Ruling Won't Break Apple's Skin

It makes for an ugly headline, sure. For Apple investors, though, the ruling that would ban U.S. sales of some older iPhones and iPads doesn't matter that much.

Only devices using AT&T's network fall under the ruling. And only a handful of older models are affected. What's more, only two of the affected models, the iPhone 4 and the "3G version" of the iPad 2, are still being sold. Half of iPhone 4s and two-thirds of 3G iPad 2s sold in the U.S. are on AT&T's network. Respectively, they generate 13% and 14% of U.S. iPhone and iPad sales. Putting all those numbers together suggests that, at most, the ban impacts roughly 2% of Apple's sales, based on March-quarter numbers. Their contribution will be blunted further when Apple launches new versions of the iPhone and iPad later this year. And, don't forget, the ruling could yet be overturned by an appeals court or vetoed by President Barack Obama who, given his own patent announcement, clearly wants to overhaul rules and stem litigation. The ruling's main impact, therefore, may simply be to prolong the wider patent battle.