Akoustis (NASDAQ: AKTS) stock pulled back in pre-market trading Thursday after surging nearly 130% the day before, driven by the company’s announcement of product design updates aimed at sidestepping the Qorvo patent dispute.
Akoustis Technologies, Inc. (AKTS), a filter solutions company, has encountered a setback with a recent jury ruling in favor of Qorvo Inc., a semiconductor manufacturer, in a lawsuit against Akoustis. The U.S. District Court for the District of Delaware ordered Akoustis to pay $38.6 million in damages, citing infringement claims by Qorvo.
Despite the adverse verdict, Akoustis remains resolute in its commitment to innovation and legal compliance. The company swiftly responded by developing updates to its XBAW (Bulk Acoustic Wave) manufacturing process to eliminate any patented features claimed by Qorvo. These updates have been integrated into new XBAW RF filters and earlier XBAW filter designs since the fall of 2022.
In a proactive move, Akoustis released the design updates to manufacturing, ensuring that the remaining filter products in production and distribution comply with legal requirements and mitigate potential infringement risks.
Statement from Dave Aichele, EVP of Business Development
Dave Aichele, Executive Vice President of Business Development at Akoustis, expressed disappointment with the jury’s verdict but affirmed the company’s preparedness for all potential outcomes. Aichele emphasized that the design updates to earlier XBAW filters have undergone rigorous testing and qualification over the past two years. He reassured stakeholders that these updates do not compromise the performance or reliability of the products, as the patented claims by Qorvo were not integral to the XBAW process.
Aichele further stated Akoustis’ readiness to navigate any potential injunctions sought by Qorvo against legacy versions of their products. Despite the financial uncertainty created by the verdict, Akoustis remains optimistic about its ability to move forward and serve existing and future customers.
The company maintains that the verdict will not impact its ability to market its product portfolio effectively.
Akoustis (NASDAQ: AKTS) Stock Reaction
As of 07:11 a.m. (Eastern Time) Thursday, AKTS stock traded at $0.2130, marking a 32.40% decrease compared to the previous trading session.
