If Judge Koh rules in favor of the FTC, Qualcomm's grip on mobile broadband chips will loosen

If Judge Koh rules in favor of the FTC, Qualcomm's grip on mobile broadband chips will loosen
In January 2017,  the U.S. Federal Trade Commission (FTC) filed a suit against chip maker Qualcomm over the company's standard-essential mobile broadband chip patents. The legal system being what it is in the states, the bench trial (meaning that instead of a jury, the judge will come up with the verdict) isn't set to take place until early next January. But the FTC has already filed a motion for a partial summary judgment, which would allow Judge Lucy Koh (you remember her from Apple v. Samsung) to make a ruling on parts of the claim without having to hear any of the facts.

The suit involves standard-essential patents, which Qualcomm must license using fair, reasonable and non-discriminatory (FRAND) royalty rates. The FTC wants Judge Koh to rule that under the FRAND rules, Qualcomm's participation in the setting of wireless standards obligate it to license its standard-essential 4G/LTE, CDMA and UMTS patents to its competitors in the industry, like Samsung's Exynos division, Intel, and MediaTek.

If Koh does rule in favor of the FTC, the royalties collected by Qualcomm from licensing these patents to rivals will be based on the much lower FRAND standards. Phone manufacturers would be able to enjoy lower pricing, and to the extent that their savings are passed on, consumers would be happy too.

Check out the FTC's filing for partial summary judgment directly below.
  



source: Scribd via FOSSPatents

FEATURED VIDEO

19 Comments

1. Phullofphil

Posts: 1762; Member since: Feb 10, 2009

I kind of hope this happens. Some patents should not be allowed especially when it’s somthing that anybody would have came up with in the normal progress of how technology advances through the generation of wireless standards.

3. technitude

Posts: 263; Member since: Dec 19, 2013

Agreed, there are a lot of companies that abuse patents. i.e. Apple got a patent on curved batteries, that stopped LG and others from producing curved phones. Yet, Apple doesn't even make a curved phone. They also were acquiring stylus patents, while claiming nobody needs them.

8. Phullofphil

Posts: 1762; Member since: Feb 10, 2009

They all try to do it. Hate the game not the player

11. Finalflash

Posts: 4063; Member since: Jul 23, 2013

Nope, hate the game and the player. Just because it's legal doesn't make the abusers innocent.

2. Atrixboyyy

Posts: 595; Member since: Nov 03, 2011

"Phone manufacturers would be able to enjoy lower pricing, and to the extent that their savings are passed on, consumers would be happy too." You forgot to add "/s"

4. Subie

Posts: 2354; Member since: Aug 01, 2015

I laughed when I read that too. The only place those savings will go are in the shareholders pockets...

14. tedkord

Posts: 17311; Member since: Jun 17, 2009

Just like the tax cuts for billionaires and corporations. The problem with trickle down is the folks who benefit don't let any trickle down.

5. Blazers

Posts: 733; Member since: Dec 05, 2011

If this happens, say goodbye to Snapdragon chips in Samsung devices in N.A. One Exynos to rule them all.

6. Taphius

Posts: 98; Member since: Aug 20, 2018

Would be a good thing. Competition is great for consumers.

7. collin3000

Posts: 70; Member since: Apr 28, 2015

This won't lower prices. They'll claim they have to spend more on R&D since they're making their own silicon and Qualcomm will claim they have to raise prices because they have less volume.

10. Phullofphil

Posts: 1762; Member since: Feb 10, 2009

Your right nothing will lower prices just raise profits

12. audibot

Posts: 600; Member since: Jan 26, 2017

i love how Alan thinks the savings will be passed on to us the consumer hahahahaha, like any phone make would sell the high end phone cheaper because of this after becoming accustomed to 700-1000 price tags

15. Leo_MC

Posts: 7206; Member since: Dec 02, 2011

"knock-knock" "who is it?" "pocophone" "pocophone who?" "that remains to be seen"

18. mootu

Posts: 1500; Member since: Mar 16, 2017

The Pocophone is NOT high end. The only high end thing about it is the SoC, rest of the phone is mid range or lower.

19. Leo_MC

Posts: 7206; Member since: Dec 02, 2011

A high end phone is a phone that does high end stuff (remember Galaxy S4, S5, Note 1-5, LG G1-4, OPO1-2 - those were made from s**tty materials, but they were high end, because they had powerful internals).

17. Alan01

Posts: 602; Member since: Mar 21, 2012

Well, that is why I prefixed the comment with the words, "to the extent that their (companies') savings are passed on..." I didn't say that they will be and as you noted, many companies will use the potential windfall to pad the bottom line. Regards, Alan

16. domfonusr

Posts: 1083; Member since: Jan 17, 2014

If Qualcomm will be forced to license its tech at much more affordable rates, at least Apple will be happy...

* Some comments have been hidden, because they don't meet the discussions rules.

Latest Stories

This copy is for your personal, non-commercial use only. You can order presentation-ready copies for distribution to your colleagues, clients or customers at https://www.parsintl.com/phonearena or use the Reprints & Permissions tool that appears at the bottom of each web page. Visit https://www.parsintl.com/ for samples and additional information.