FTC hits Qualcomm for anticompetitive chip tactics
Qualcomm strong-armed some phone makers into accepting unfavorable technology licensing terms while giving Apple a break in exchange for exclusivity, the U.S. Federal Trade Commission has charged.
The company used its dominance in baseband processors, which manage cellular communication in mobile devices, to force vendors to pay elevated royalties for Qualcomm technologies, the FTC charged in a complaint filed Tuesday in federal court.
At the same time, Qualcomm gave Apple favorable terms so it could supply the baseband chips for all iPhones from 2011 to 2016, according to the FTC. Among other things, in 2007 it got Apple to agree not to use WiMax, the original 4G system used on Sprint’s network, in any iPhones, the complaint said. WiMax was promoted by Intel, Qualcomm’s archrival.
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