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The deal includes a 10-year licensing agreement over patents, HTC said in a statement, without providing further details.
"HTC is pleased to have resolved its dispute with Apple, so HTC can focus on innovation instead of litigation," HTC CEO Peter Chou said in the statement.
Apple CEO Tim Cook said: "We are glad to have reached a settlement with HTC."
"We will continue to stay laser focused on product innovation."
Technology giants have taken to routinely pounding one another with patent lawsuits. Apple has accused HTC and other smartphone makers using Google's Android mobile operating system of infringing on Apple-held patents.
In the latest of the series of lawsuits between the two companies, HTC in July said it was suing Apple in a district court in Florida but declined to elaborate as the case had entered formal litigation proceedings.
