Apple Sues Qualcomm in China, Claims it Abused its Market Position

by January 27, 2017 0 comments

Apple has filed two complaints against Qualcomm in China. According to the Beijing court’s press release, one of the complaints alleges a violation of China’s Anti-Monopoly Law, and the other requests a determination of the terms of a patent license between Qualcomm and Apple for Qualcomm’s cellular standard essentials patents.

Apple is seeking 1bn yuan (£115m) in damages, claiming the chipmaker has abused its market position. It has also filed a second case alleging Qualcomm had broken the terms of a deal covering how Apple could use technologies it had licensed.

The lawsuits come soon after US regulators sued Qualcomm, alleging that the firm was guilty of market abuse.

In a statement by Don Rosenberg, executive vice president and general counsel of Qualcomm: “These filings by Apple’s Chinese subsidiary are just part of Apple’s efforts to find ways to pay less for Qualcomm’s technology. Apple was offered terms consistent with terms accepted by more than one hundred other Chinese companies and refused to even consider them. These terms were consistent with our NDRC Rectification plan. Qualcomm is prepared to defend its business model anywhere in the world.”

In its legal papers, Apple said Qualcomm was using its dominant position as a supplier of communication chips for mobile phones to squeeze more cash from firms that use its technologies.

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