A U.S. federal judge's ruling Thursday to halt a government ban on mobile phones using chips from Qualcomm Inc. was welcomed by analysts and sent shares of the wireless technology higher.

Judge Haldane Mayer's ruling Wednesday was in response to a request by several cell phone makers to stay the ban the federal government ordered in June. It was a rare victory for Qualcomm in its ongoing legal battle with rival Broadcom Corp.

Lehman Brothers analyst Tim Luke called the ruling a "material positive" for the company, "in that we believe phone imports by its customers should now continue unhindered through the upcoming critical holiday season while the appeal process unfolds."

Luke said the ongoing, multiple legal disputes may continue to weigh on Qualcomm investor sentiment during the next several months, but he thinks shares will lift in the near-term. He maintained a rating of "Overweight" on the stock.

Thomas Weisel Partners analyst Hasan Imam said the ruling eases the financial burden the ban had imposed on Qualcomm. It also shows companies such as Sprint Nextel Corp. and Alltel, which employ a wireless standard known as CDMA, an "alternative path to settling with Broadcom," he added.

In addition, the ruling indicates that the chance of Qualcomm winning some legal battles is "better than ever, although the stock is currently building in a worst-case scenario."

Qualcomm's shares rose 38 U.S. cents to 38.25 U.S. dollars in late morning trading, after reaching as high as 39.30 dollars earlier in the day. Broadcom's shares rose 19 cents to 35.56 dollars.