Apple has stepped up to the plate and will put some of its $60 billion in cash to work defending app developers being attacked by “patent troll” company Lodsys.
In May, Lodsys began sending letters to app developers demanding a 0.575 percent cut of all revenue, due to the fact that they own a patent relating to in-app purchases.
Apple has now filed a motion to intervene on behalf of the developers, which may have not had the resources for a court battle. Apple has also filed a counterclaim against Lodsys, saying itself and all developers can use the tech.
Result for: venue
Apple reported its latest quarterly earnings and both revenue and profit soared year-over-year (YoY).
Revenue grew 83 percent to $24.7 billion, and profit jumped 95 percent to $6 billion.
The iPhone was, by far, the biggest revenue driver, with sales jumping to 18.6 million, over 100 percent growth YoY.
iPad sales, on the other hand, sputtered, falling well below analyst expectations at 4.7 million units sold.
Worries of the Japanese tsunami disaster affecting the top or bottom line were quickly assuaged, with COO Tim Cook saying revenue would drop just $200 million and that the supply chain is still intact, with no delays.
When speaking of iPad 2 sales, Cook said the demand was “staggering” and that the company “sold every one that we could make.”
As expected, iPod sales fell for the 10th straight quarter, down to 9 million, or down 17 percent YoY.
Result for: venue
Amanda Foote, a student at Manhattan Community College spent 41 hours in line at the flagship Apple store on Fifth Avenue in New York City before selling her spot to an app developer for $900.
Foote began waiting on line at 5pm on Wednesday, and was there (through a huge downpour on Thursday) before giving up the spot to Hazem Sayed at 9am on Friday, hours before the 5pm launch.
Sayed said he was willing to pay the large premium for the spot because he wanted to take the tablet on a business trip for which he was leaving on Friday night.
After the sale, Foote says she will probably use the money to see Lady Gaga in concert.
