BlackBerry’s coffers are getting a big boost after the company was awarded nearly US$815 million ($1.1 billion in Canadian dollars), on an interim basis, in an arbitration case with Qualcomm stemming from royalty overpayments.
The final amount will be decided after a hearing on May 30.
"BlackBerry and Qualcomm have a longstanding relationship and continue to be valued technology partners," BlackBerry CEO John Chen said in a statement Wednesday. "We are pleased the arbitration panel ruled in our favor and look forward to collaborating with Qualcomm in security for [application specific integrated circuits] and solutions for the automotive industry."
The arbitration decision, pending final confirmation, will add to BlackBerry’s (BB.TO) cash on hand, which stood at US$1.7B as of February 28.
Chen told BNN at the end of March he intends to put that cash toward investing in BlackBerry’s business and acquisitions.
BlackBerry shares were trading up 14 per cent on the TSX as of 11:02 a.m. ET.
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