 iPhone to Android Transfer Tool iOS 26.3 makes it easier...

Top Rated Comments

markfc Avatar
60 months ago
I’d be tempted to leave the UK market too. ?
Score: 51 Votes (Like | Disagree)
dominiongamma Avatar
60 months ago

Apple sounds like a crybaby.
Or maybe the UK is bad and patent trolls ruin it for everyone

(Corrected the post)
Score: 46 Votes (Like | Disagree)
krspkbl Avatar
60 months ago
this better not happen. i ****ing hate this country.


Not a good day for UK people ?⚽️
you do know that UK consists of 4 countries and 3 of them are happy after that football result, right?
Score: 45 Votes (Like | Disagree)
iLoveDeveloping Avatar
60 months ago
Hahaha Hilarious, is there nothing the UK hasn't ruined lately. Apple can gladly come to Ireland. I’d love to see some apple stores here.. ?
Score: 40 Votes (Like | Disagree)
MLVC Avatar
60 months ago
"How dare the ECJ have jurisdiction over anything British".

UK court: the UK Supreme Court ruled that a UK court can set the rate Apple should pay for all of its patents worldwide

Never a dull day with the British.
Score: 36 Votes (Like | Disagree)
MrJM Avatar
60 months ago
Let’s be honest, they will never leave the UK. It’s ridiculous to even suggest it.
Score: 28 Votes (Like | Disagree)