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Qualcomm’s Licensing Practices Are Illegal, U.S. Judge Rules

A U.S. district court judge rules that Qualcomm violated anti-trust laws and has ordered the chip maker to change some of its licensing and negotiation practices. The case brought to court in 2017 by the US Federal Trade Commission, accuses Qualcomm of illegally suppressing competition in the market for smartphone chips by threatening to cut off supplies and extracting excessive licensing fees. “Qualcomm’s licensing practices have strangled competition,” for years said U.S. District Judge Lucy Koh in San Jose, California who issued the decision late Tuesday night. Qualcomm told reporters it will appeal the decision and seek a stay to stop it from taking effect. “We strongly disagree with the judge’s conclusions, her interpretation of the facts and her application of the law,” said Don Rosenberg, Qualcomm general counsel.

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