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AP

Government Panel to Hear Patent Dispute

Wednesday March 14, 7:05 pm ET

Government Panel to Consider Patent Dispute Between Qualcomm, Broadcom


WASHINGTON (AP) -- An unusually large number of companies and government officials will testify next week before the U.S. International Trade Commission on a patent dispute between wireless technology developer Qualcomm Inc. and semiconductor designer Broadcom Corp.
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The hearing, which was extended from one to two days to accommodate the large number of interested parties, will consider what penalties to impose on Qualcomm for violating a Broadcom patent on technology that helps cell phones conserve battery power when out of cellular network range.

The ITC could bar Qualcomm from importing chips that include the technology, issue a cease and desist order to prevent the company from using or selling products with the technology, or stop the company from importing cellular phones which contain the infringing chips.

The last option has attracted the most attention, as several wireless telecommunications equipment companies and service providers have argued that barring the import of cell phones with the infringing chips would disrupt the wireless industry and could threaten public safety.

According to a filing with the ITC, Verizon Wireless will testify during the March 21-22 hearing that such a step would "cripple the most advanced and most widely deployed broadband technology in the United States," by limiting the availability of handsets compatible with EV-DO wireless technology.

Qualcomm has received a boost from the Federal Emergency Management Agency, which said in a separate filing that barring the handsets would have "an adverse effect on ... FEMA's ability to accomplish its mission."

Broadcom, meanwhile, argued that "Qualcomm, the wireless carriers, and device manufacturers have vastly overstated the impact of such an order on their businesses."

Other companies that have requested to appear before the ITC include Motorola Inc., Sprint Nextel Corp., and Samsung Electronics.

The ITC has said it will complete its investigation by May 8.