Solar Energy News  
CHIP TECH
Apple antitrust suit: Qualcomm overcharged 'billions'
By Glenn CHAPMAN
San Francisco (AFP) Jan 21, 2017


Apple on Friday sued Qualcomm, accusing the California chipmaker of abusing its market power to demand unfair royalties, echoing charges filed days earlier by US antitrust regulators.

Tech giant Apple said in the court filing that it has been overcharged "billions of dollars" by its chipmaking partner's "illegal scheme."

The company also claimed Qualcomm owes it a billion dollars but is refusing to pay in retaliation for the iPhone maker's cooperating with South Korean antitrust regulators looking into the chipmaker's actions in that country.

"For many years Qualcomm has unfairly insisted on charging royalties for technologies they have nothing to do with," Apple said in an email statement.

"To protect this business scheme Qualcomm has taken increasingly radical steps, most recently withholding nearly $1 billion in payments from Apple as retaliation for responding truthfully to law enforcement agencies investigating them."

Qualcomm rejected Apple's claims at baseless, contending the iPhone maker "intentionally mischaracterized" agreements as well as the value of the company's technology.

"Apple has been actively encouraging regulatory attacks on Qualcomm's business in various jurisdictions around the world... by misrepresenting facts and withholding information," Qualcomm general counsel Don Rosenberg said in a statement.

"We welcome the opportunity to have these meritless claims heard in court."

The suit charges Qualcomm of building a business model on using its rights to older, legacy technology considered telecommunication industry standards to raise royalties when Apple innovates with features such as TouchID fingerprint recognition or digital wallets in mobile devices.

"Despite being just one of over a dozen companies who contributed to basic cellular standards, Qualcomm insists on charging Apple at least five times more in payments than all the other cellular patent licensors we have agreements with combined," Apple said.

- Antitrust woes -

Apple noted in the suit that Qualcomm's business practices have come under scrutiny by antitrust regulators in an array of countries for selling its smartphone chipsets only to makers agreeing to its "preferred license terms" for essential mobile telecom patents.

Apple asked for a jury trial, and for damages including Qualcomm paying the company what it owes plus giving up excessive royalties it has raked in.

Qualcomm did not immediately respond to an AFP request for comment.

The Apple filing came three days after the US Federal Trade Commission filed suit in federal court in California claiming Qualcomm abused its market power in as part of its "unlawful maintenance of a monopoly in baseband processors," which are devices that enable cellular communications in phones and other products.

Qualcomm rejected the agency's case as "significantly flawed," arguing that reasoning at the heart of the civil complaint is wrong.

South Korea's anti-trust watchdog last month slapped Qualcomm with a record fine exceeding $850 million for abusing its dominant market position as a maker of baseband chipsets used in mobile phones.

- Room for rivals -

Apple relies on Qualcomm for chip-based modems that enable iPhones and iPads to communicate with telecommunication networks.

Apple undoubtedly knows of the antitrust tide rising against Qualcomm and would like to help provide room for rival chipmakers to flourish, perhaps letting Intel improve its position, according to analyst Patrick Moorhead of Moor Insights and Strategy.

"I think Apple is not comfortable in feeling that they have only one source and are taking this opportunity to go after Qualcomm," Moorhead said, referring to the mobile device modems.

"Qualcomm is being looked at on every continent on the planet; this is probably, strategically, the right time for Apple to do this."

While the legal case alleges exclusionary contracts and the idea of being overcharged for licensing, it may well be powered by Apple wanting to ramp up competition to Qualcomm so it can negotiate better deals, the analyst said.

Modem chips are separate from processors that act as the brains or graphics engines for mobile devices.

gc/mdo

QUALCOMM

APPLE INC.


Comment on this article using your Disqus, Facebook, Google or Twitter login.


Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor
$5 Billed Once


credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly


paypal only


.


Related Links
Computer Chip Architecture, Technology and Manufacture
Nano Technology News From SpaceMart.com






Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle

Previous Report
CHIP TECH
China's largest chip company to build $30 billion semiconductor factory
Beijing (AFP) Jan 20, 2017
China's largest chip maker has announced it will invest $30 billion to build a new semiconductor factory, as the world's second largest economy seeks to reduce its dependence on foreign technology. The state-owned Tsinghua Unigroup will open the facility in the city of Nanjing in eastern Jiangsu province, where it will mainly produce chips used in consumer electronics such as cellphones, cam ... read more


CHIP TECH
Populus dataset holds promise for biofuels, materials, metabolites

Handheld Sensor Unit Determines Biofuel Content Of Diesel Blends

Dual-purpose biofuel crops could extend production, increase profits

Iowa State engineer helps journal highlight how pyrolysis can advance the bioeconomy

CHIP TECH
Making AI systems that see the world as humans do

Scientists proposed a novel regional path tracking scheme for autonomous ground vehicles

Cheery robots may make creepy companions, but could be intelligent assistants

Robots need 'kill switches', warn Euro MPs

CHIP TECH
Renewables a big boost for GE's profits

Essen, Germany wins greenest city honors

Obama puts offshore North Carolina on wind energy map

DNV GL certifies new prototype of Siemens' 8 MW Offshore Wind Turbine

CHIP TECH
Society set for head-on collision with driverless cars

New Zealand stimulates electric vehicle market

Paris experiments with driverless buses

US closes probe into fatal Tesla autopilot crash, no defect found

CHIP TECH
New design strategy for longer lasting batteries

Samsung blames Galaxy Note 7 fires on faulty batteriesW/LLL

Harnessing the energy of fireworks for fuel

Physicist uncovers clues to mechanism behind magnetic reconnection

CHIP TECH
Treated carbon pulls radioactive elements from water

AREVA to supply refueling equipment upgrades to TVA reactors

Portugal protests against Spain nuclear waste near border

France sells off Engie stake to finance Areva rescue

CHIP TECH
Australian energy group backs Li Ka-shing takeover

China to build $1.5 billion power line across Pakistan

MIT Energy Initiative report provides guidance for evolving electric power sector

Toward energy solutions for northern regions

CHIP TECH
Activists slam giant Indonesian mill for environmental damage

Norway spurs $400mn rainforest fund at Davos

Climate policies alone will not save Earth's most diverse tropical forests

Trade-offs between economic growth and deforestation









The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.