According to the US Federal Trade Commission, who began suing Qualcomm for anti-competitive practices just few days ago over the same topic, Qualcomm required manufactures to pay aggressively high fees for use of its patents. This is far different than how industry standard patents are supposed to be licensed out: on fair, reasonable, and non-discriminatory (“FRAND”) terms.
Apple, just months after it began using Intel radio chips in some units of the iPhone 7, is now asking a federal district court in Southern California to order Qualcomm to pay it nearly $1 billion. “For many years Qualcomm has unfairly insisted on charging royalties for technologies they have nothing to do with,” Apple said in a statement. According to Apple the money it asks for is what Qualcomm is owing and holding it back because the Cupertino company helped start an investigation into Qualcomm’s licensing practices. Apple cooperated with the South Korean investigation.