Qualcomm calls Apple CEO Cook’s settlement talk comment ‘misleading’

“Qualcomm Inc on Tuesday responded to comments Apple Inc Chief Executive Tim Cook made in an interview, in which he said there had been no recent settlement talks between the iPhone maker and chip supplier in their global legal battle, calling Cook’s remarks ‘misleading,'” Stephen Nellis reports for Reuters.

“The two companies are disputing comments their CEOs have made over settlement talks: Apple’s chief on Tuesday said any talks ended in September 2018. In November, Qualcomm’s Chief Executive Steve Mollenkopf made comments about the supplier’s efforts to resolve the dispute,” Nellis reports. “Qualcomm on Tuesday said Cook miscast Mollenkopf’s remarks, which did not mention a settlement and which Qualcomm maintains are accurate.”

Nellis reports, “In a television interview on CNBC earlier on Tuesday, Cook responded to a question from host Jim Cramer about whether Apple would settle with Qualcomm after Qualcomm had announced legal victories against Apple in patent cases in China and Germany.”

Read more in the full article here.

MacDailyNews Take: At 16:53 in the above video, the following takes place:

Cramer: Qualcomm keeps telling me over and over again, ‘[Apple is] going to come to the table, you have to, lost a suit in Germany, lost a suit in China. Wait ’til you see them cave.’ Are you going to cave?

Cook: No. Look, the truth is we haven’t been in any settlement discussions with them since the third calendar quarter of last year. That is the truth. So I’m not sure where that thinking is coming from. The issue that we have with Qualcomm is that they have a policy of ‘no license, no chips.’ This is, in our view, illegal and so many regulators in many different countries agree with with this. And the, secondly, they have an obligation to offer their patent portfolio on a fair, reasonable, and non-discriminatory basis and they don’t do that. They charge exorbitant prices and they have a lot of different tactics they use to do that. And that’s not just us saying that. You can see what’s coming out of the FTC trial here in the United States and obviously, I have an issue with some of their other tactics that I’m sure you’ve read about.

Cramer: Right, that they say you are in settlement talks all the time.

Cook: Well, not just that, but paying somebody to write fake news and promoting it. This is stuff that should be beneath companies, not how things should operate.

Qualcomm’s increasingly desperate to keep their extortion racket intact, but the end is nigh whether they realize it or not.

SEE ALSO:
Qualcomm posts $1.5 billion bond required to enforce iPhone sales ban in Germany – January 3, 2019
Qualcomm places high-stakes bet on iPhone injunction in Germany – December 21, 2018
Apple pulls some older iPhones from sale in Germany after patent ruling – December 20, 2018
Qualcomm wins dubious envelope tracker patent case against Apple in Munich – December 20, 2018
German court rules Apple infringed Qualcomm patent – December 20, 2018
Qualcomm warns Apple to take China’s ban of older iPhones very seriously – December 19, 2018
Qualcomm claims Apple is violating Chinese court order, despite software changes – December 18, 2018
Apple releases iOS 12.1.2 – December 17, 2018
Apple denies iPhone import ban in China – December 10, 2018
China ‘bans the import and sale’ of most iPhones, Qualcomm claims; Apple says iPhones still available – December 10, 2018

7 Comments

  1. Apple is losing in multiple courts in multiple countries – countries which have vastly different legal systems (China and Germany). It doesn’t matter if Apple likes it or not, Apple apparently made a deal and it is getting enforced as evidenced by the injunctions these countries have placed against selling Apple products. I don’t like the way Qualcomm structured their contract, but Apple agreed to the terms. A deal is a deal. Like I said I don’t think it is a fair deal but Apple was stupid enough to sign it apparently. Apple needs to own what it is doing, both right and wrong, and move forward with delivering fantastic products (like AirPower and MacPro’s) instead of spending all its time on television whining and making excuses about legal losses and revenue misses.

    1. A deal that turns out to be illegal is no deal at all.

      If Qualcomm’s practices are found to be illegal, Apple’s “deal” will be void from the first, and Qualcomm may owe quite a bit of money not only to Apple but to others who have paid their rapacious prices.

      Yes, Apple is taking a risk; but it’s a gamble they’re very likely to win.

      1. Thank you someone who actually understands legal principles rather than blathers from a place of ignorance. Equally while ‘multiple’ technically includes 2 it is in this case totally exaggerating and overstating the impact of the success of Qualcomm efforts in the world of legal disputes it even failed to win on many of the patents it argued for and the far bigger battles around the world will decide this and Qualcomm will struggle to,come out on top in those and that includes China and the EU. China is exploiting a short term opportunity to hit Apple but knows longer term it needs to defeat Qualcomms restrictive practices over its own producers while the EU is very hot on restrictive practices and it would be a shock for them to allow this one to pass unscathed based on past examples.

    2. You miss the point that Apple (and others) has not had it’s day in court yet regarding Qualcomm’s patent abuse. All these legal victories will no doubt end up as temporary and empty ones since changes as to how Qualcomm can charge for their patents will in effect nullify these previous judgments and make them invalid.

    3. The iPhone injunctions in those countries are not directly related to the big dispute between Qualcomm and Apple and many other tech companies around the world). The big dispute is how Qualcomm handles Standard Essential patents. (When a company puts forward it’s patents to government bodies to be made ‘standard’ they sign agreements that they will charge fair and non discriminatory rates, FRAND. But Qualcomm charges discriminatory rates) Even the USA FTC is taking Qualcomm to court over it. The injunctions were based on smaller patents Qualcomm threw in to make Apple cave on the bigger disputes.

      “Apple was stupid enough to sign it apparently.”
      I don’t think Apple signed anything currently. Basically Apple has stopped a lot of royalties (i.e no new agreement) to Qualcomm and has asked it’s suppliers to stop payment as well saying Qualcomm is overcharging and doing illegal things. (In many areas Qualcomm even double charged, getting payments from both Apple suppliers and Apple on the same product) Qualcomm has already lost a bunch of cases when sued by other companies around the world.

      Not only is Qualcomm abusing FRAND patents they have also hired companies — to pretend to be journalists — i.e to write and place fake news on falling Apple iPhone sales etc . One of the companies Definers placed articles like ” “Conservatives Blast ITC Judge’s Ruling on Apple” in the media including Facebook. Researches say Qualcomm placed over 160 Fake News items on Apple.

  2. You both may very well be correct that the deals e,g, “practices” are illegal; however, two courts in two different countries have found Qualcomm’s deal solid enough to issue injunctions against the sale of Apple products. If there was an argument to be made that the deal Qualcomm offered was illegal (bearing in mind that Apple is a sophisticated entity with the means to hire enough qualified legal counsel to keep them from signing “illegal” agreements in the first place) this should have, and hopefully would have, been brought up in the hearing for the injunction. Like I said, Apple is a sophisticated entity and courts don’t like having their time wasted by people who don’t know the law well enough or are to obtuse to keep themselves out of trouble by staying away from their own bad and illegal deals. Either way Apple will lose either through their incompetence in signing an illegal deal that they should have known better than to sign in the first place – or they breached a contract. I don’t know which one is worse.

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