Apple files lawsuit against Qualcomm over unpaid royalty fee

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Lately, the chip maker Qualcomm was sued by FTV over an anti-competitive deal that was allegedly made along with Apple. It was reported that the contract covered iPhone production from 2011 till 2016.

Apple files lawsuit against Qualcomm over unpaid royalty fee

As per the suit, Qualcomm had accepted to exclusively make the baseband chip for iPhones in that period. In return, Apple was asked to pay a low royalty fee to Qualcomm. This year, the iPhone maker is making use of baseband chips from both Intel and Qualcomm.

Amidst this, Apple has filed a lawsuit against Qualcomm accusing the chip maker of withholding $1 billion that is claimed to be owed by Qualcomm. The lawsuit filed in the US District Court for the Southern District of California, Qualcomm has been accused for overcharging Apple for the supplied chips and refusing to repay a sum of $1 billion in promised rebates.

Also Read: Apple's $120 million patent win against Samsung reinstated

The Cupertino tech giant claims that it is strong in this lawsuit as the company has spoken the truth to the law enforcement agencies involved in investigating the chip maker Qualcomm regarding the lawsuit. However, in an official statement, Qualcomm's General Counsel Don Rosenberg stated that Apple's claims are baseless.

Notably, Qualcomm is a dominant supplier of chips for both Apple and Samsung and these chips come with the ability to connect phones to the wireless networks. The two makers accounted for about 40% of the $23.5 billion revenue that Qualcomm generated in the recent fiscal year.

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