Qualcomm: Apple asked us to pay $1 billion before it will use our chip


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The on-going legal battle between Qualcomm and Apple is getting more interesting and it appears that we will hear some “true confessions” as the case proceeds. In order to protect Apple, the FTC (US Federal Trade Commission) filed a counterclaim that Qualcomm has a monopolistic behavior and this case has been a had nut for Qualcomm to crack.

Apple claims that Qualcomm charged exorbitant patent fees which exceeds the regulations and it cannot cope with this. However, Qualcomm did not think that it had any inappropriate behavior. Qualcomm CEO Steve Morenkov testified at a US antitrust regulator hearing on Friday that Apple asked Qualcomm to pay $1 billion in “bonus” to make Qualcomm a supplier of Apple’s iPhone baseband chips. As part of Apple’s and Qualcomm’s 2011 partnership agreement, the $1 billion payment was designed to reduce the cost of replacing the iPhone’s current chip with the Qualcomm chip.

However, Morenkov testified to the US Federal Trade Commission (FTC) that this huge sum is part of Qualcomm’s quest to become the exclusive supplier of Apple’s baseband chips. In the latest trial, Qualcomm also revealed that Apple is testing the 5G baseband of Samsung and MediaTek.

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