Qualcomm Goes After Apple's Manufacturing Partners
Qualcomm is targeting companies that manufacture Apple products in an attempt to recover royalty payments. Qualcomm sued Foxconn, Pegatron, Wistron, and Compal Electronics seeking patent fees. Apple is withholding about $1 billion in royalties from Qualcomm after it sued the company in January for overcharging for patents and technology licenses. The move is just the latest in a series of legal maneuvers between the two companies. "While not disputing their contractual obligations to pay for the use of Qualcomm's inventions, the manufacturers say they must follow Apple's instructions not to pay," said Qualcomm in a statement. Apple said it will support its suppliers until the dispute with Qualcomm is resolved. Qualcomm is being sued by the FTC, Apple, and other companies over its patent-licensing practices. The FTC says Qualcomm's business practices may violate antitrust laws.
Mar 27, 2018
Foxconn says it has agreed to acquire Belkin International for $866 million in cash. Foxconn, a unit of Hon Hai Precision, is most widely known for manufacturing iPhones for Apple.
Jun 22, 2018
Apple hopes to nullify four patents held by Qualcomm as the two tech giants continue to tussle over licensing and fees. Specifically, Apple filed petitions with the U.S.
Nov 7, 2018
Apple is not in settlement talks with Qualcomm "at any level" and is preparing to go to trial against the chipmaker over patent fees. Apple sued Qualcomm in 2017 over what it described as illegal patent licensing practices.
Aug 10, 2018
Qualcomm has reached an agreement with Taiwan to close an investigation concerning its patent licensing practices. Qualcomm will pay a fine of $93 million, and has promised to invest some $700 million in Taiwan over the next five years.
May 22, 2019
A federal judge in San Jose sided with the Federal Trade Commission in its case against Qualcomm, ruling that the company unlawfully suppressed competition in the market for cellphone chips and used its dominant position to exact excessive licensing fees. Several practices were singled out, including: charging royalties on a percentage of a phone's price, threatening to cut off access to its chips when negotiating patent royalties, and exclusive supply agreements with phone makers like Apple that block potential rivals like Intel.