Apple suppliers counter-sued Qualcomm for $9 billion next year

category:Internet click:425
 Apple suppliers counter-sued Qualcomm for $9 billion next year


Li Na

While Apple and Qualcomm are at war in China, four suppliers of Apple are at war with Qualcomm in the United States.

First Financial Journalist received information from Apple supplier lawyers that an anti-monopoly lawsuit filed by Apple suppliers in the United States will begin next spring, claiming compensation of $9 billion. Lawyers in charge of the case told reporters that the penalty under U.S. law could be tripled, or $27 billion.

On July 18, 2017, Weichuang, Renbao, Heshuo and Foxconns parent company Hon Hai Precision, Apples four major suppliers, filed a notice in court claiming Qualcomm had violated the antitrust law. Specifically, the companies accused Qualcomm of violating the Sherman Act, a federal law passed by the United States in 1890 that aims to make free competition the basic rule of trade.

On May 18, 2017, Qualcomm sued Apple suppliers, such as Fuzhikang, Hon Hai, Heshuo, Weichuang and Renbao Electronics, who refused to pay patent fees to Qualcomm. It is understood that Apple previously paid the patent fee to Qualcomm through its own suppliers, and since the start of the intellectual property lawsuit, Apple suppliers have stopped paying the patent fee to Qualcomm.

In China, the number of employees of Apple suppliers has reached 1 million, and there are many other customers besides Apple. Qualcomm has done great harm to the interests of suppliers and consumers. Ted Boutrous, partner of Gibson Dunn, an American law firm representing four Apple suppliers, told reporters.

Last week, a judge presiding over the Federal Commerce Commission issued a court order ruling that Qualcomms illegal practices continued and that those of Qualcomms non-competitive consumers continued. Botros, in an interview with First Financial Journalist early on the 17th, said that in the past, the outside world heard more about Qualcomms views, but now it should also listen to the views of Apple suppliers.

In Botroses view, Qualcomm illegally took advantage of some of its early technological advantages in cellular technology and designed an anti-competitive mechanism to prevent others from competing with Qualcomm and hinder innovation. This is at the expense of the interests of consumers. It is not good for China and the United States. It is also bad for innovation and consumers.

Botros said Qualcomm will face three important litigation trials in the United States next. The Federal Trade Commission has filed a lawsuit that Qualcomm has been engaged in monopolistic, unfair and anti-competitive activities in the United States and will begin hearing the case in the United States on January 4. Then in April 2019, there will be a trial involving Apple and suppliers to deal with Qualcomm. There is also a consumer class action case involving 250 million consumers involving Qualcomm, which may be the largest consumer collective action in history. Botros told reporters that Qualcomms latest series of moves were driven by despair and that its business model was no longer working. The lawyer told reporters that suppliers can still continue to produce (related products) and will not be affected. Qualcomm intends to harm suppliers through such actions as the China Ban, which is unsuccessful because Apple can solve this problem through software updates, and the patents involved are minor patents, not core cellular technologies. Reporters contacted Qualcomm on this, as of the publication has not been answered. But Qualcomm had previously insisted that the injunction in the lawsuit did not involve operating systems installed on mobile phones. In other words, the ban is actually aimed at specific models of mobile phones, which have nothing to do with the iOS version on board. Apples upgrade will not solve the current problem. Source: First Financial Responsibility Editor: Yao Liwei_NT6056

Botros said Qualcomm will face three important litigation trials in the United States next. The Federal Trade Commission has filed a lawsuit that Qualcomm has been engaged in monopolistic, unfair and anti-competitive activities in the United States and will begin hearing the case in the United States on January 4. Then in April 2019, there will be a trial involving Apple and suppliers to deal with Qualcomm. There is also a consumer class action case involving 250 million consumers involving Qualcomm, which may be the largest consumer collective action in history. Botros told reporters that Qualcomms latest series of moves were driven by despair and that its business model was no longer working.

The lawyer told reporters that suppliers can still continue to produce (related products) and will not be affected. Qualcomm intends to harm suppliers through such actions as the China Ban, which is unsuccessful because Apple can solve this problem through software updates, and the patents involved are minor patents, not core cellular technologies.

Reporters contacted Qualcomm on this, as of the publication has not been answered. But Qualcomm had previously insisted that the injunction in the lawsuit did not involve operating systems installed on mobile phones. In other words, the ban is actually aimed at specific models of mobile phones, which have nothing to do with the iOS version on board. Apples upgrade will not solve the current problem.