In the wake of the $1.05 billion verdict delivered Friday in the widely watched U.S. intellectual-property case won by Apple Inc. and lost by Samsung Electronics Co. Ltd., Samsung was battered in Korea Exchange trading Monday, with its share price sinking by more than 7 percent as of Sunday at 11 p.m. EDT.
The giant South Korean technology firm shed about $12 billion in market capitalization as a result of the rout, which came on significant volume (i.e., more than double the three-month average).
Karma’s a bitch Samsung
Samsung’s own shareholders have a greater sense of reality of the ruling than the company itself! That said, the impact of this trial is likely overblown and is a mere ripple in the pool where billions of dollars are in motion.
The impact of this trial is not about money but strategy.
Well, at least that’s ONE area where they’re not copying Apple…
How the hell can you call a billion dollars a ripple? That’s just the judgement. What about all the product and production and logistics costs which will now NOT result in income/profit? What about all the new costs related to coming up with new products which DON’T infringe? What about the heads which will roll as a result of this?
“Karma”
It is bad enough that Christians disabuse this term, secularized it
but now it applies to non-person entities. How quaint.
Jesus Christ!
The $billion in terms of value is financially inconsequential to Samsung and financially inconsequential to Apple (the Samsung stock drop is a different matter but will climb back). It stings but the real pain is nothing to do with the award. The Tab LTE was not found to infringe and the Galaxy S3 was not part of the case (nor was the Galaxy Note or many other Samsung products). Samsung, despite its remonstrations of being treated unfairly, will very likely batter out a settlement with Apple as the judge asked them to do before the jury was instructed. The terms will be far more heavily in Apple’s favour, but that isn’t going to change the world, regardless of the sensationalist headlines. I seriously doubt that in a year or two’s time, products will be that different from today. Instead, there will be a wider birth given to Apple.
I am no fan of Samsung and I think they got their just deserts, but this is not going to result in a change in the spin of the smartphone universe. Time will tell.
Agreed. There is a short term and a long term game. The financials are short term and will not have a long term impact. However, Samsung will have to show some contrition if they wish to ever shed the moniker of copyist.
Samsung’s going to be fine. They’ll whine for awhile, then get back to churning out more knockoffs of someone else’s design work.
Tell this to Samsung shareholders who have lost Real money equivalent to several billion dollars.
Sorry if it seems rude, but you just have to accept, I think, that English (and maybe especially American English) loves to steal words from other languages and often re-defines them along the way. Maybe it would help to just think of it as an English word that sounds similar to your Indian word (Sanskrit, actually, right?) but has very little else in common with it. The American meaning of karma has since become a really powerful concept for us, I think, and we’re unlikely to give it up, no matter who it offends, I’m afraid.
Didn’t you know that in the US companies are treated as people for tax purposes?