US Jury Awards Taction More Than 5.7 Billion Dollars in Apple Patent Case
A federal jury in San Diego awarded Taction Technology more than 5.7 billion dollars on 25 September after finding that Apple infringed two of its haptic technology patents through the Taptic Engine used in iPhones and Apple Watches, Reuters and CNBC reported. Reuters described it as the largest US patent verdict to date. Taken at 5.7 billion dollars, the award equals 19.1 percent of Apple’s net income of 29.8 billion dollars in its June quarter, on our calculation.
A case revived on appeal
San Diego based Taction sued in 2021. A lower court ruled for Apple in 2023 before the US Court of Appeals for the Federal Circuit revived the case. The trial in the US District Court for the Southern District of California began on 14 September, and the jury found that the infringement was not willful, CNBC reported. Apple said its Taptic Engine is fundamentally different from Taction’s technology, that it does not use Taction’s technology and that it will appeal. Taction’s lawyer Lance Yang said the company was happy the jury had vindicated its patent rights.
Measured against Apple’s earnings
| Measure | June quarter 2026 ($bn) | Verdict as share |
|---|---|---|
| Revenue | 109.4 | 5.2% |
| Operating income | 35.7 | 16.0% |
| Net income | 29.8 | 19.1% |
| Research and development | 11.7 | 48.6% |
Apple fiscal third quarter ended 27 June 2026. Net income derived from income before taxes of 36.267 billion dollars less a 6.478 billion dollar tax provision. Shares on our calculation, on an award of 5.7 billion dollars.
Why it matters: At close to a fifth of a quarter’s net income, the award would be material even for Apple if it survives the appeal Apple has promised.
Outlook: The appeal Apple has promised will decide whether the 5.7 billion dollar award stands.
Sources: Reuters, CNBC, Apple.
