Akoustis Technologies, Inc. AKTS shares are trading higher Wednesday after the company reportedly floated the probability of bankruptcy after losing a lawsuit against Qorvo, Inc. and announced the final release to manufacturing of design updates across its product portfolio.
The Details:
Akoutis said it developed the updates to its XBAW manufacturing process to remove any patented features claimed by Qorvo and the updates have been incorporated into both new XBAW RF filters and many earlier XBAW filter designs since the fall of 2022.
The company has released the design updates, effective immediately, to manufacturing for the remainder of its filter products that remain in production and distribution as needed to remove any potential infringement.
On Monday, the company announced that a jury in the U.S. District Court for the District of Delaware ruled in favor of Qorvo in a lawsuit against Akoustis.
“While Akoustis is disappointed with the jury’s verdict, the Company prepared well in advance for all potential outcomes,” commented Dave Aichele, Executive Vice President of Business Development.
“Based on our testing and qualification over the last two years, the design updates to these earlier XBAW filters do not have any form, fit or function impact to the performance and reliability, as the Qorvo patented claims were not design features of the XBAW process. Akoustis is well-prepared to move forward notwithstanding any injunction Qorvo may seek against the accused legacy versions of our products.”
The company also said it does not expect the verdict will affect its ability to market its product portfolio to existing and future customers.
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AKTS Price Action: According to Benzinga Pro, Akoustis shares are up 223% at 44 cents at the time of publication Wednesday.
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