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Federal Judge Rules Qualcomm's Patent Licensing Practices Unfair

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May 22, 2019, 8:42 AM   by Rich Brome   @rbrome

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. The judge said Qualcomm must submit to monitoring for the next seven years to ensure it abides by the remedies. Qualcomm issued a statement saying it will immediately seek a stay of the judgment and an expedited appeal.

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