Qualcomm Settles Its Anti-Trust Case With Taiwan

QUALCOMM and Taiwan's Fair Trade Commission have agreed to a new condition to replace the $ 778 million fine imposed by regulators on chipmakers last year as the Antimonopoly Act progressed. If. The new fine is about $ 93 million, but do not expect QUALCOMM to do more!

The company also pledged to launch a $ 700 million investment in the Taiwan economy over the next five years. Qualcomm will use some of the funds to build a new manufacturing plant in Taiwan, focusing on subsidies to local universities and investment in 5G startups.

But that's not all! Qualcomm has agreed to provide a fair agreement on patent licenses to competitors who wish to use their intellectual property before using them under suspicion of patent infringement. This part of the transaction, perhaps QUALCOMM is the most unhappy transaction, was the reason it falls under the Antimonopoly Act. The company uses patents and has been condemned as being required for uncompetitive costs or refuses to supply chips to smartphone makers.

Although this is not a bad news for QUALCOMM, Taiwan FTC has decided the charge royalty as a fair game based on the price smartphone offers to consumers. It means that companies like Apple that only offer high-end equipment will pay more to the same chip as brands selling less expensive smartphones.

Currently, QUALCOMM needs to prove to report to the committee every six months in five years and to respect the rules agreed upon by contracting with the telephone company.

For Qualcomm, there are more things than ever before. The dominant position of semiconductor manufacturers in the mobile chip industry is at the crossroads of all major regulators. The Fair Trade Commission imposed a fine of $ 927 million and the European Commission imposed a fine of 1.2 billion dollars. Qualcomm is appealing to both, but it is unknown whether to succeed so far. In the United States, the Federal Trade Commission is also working on cases relating to Qualcomm and Apple.

Although these measures are not a major blow to QUALCOMM, it is dependent on competition to make use of game rules more equitably.

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Compsmag