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Apple Files $190 Million Damages Lawsuit Against Qualcomm in China

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In a lawsuit filed against its chip supplier in Beijing, Apple alleges that Qualcomm abused its clout in the chip industry and is seeking CAD $145 million in damages, reports Reuters, citing Beijing’s Intellectual Property Court.

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A second lawsuit, also filed by Apple against the same chip supplier, alleges that Qualcomm has failed to live up to promises made to license “standard essential patents” broadly and inexpensively. The “standard-essential patents” term may sound familiar from earlier lawsuits filed by Apple against Ericsson or Motorola.

According to data compiled by Reuters, Apple and Samsung are Qualcomm’s main clients, with orders from the two combined accounting for 40% of Qualcomm’s $23.5 billion in revenue reported for the most recent fiscal year.

The chip maker is in hot water in various markets worldwide: The US Federal Trade Commission accused Qualcomm of using anticompetitive practices to maintain its position in the market, a complaint followed by a lawsuit filed by Apple accusing the chip maker of overcharging for chips.

Last December, South Korea’s antitrust body fined Qualcomm $854 million for unfair patent licensing practices. Back then, the chip maker said it would challenge the decision in court. Back in 2015, Qualcomm was fined by the Chinese antitrust regulators for similar practices.

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