Wednesday, August 27, 2014 1:15:59 PM
By Zacks.com, August 27, 2014, 12:10:00 PM EDT
Qualcomm Inc. ( QCOM ), globally the largest mobile chip manufacturer, is facing one after one allegation for abusing its market dominance which resulting in monopolistic practice.
Recently, Reuters reported that the mobile baseband semiconductor behemoth is likely to face a European Union (EU) regulatory investigation linked to a four-year old complaint. Qualcomm currently carries a Zacks Rank #3 (Hold).
In Jun 2010, British mobile chip developer Icera accused Qualcomm of using patent-related incentives and exclusionary pricing of chipsets for capturing Icera's business by unfair means.
In the meantime, Icera was acquired by NVIDIA Corp. ( NVDA ), a close competitor of Qualcomm in 2011. Reuters also reported though unconfirmed, Qualcomm may face a fine to the tune up to $2.5 billion if found guilty.
The EU competition authority at times takes several years to open an investigation. In Jun 2014, Intel Corp. ( INTC ), the global leader in the overall semiconductor market, was fined a substantial $1.45 billion for abusing its dominant market position.
Earlier in 2010, Qualcomm enjoyed a major reprieve by the EU regulator as Texas Instruments Inc. ( TXN ) and Ericsson A.B. withdrew their litigations against the company.
Meanwhile, Qualcomm is currently in deep trouble in China. In Nov 2013, the Chinese regulatory authority, National Development and Reform Commission (NDRC), initiated a probe on the company related to its monopolistic practice.
A state-run Chinese news paper stated that the NDRC has determined that Qualcomm is exercising monopolistic power in the country and may need to pay $1.2 billion or more in fine. More importantly, the company might also have to forego royalties of TDD-LTE as a settlement. Such unfavorable actions will severely impair Qualcomm's patent portfolio.
In 2009, South Korean regulatory authority, the Fair Trade Commission, imposed a $269 million fine on Qualcomm for adopting unfair means to expand its CDMA modem chipset business in that country. Large mobile device manufacturers such as, Samsung and LG Electronics were using those chipsets.
Additionally, Qualcomm is facing two patent litigation cases from ParkerVision Inc. In 2011, ParkerVision claimed that Qualcomm had violated its patents associated with the conversion mechanism of electromagnetic signals from higher frequencies to lower frequencies.
http://www.nasdaq.com/article/qualcomm-in-hot-water-may-face-eu-antitrust-regulator-analyst-blog-cm384722
"Intellectuals solve problems; geniuses prevent them." - Albert Einstein
Recent IDCC News
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 05/06/2024 08:06:54 PM
- InterDigital Announces Financial Results for First Quarter 2024 • GlobeNewswire Inc. • 05/02/2024 12:30:08 PM
- InterDigital awarded injunction against Lenovo • GlobeNewswire Inc. • 05/02/2024 12:30:00 PM
- InterDigital’s Doug Castor Elected Co-Chair of the ATIS Next G Alliance Steering Group • GlobeNewswire Inc. • 04/29/2024 08:00:00 AM
- New Report Pins 6G Success on Novel Benchmarks Extending Beyond Speed, Latency, and Mobility • GlobeNewswire Inc. • 04/25/2024 08:00:00 AM
- InterDigital Announces Date for First Quarter 2024 Financial Results • GlobeNewswire Inc. • 04/19/2024 12:30:00 PM
- InterDigital and Concordia University Announce Research Collaboration on AI-enabled Immersive Media Delivery over 5G Networks • GlobeNewswire Inc. • 04/15/2024 08:00:00 AM
- InterDigital Announces Convertibility of 3.50% Senior Convertible Notes Due 2027 • GlobeNewswire Inc. • 04/04/2024 12:30:00 PM
- InterDigital to Showcase Innovations in High Definition and Sustainable Video Streaming Alongside Partners at NAB 2024 • GlobeNewswire Inc. • 03/26/2024 08:00:00 AM
- InterDigital Declares Regular Quarterly Cash Dividend • GlobeNewswire Inc. • 03/20/2024 08:30:00 PM
- InterDigital’s Xiaofei Wang Appointed Chair of the IEEE 802.11 Artificial Intelligence and Machine Learning (AIML) Standing Committee • GlobeNewswire Inc. • 03/20/2024 08:00:00 AM
- Interdigital to Speak at the 36th Annual Roth Conference • GlobeNewswire Inc. • 03/11/2024 12:30:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/06/2024 09:58:21 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 03/05/2024 09:03:32 PM
- InterDigital’s Atle Monrad Elected Chair of 3GPP’s SA6 Working Group • GlobeNewswire Inc. • 03/05/2024 09:00:00 AM
- InterDigital Honors Wireless and Video Innovation Leaders Michael Starsinic and Fabrice Le Léannec as Inventors of the Year • GlobeNewswire Inc. • 02/22/2024 09:30:00 PM
- Keysight and InterDigital to Demonstrate AI in 6G Systems at Mobile World Congress 2024 • Business Wire • 02/21/2024 04:00:00 PM
- At MWC, InterDigital to Showcase Innovation Empowering Connected Experiences ‘At Work, At Rest, and At Play’ • GlobeNewswire Inc. • 02/19/2024 09:00:00 AM
- Form 10-K - Annual report [Section 13 and 15(d), not S-K Item 405] • Edgar (US Regulatory) • 02/15/2024 01:37:02 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 02/15/2024 01:33:18 PM
- InterDigital Reports Fourth Quarter and Full Year 2023 Financial Results • GlobeNewswire Inc. • 02/15/2024 01:30:36 PM
- U.S. Futures Edge Higher Ahead of Key Economic Data Release, Oil Prices See Modest Declines • IH Market News • 02/15/2024 11:35:32 AM
- InterDigital and Broadpeak Announce Collaboration on MPEG V3C Standardized Content Distribution At Scale • GlobeNewswire Inc. • 02/13/2024 09:00:00 AM
- InterDigital appoints Ken Kaskoun as Chief Growth Officer • GlobeNewswire Inc. • 02/12/2024 01:30:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/07/2024 01:43:10 PM
FEATURED Cannabix Technologies Launches New Compact Breath Logix Workplace Series and Prepares for Delivery to South Africa • May 7, 2024 8:51 AM
Moon Equity Holdings, Corp. Announces Acquisition of Wikolo, Inc. • MONI • May 7, 2024 9:48 AM
NanoViricides Reports that the Phase I NV-387 Clinical Trial is Completed Successfully and Data Lock is Expected Soon • NNVC • May 2, 2024 10:07 AM
ILUS Files Form 10-K and Provides Shareholder Update • ILUS • May 2, 2024 8:52 AM
Avant Technologies Names New CEO Following Acquisition of Healthcare Technology and Data Integration Firm • AVAI • May 2, 2024 8:00 AM
Bantec Engaged in a Letter of Intent to Acquire a Small New Jersey Based Manufacturing Company • BANT • May 1, 2024 10:00 AM