Qualcomm is being hit left and right not only by the Federal Trade Commission for its alleged violation of competition laws. We know Apple is also complaining about the chipmaker’s unfair licensing strategies for mobile technology. The Cupertino giant is saying that Qualcomm has withheld about $1 billion it owed them. This amount is to be unpaid royalty rebates. This new lawsuit was filed against Qualcomm only three days after the FTC sued the company.
Qualcomm quickly responded with an official statement published on its website. The company is saying that the claims are baseless and the Apple is only “mischaracterizing” their previous negotations. Qualcomm is willing to bring the issue into the court where they can discuss the claims.
The top chipset maker is also saying that Apple has been attacking their business in different courts all over the globe simply by withholding information and misrepresenting facts.
Here is the full statement released by Qualcomm:
While we are still in the process of reviewing the complaint in detail, it is quite clear that Apple’s claims are baseless. Apple has intentionally mischaracterized our agreements and negotiations, as well as the enormity and value of the technology we have invented, contributed and shared with all mobile device makers through our licensing program. Apple has been actively encouraging regulatory attacks on Qualcomm’s business in various jurisdictions around the world, as reflected in the recent KFTC decision and FTC complaint, by misrepresenting facts and withholding information. We welcome the opportunity to have these meritless claims heard in court where we will be entitled to full discovery of Apple’s practices and a robust examination of the merits,” said Don Rosenberg, executive vice president and general counsel, Qualcomm Incorporated.
This appears to be huge issue between the two tech brands. We’ll be following this story carefully because Qualcomm is an important provider of that one component that powers majority of all devices in the world.