Tech group backs Apple in Qualcomm's ITC complaint

Posted:
in General Discussion edited July 2017
A lobbying group representing big tech industry players like Google and Intel sided with Apple in a filing delivered to the U.S. International Trade Commission, saying Qualcomm's bid to ban iPhone imports would hurt consumers.

Slide from Apple's U.S. litigation against Qualcomm.


The Computer & Communications Industry Association, which represents companies like Amazon, Facebook, Google, Intel, Microsoft and Samsung lodged a formal a letter in opposition to Qualcomm's ITC request on Thursday, Reuters reports.

In the filing, the CCIA argues that Qualcomm's attempt to stop Apple from importing foreign-assembled iPhones using Intel chips would cause "significant shocks to supply" for the greater smartphone market.

Earlier this month, Qualcomm lodged an ITC complaint requesting an import and domestic sales ban on iPhone and iPad models produced outside of the U.S. Specifically, the chipmaker's proposed exclusion order applies only to handsets which contain wireless modems made by Intel. An accompanying patent infringement suit was leveled in concert with the ITC complaint.

Apple first began sourcing modem components from Intel last year. It is estimated that about 30 percent of current iPhone 7 models incorporate Intel parts, with the remainder sourced from Qualcomm. Recent rumors suggest Apple is looking to further diversify its supply chain and will incorporate Intel modems in 50 percent of all iPhones made in 2017.

"If the ITC were to grant this exclusion order, it would help Qualcomm use its monopoly power for further leverage against Apple and allow them to drive up prices on consumer devices," said Ed Black, President and CEO of the CCIA. "What's at stake here is certainly the availability of iPhones and other smartphones at better prices."

The CCIA comment comes amidst a quickly escalating legal battle between Apple and Qualcomm. In January, Apple sued its longtime partner for allegedly "abusing its "monopoly power" to demand higher than normal royalties and force chip buyers to sign onerous patent licensing agreements prior to purchase. The tech giant also claims Qualcomm withheld almost $1 billion in rebates in retaliation for Apple's willing participation in a South Korean antitrust probe.

Qualcomm fired back with a countersuit in April, claiming Apple's litigation is a ploy to garner favorable licensing fees. In May, the chipmaker lodged another lawsuit seeking a court order to force Apple suppliers to pay owed royalties. The firm alleges Apple directed contract manufacturers to halt such payments until the legal battle concludes.

In response, contract manufacturers Foxconn, Compal, Wistron and Pegatron, with backing from Apple, on Tuesday filed an antitrust suit against Qualcomm claiming violation of two sections of the Sherman Act. A day later, Qualcomm lodged a pair of patent infringement suits against Apple in Germany using IP from same batch of six patents leveraged in the ITC complaint.

Comments

  • Reply 1 of 12
    gatorguygatorguy Posts: 17,799member
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 
    Solijbdragon
  • Reply 2 of 12
    Smart phones are now inherently tied to economic activity. The penetration of iPhone, iOS app ecosystem and iOs enterprise apps means that blocking the import of the largest selling smartphone model will render an undesirable economic impact to consumers and hamstring businesses which rely on this platform. It's an untenable position for a very large number of countries, and completely prioritises a small selection of IP from just one company against the prosperity of an entire nation.
    radarthekatbshank
  • Reply 3 of 12
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 
    If you think it through, no, we shouldn't. Qualcomm (i)legitimate business practices affects every vendor! I find it particularly preposterous that they EVER could get away calculating their licenses over the price of the whole finished good, not just the chip that uses them. I mean, they are just orgasming with somebody else's dick... not fair :)!
    watto_cobrafotoformatjbdragonbshank
  • Reply 4 of 12
    robjnrobjn Posts: 177member
    By the way, Qualcomm outrageous cut on the retail price of the entire product is a major reason why laptops don't have a SIM card tray.
    watto_cobraosmartormenajrksectmaybshank
  • Reply 5 of 12
    analogjackanalogjack Posts: 938member
    Qualcomm has no chance, none, zero, zilch, nada. Having said that were it to get up the despicable Trump would almost certainly veto it.
  • Reply 6 of 12
    tmaytmay Posts: 2,302member
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 

    The original post was 4:25.
    Your post was 4:29

    I'll credit you for waiting four minutes before posting your accusation, but me, I would have avoided first post in this case. Makes you look like a dick.

  • Reply 7 of 12
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 

    Well of course Google and Samsung will come to Apple's defence. Apple is the research-arm for the 2 companies!
    tmaymacky the mackyjbdragonbshank
  • Reply 8 of 12
    slurpyslurpy Posts: 4,938member
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 
    Sorry, but what kind of comments are you specifically looking for? I'm assuming you want comments patting these companies on the back or something? Clearly they're only doing whats in their own best interests, so I'm not sure how they would deserve the praise that you're clearly seeking? Oh, and the lobby group "The Computer & Communications Industry Association" backed Apple, not these companies specifically.
    kevin kee
  • Reply 9 of 12
    gatorguygatorguy Posts: 17,799member
    slurpy said:
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 
    Sorry, but what kind of comments are you specifically looking for? I'm assuming you want comments patting these companies on the back or something? Clearly they're only doing whats in their own best interests, so I'm not sure how they would deserve the praise that you're clearly seeking? Oh, and the lobby group "The Computer & Communications Industry Association" backed Apple, not these companies specifically.
    No praise needed. I would think the most obvious takeaway is that the US techs aren't the evil enemies of each other as they're painted here at AI. If you were to go only by what a few loud angry voices say when Apple competitors are mentioned you'd think they're all at war with Apple and doing all they can to bring the company down. 
    edited July 2017
  • Reply 10 of 12
    gatorguygatorguy Posts: 17,799member
    tmay said:
    gatorguy said:
    Should we be surprised that there's no comment from the regulars that Google, Microsoft and Samsung are coming to Apple's defense? 
     I would have avoided first post in this case. Makes you look like a dick.

    Did you drop your mirror on the way in this morning?
  • Reply 11 of 12
    jbdragonjbdragon Posts: 1,579member
    robjn said:
    By the way, Qualcomm outrageous cut on the retail price of the entire product is a major reason why laptops don't have a SIM card tray.
    Well I just got a used Laptop, about 6 years old, but still a nice one. I pulled out the battery to check it out and what do I see, but a AT&T SIM CARD!!! It's a Lenovo Thinkpad T410S. I'm just saying,....
  • Reply 12 of 12
    gatorguygatorguy Posts: 17,799member
    jbdragon said:
    robjn said:
    By the way, Qualcomm outrageous cut on the retail price of the entire product is a major reason why laptops don't have a SIM card tray.
    Well I just got a used Laptop, about 6 years old, but still a nice one. I pulled out the battery to check it out and what do I see, but a AT&T SIM CARD!!! It's a Lenovo Thinkpad T410S. I'm just saying,....
    My 3-year old fairly expensive laptop also has an included SIM-tray.
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