Qualcomm's new crisis, patent charging model or challenge

Electronic enthusiasts eight o'clock: Although Qualcomm's anti-monopoly investigation in China in 2015, the Chinese Development and Reform Commission fined 975 million US dollars, and was ordered to adjust the patent licensing model. However, after this, Qualcomm's patent license in China has become a law-abiding. "After the investigation and recognition of the National Development and Reform Commission, Qualcomm can still press 5% of mobile terminals with 3G CDMA/WCDMA and 4G FDD-LTE. The rate calculates the license fee and charges a 3.5% patent fee for the TD-LTE terminal." This is also an important reason why many Chinese mobile phone manufacturers have signed patent licensing agreements with Qualcomm in 2016.

In 2016, more than 100 major domestic manufacturers including ZTE, Huawei, Xiaomi, OPPO, vivo, Lenovo, TCL, Haier, etc. have successively reached a patent licensing agreement with Qualcomm. At the end of 2016, Qualcomm and Jinli, Meizu also reached a patent licensing agreement. At this point, China's mobile phone brand manufacturers have basically reached a patent licensing agreement with Qualcomm.

Qualcomm's new crisis

Although Qualcomm has solved the patent licensing problem in China, it has encountered a new crisis in South Korea and the United States.

At the end of December 2016, the Korea Anti-Monopoly Regulatory Authority, the Korea Fair Trade Commission ("Korea FTC") announced that Qualcomm abused the market monopoly position, obstructing competition in licensing patents and selling smartphone chips, forcing handset manufacturers to Unnecessary patent payments, and they also refused to license standard essential patents to other modem chip manufacturers, which hampered competition. Therefore, it was decided to issue a fine of about 1 trillion won to Qualcomm (about 5.9 billion yuan), setting a historical record of anti-monopoly fines in Korea.

After the Korean antitrust regulator issued a ticket, Qualcomm asked a US federal court to force seven chip makers, including Apple and Samsung, to hand over documents that they might have provided to Korean regulators. According to Qualcomm, according to Korean laws and regulations, the documents provided by the seven chip companies to the Korean antitrust agency should be kept confidential.

After more than half a month, on January 17, the US Federal Trade Commission ("FTC") filed a lawsuit against Qualcomm, alleging that Qualcomm's patent licensing policy violated federal bills and constituted unfair competition. In a subsequent statement, Qualcomm denied the US FTC's allegations, saying that it "has not taken the baseband chip as a way to obtain unfair or unreasonable patent fees. The FTC's allegations are unfounded and will respond actively." .

However, soon Qualcomm was hit! And it was hit by the old partner Apple!

Apple sues Qualcomm, demanding a return of $1 billion

According to foreign media reports, around January 20, Apple officially sued Qualcomm, saying it illegally used the monopoly position in the field of mobile phone chips, and asked it to refund about 1 billion US dollars promised to refund the royalties.

Apple said that "Qualcomm is one of the many developers of mobile baseband chip standards, and has insisted on charging Apple a high patent fee for many years." "The fee is five times that of other developers." "The new technology developed by Apple is more More, Qualcomm charges more fees. "In order to avenge Apple's cooperation with South Korea's FTC, Qualcomm also illegally withheld the $1 billion worth of patent royalties that were originally promised."

According to documents disclosed by the US FTC, Qualcomm adopted the policy of “no license, no chips”, that is, if it does not pay patencies to Qualcomm, Qualcomm will not sell baseband chips to it. At the same time, Qualcomm also refused to provide competitors with a license for standard element patents. Obviously, the results of the US FTC survey are basically consistent with the results of the Korean FTC survey.

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