On Thursday, the judge of US District Court, Judge Gonzalo Curiel has passed his statement that Qualcomm owes nearly $1 billion to Apple. Qualcomm is the world’s second largest distributor of mobile phone chips, has been obligated to pay this amount to Apple. This amount was a part of an agreement between both the electronic industry giants which included patent licensing practices of clients and customers of this industry.
Apple has been using the chips of Qualcomm in their iPhones which connected the wireless network to the phones. So, both the companies agreed that Apple will pay billions of dollars as the royalty to Qualcomm for using its chip in iPhones. They also had a second agreement for maintaining the cooperation in which Qualcomm had to pay Apple for not attacking at court about any issue. But as per the report, two years ago, Apple filed a lawsuit against Qualcomm. Apple alleged Qualcomm for not following the terms of the agreement by not paying the rebate of $1billion.
Qualcomm also backfired and alleged Apple that they have made misguiding and misleading statements in the Korean Fair Trade Commission under an investigation case for antitrust allegations. Apple replied for this issue by saying that they were just making obvious lawful responses. They also added that Qualcomm’s illegal ways of business are harming the whole industry. Judge Curiel of US district court favored the judgment on the case at the side of Apple by ruling that Qualcomm owes the rebate of $1billion to the Apple.
The General Counsel and Executive Vice President of Qualcomm, Don Rosenberg has stated to Reuter that although the court didn’t review the breaking the rules of agreement and breach by Apple yet the disclosure of Apple in all these events is a welcome development. Later, he mentioned that Apple had already balanced the amount against the royalties.