Tech

Apple Files Lawsuit Against Qualcomm for $1 Billion Extortion Claims

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Apple has filed a lawsuit against Qualcomm for constantly collecting royalty shares for technologies the chipset maker has nothing to do with. Qualcomm has been also sued for extortion claims for allegedly withholding the $1 Billion payment from Apple as punishment of the latter's working closely with South Korean regulatory board. How did Qualcomm respond to the claims? Read more details here!

Apple Follows FTC Footsteps in Suing Qualcomm

Just recently, Apple has reportedly sued Qualcomm for the unusual terms of their patented technology and extortion claims. According to Digital Trends, Qualcomm's licensing practices is now in the hot seat once again when a South Korean regulatory board has cooperated with Apple for the investigation.

Accordingly, Qualcomm's alleged illegal scheme has pushed Apple to file lawsuit in court. It all started when the mobile chipmaker company has required the latter to pay another percentage of iPhone selling prices for constantly using Qualcomm chips from 2011 until 2016 and for constantly asking for royalty share from iPhone's memory upgrade from 128GB to 254GB.

Furthermore, Apple find it hard to fund innovation because whatever technologies they would come up such as advanced displays, Touch ID and cameras, Qualcomm is there to collect money even if they have nothing to do with the technology. For this reason, Apple seeks help from Korean Fair Trade Commission to probe the illegal licensing practices of Qualcomm and this move from the Cupertino giant has pushed Qualcomm to withhold the $1 Billion worth of rebates from Apple's payment as agreed according to Forbes.

Qualcomm Says Apple's Claims are Baseless

Following the filed lawsuit, Qualcomm has issued a statement saying that Apple's claims are simply baseless. The San Diego-based chipmaker also stated that the Cupertino giant has misinterpreted their negotiations and agreements under a pure intention.

Furthermore, Qualcomm has also stated that the FRC complaint and Korean Fair Trade Commission decision targets to misinformed the public about their business ventures as well as withholding vital information. The chipmaker company also expressed their intention to be heard in court and to discover the practices of Apple as well. 

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