Apple faces $5.7B patent verdict and Apple Pay antitrust class action

Apple Inc. is facing two major legal setbacks in the United States involving patent infringement and antitrust allegations.

A federal jury in San Diego has awarded Taction Technology Inc. approximately $5.7 billion after finding that Apple infringed two patents related to haptic technology. The patents cover the tactile transducers used in the Taptic Engine within iPhones and Apple Watches to produce vibration-based feedback. While the jury found Apple's infringement was not willful, the award is being described as one of the largest patent damage verdicts in U.S. history. Apple has stated it disagrees with the verdict and intends to appeal.

Separately, a federal judge in California has certified a class-action lawsuit against Apple regarding Apple Pay transaction fees. The lawsuit, brought by various credit unions and payment-card issuers, alleges that Apple maintains a monopoly over tap-and-pay services on iOS by restricting access to NFC technology and charging supracompetitive fees. The plaintiffs claim Apple charges 0.15% on credit transactions and 0.5 cents on debit transactions, fees that competitors like Google Pay do not impose. The ruling allows issuers to collectively seek reimbursement and an injunction against these practices.