Qualcomm fined $850 million in South Korea for violating antitrust laws

Qualcomm fined $850 million in South Korea for violating antitrust laws
It looks like Qualcomm is slowly becoming one of the most fined company in the smartphone business. In just two years, the US-based company was forced to pay almost $200 million in fines.

The last fine Qualcomm was hit with dates from last year when the company had to pay $975 million in China after it was found guilty for not abiding to the country's antitrust regulatory laws.

Today, South Korea's Fair Trade Commission (KFTC) announced it has decided to fine Qualcomm a whopping $853 million for violating antitrust laws.

According to KFTC, some of Qualcomm's business practices are in violation of Korean competition law and the fine issued is meant to be a “corrective order relating to specific practices issue.”



Even though Qualcomm will appeal the amount of the fine and the method used to calculate it, the company must pay the money within 60 days of the issuance of the written order.

It's also worth noting that the royalties received by Qualcomm for sales of smartphones in South Korea accounted for less than 3% of total Qualcomm licensing revenue during the company's fiscal 2016.

It remains to be seen whether or not the ruling will limit to Qualcomm's earnings coming from royalties paid by South Korean manufacturers, or it will attempt to regulate intellectual property rights granted by other countries or activities outside of South Korea.

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8 Comments

1. IT-Engineer

Posts: 497; Member since: Feb 26, 2015

Not surprised. They deserve it..

2. wargreymon

Posts: 764; Member since: Nov 05, 2013

You seem to know what exactly they did. Care to explain?

3. GeekOFW

Posts: 59; Member since: Dec 14, 2016

Give him time to ask Google. He will have it.

8. yoghibawono

Posts: 240; Member since: May 04, 2016

why dont you all just google it why :I

4. jsdechavez

Posts: 783; Member since: Jul 20, 2012

When you're the leading name in the biz, the other players will definitely try to kill you in their homecourt.

5. btbotimtim

Posts: 270; Member since: Dec 08, 2010

qualcomm agreed on FRAND on their modem patent but actually did not practice it. with that patent, they sold their license but used other companies's licenses for free (free cross license using their must-have patent).

6. tangbunna

Posts: 442; Member since: Sep 29, 2016

I think it is about drivers and software support for there chipsets. Promised for nothing.

7. btbotimtim

Posts: 270; Member since: Dec 08, 2010

phones (especially chinese phones) launching in the USA have to have snapdragon inside due to patents. otherwise they cannot make phones. mediatek pays license fees to qualcomm and they only can sell their chips in the limited regions.

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