Tech Business Review: Apple’s Sales In CHINA, Microsoft’s PATENT Deal

Here are Tuesday’s top stories:

Apple’s (NASDAQ:AAPL) April sales in China wildly exceeded expectations and helped to bring a strong earnings per share beat despite of declining American iPhone sales. Observers are now wondering if the same Chinese factor could reoccur, as the country’s 3-gigabyte base increased by 118 percent year-over-year in June to 176 million subs, and smartphone growth has been huge as well. Impressive sales in iPads and a boost to margins from low prices in flash memory haven’t exactly hurt Apple, either.

Don’t Miss: Apple Earnings: Double-Digit Profit GROWTH for Fifth Straight Quarter.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO) and Juniper Networks (NYSE:JNPR) slide as investors analyze the impact of VMware’s acquisition of Nicira, which currently has minimal sales, but its working model targets the elimination of proprietary Ethernet switches from firms such as Cisco and Juniper, supplanting them with commodity gear managed by its software. Cisco is currently developing a similar process, but its main priority remains the sales of its proprietary Nexus and Catalyst switches.

Microsoft Corporation (NASDAQ:MSFT) reaches a patent cross-licensing arrangement with Amdocs Ltd. (NYSE:DOX) which should result in payments being sent back to the former. The deal in part covers Amdocs’ use of Linux servers in its data servers, and if using the open-source operating system is deemed to violate Microsoft’s IP, then the number of companies Microsoft could target would appear to be without limit.

Don’t Miss: REVEALED: Amazon Has Half a Dozen Tablets in the Works.

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