Judge rules U.S. FTC antitrust lawsuit against Qualcomm to proceed

“The Federal Trade Commission’s antitrust lawsuit against Qualcomm Inc can proceed, a federal judge ruled late on Monday, meaning the iPhone chip supplier must now wage a fight with U.S. regulators even as it contests a separate $1 billion lawsuit filed by Apple Inc,” Stephen Nellis reports for Reuters. “U.S. District Judge Lucy Koh of the Northern District of California in San Jose denied Qualcomm’s motion to dismiss the FTC’s lawsuit, saying the agency’s allegations would amount to anticompetitive behavior on Qualcomm’s part if proved true.”

“‘FTC will have the burden to prove its claims, which we continue to believe are without merit,’ Don Rosenberg, executive vice president and general counsel of Qualcomm, said in a statement on Tuesday,” Nellis reports. “The FTC sued Qualcomm in January, alleging the company engaged in anticompetitive tactics to maintain a monopoly on the chips that let cell phones connect to mobile data networks.”

“The FTC highlighted Qualcomm’s “no license, no chips” policy under which the San Diego company refuses to sell chips unless customers also sign a patent license agreement and pay Qualcomm fees. Qualcomm refused to grant licenses to its rivals in order to keep a monopoly, the FTC alleged,” Nellis reports. “Separately, Apple sued Qualcomm for $1 billion in January… In addition to the complaint from the FTC, Qualcomm has faced a series of antitrust rulings and investigations from regulators across the globe, including China and South Korea.”

Read more in the full article here.

MacDailyNews Take: The jig is up, FRAND abuser!

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3 Comments

  1. Let’s hope the siege & cost of corrective ongoing legal challenges puts them underwater and of course subsequent huge awards payouts for their ghastly self-serving misdeeds. How clueless and greedy can one company be and not know how they have been sticking their necks out beyond the pale just begging for trouble? Let’s hope they get what’s coming to them. Another company doing evil and thinking it’s perfectly okay. Living in a bubble aka Cone Of Silence (to the outside world) much Don?

  2. My sense is that Qualcomm’s management requires a collective purging. I don’t have it in for the company (as opposed to scum like Samsung). But this is plain old self-destructive behavior on Qualcomm’s part. They’re going to LOSE and it’s going to HURT. Stupid management.

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